Davis Naturals manufactures bulk quantities of cleaning fluids
It currently sells 1,000 containers a month at a sales price of $18 per unit. If a new fragrance is added, $20 per unit could be charged for the improved product. It would cost a total of $900 per month to make that alteration. Operating income would ________.
A) decline by $2,000
B) increase by $2,000
C) increase by $1,100
D) decline by $900
C .C)
Sell as is Process further
Sales revenue $18,000 $20,000
Less: Additional cost 900
Operating income $18,000 $19,100
Operating income will improve by $1,100 ($19,100 - $18,000 ) if it's further processed.
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A major advantage of the retail inventory method is that it
a. provides reliable results in cases where the distribution of items in the inventory is different from that of items sold during the period. b. hides costs from competitors and customers. c. gives a more accurate statement of inventory costs than other methods. d. provides a method for inventory control and facilitates determination of the periodic inventory for certain types of companies.
The Establishment Clause prohibits the government from enacting laws that either prohibit or inhibit individuals from participating in or practicing their chosen religions
Indicate whether the statement is true or false