Doro Fill Company Fabricates Automobiles A Factory in Indonesia Has Offered to Supply Doro Fill

question 16

True/False

Doro Fill Company fabricates automobiles.Each auto includes one wiring harness,which is currently made in-house.Details of the harness fabrication are as follows:
$$\begin{array} { | l | l | l | } \hline \text { Volume } & 800 & \text { units per month } \\\hline \text { Variable cost per unit } & \$ 6 & \text { per unit } \\\hline \text { Fixed costs } & \$ 15,000 & \text { per month } \\\hline\end{array}$$ A factory in Indonesia has offered to supply Doro Fill with ready-made units for a cost of $11 each.Assume that Doro Fill's fixed costs are unavoidable and that the company will not be able to use the excess capacity in any profitable manner.In order to maximize operating income,Doro Fill should not outsource.

Acknowledge factors influencing sales forecasts and their implications.

Grasp the concept of goal congruence in budgeting and its impact on organizational alignment and performance.

Understand the concept and purpose of zero-based budgeting.

Recognize factors that contribute to budget acceptance.

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Definitions:

Average Score

The arithmetic mean calculated by dividing the sum of scores by the number of scores.

Correlation

A statistical measure that describes the degree to which two variables move in relation to each other.

Hypothesis

An if–then statement of conjecture that relates variables to one another and is used to reflect the general problem statement or question that is the motivation for asking a research question.

Directional Research Hypothesis

A research hypothesis that posits a difference between groups in one direction.