The Variable Cost of Part X Is $50 and the Full

question 84

Multiple Choice

The variable cost of Part X is $50 and the full cost of the part is $80.The part is produced in Country Z and transferred to a plant in Country B.Country Z has a 30% income tax rate.Country B has a 50% income tax rate and an import duty equal to 10% of the price of the item.Part X can be transferred at full cost or variable cost.Assume that Part X is priced at full cost.The income tax effect per unit in country Z is_____.

• A)an increase in tax by $9 per unit
• B)a decrease in tax by $9 per unit
• C)an increase in tax by $24 per unit
• D)a decrease in tax by $24 per unit

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Definitions:

Non-Contingent Reinforcement

A form of reinforcement where rewards are given at fixed or variable intervals independent of the recipient's behavior.

Classical Conditioning

The act of learning that happens when two stimuli are paired together repeatedly, and a reaction initially caused by the second stimulus starts to be triggered by the first stimulus exclusively.

Discriminative Stimulus

A cue or event that indicates that a particular response will lead to a certain consequence in operant conditioning.

Generalized Stimulus

A stimulus that elicits a response not only to the original stimulus but also to similar stimuli.