Answer the Following Questions Using the Information Below:
Genend's Good

question 148

Multiple Choice

Answer the following questions using the information below:
Genend's Good Value Appliance Store is a small company that has hired you to perform some management advisory services. The following information pertains to 2015 operations.
$\begin{array}{lr}\text { Sales ( } 6,000 \text { microwave ovens) } & \$ 1,740,000 \\\text { Cost of goods sold } & 960,000 \\\text { Store manager's salary per year } & 100,000 \\\text { Operating costs per year } & 250,000 \\\text { Advertising and promotion per year } & 30,000 \\\text { Commissions (3\% of sales) } & 52,200\end{array}$
-Which cost estimation method is being used by Genend's Good Value Appliance Store?

• A) the account analysis method
• B) the operating costing method
• C) the marginal costing method
• D) the cost-volume-profit analysis method

---

Definitions:

Storing Fats

The process of accumulating fats or lipids within cells or tissues in the body, typically for energy reserve.

Minerals

Naturally occurring inorganic substances that have a specific chemical composition and structure, essential for various bodily functions.

Connective

This tissue type supports, connects, or separates different types of tissues and organs in the body.

Exchange of Gases

The process by which oxygen is taken into the body and carbon dioxide is expelled, occurring primarily in the lungs.