The Phone Bill for a Corporation Consists of Both Fixed

question 222

Multiple Choice

The phone bill for a corporation consists of both fixed and variable costs.Refer to the four-month data below and apply the high-low method to answer the question. $$\begin{array} { | l | r | r | } \hline & \text { Minutes } & \text { Total Bill } \\\hline \text { January } & 480 & \$ 4500 \\\hline \text { February } & 240 & \$ 2690 \\\hline \text { March } & 160 & \$ 2630 \\\hline \text { April } & 300 & \$ 2845 \\\hline\end{array}$$ If the company uses 360 minutes in May,how much will the total bill be? (Round any intermediate calculations to the nearest cent and your final answer to the nearest dollar.)

• A) $1697
• B) $2102
• C) $3799
• D) $7305

Comprehend the accounting treatments for forward contracts and options as hedges of foreign currency risks.

Identify the sources of foreign exchange risk and the authoritative literature governing hedges of such risks.

Evaluate the effectiveness of derivative financial instruments as hedges of foreign currency exposure.

Determine the fair value adjustments and accounting implications of derivative instruments.

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Definitions:

Personality

The combination of characteristics or qualities that form an individual's distinctive character, affecting thoughts, feelings, and behaviors.

Intelligence

The ability to acquire and apply knowledge and skills, and adapt to new situations.

Talents

Describes individuals' natural aptitudes or skills in particular areas, such as art, sports, or intellectual achievements.

Fixed Mindset

A psychological theory describing individuals who believe their talents and abilities are fixed traits that cannot be developed.