If Variable Cost of Goods Sold Totaled $90,000 for the Year

question 61

Multiple Choice

If variable cost of goods sold totaled $90,000 for the year (18,000 units at $5.00 each) and the planned variable cost of goods sold totaled $86,400 (16,000 units at $5.40 each) , the effect of the unit cost factor on the change in variable cost of goods sold is:

• A) $6,400 decrease
• B) $6,400 increase
• C) $7,200 increase
• D) $7,200 decrease

Grasp the fundamental aspects of decision making, including the definition and components involved.

Understand the challenges and pitfalls in decision making, including common traps and biases.

Familiarize with factors influencing decision-making complexity, including cultural, regulatory, and leadership elements.

Distinguish between different conditions of decision-making, such as certainty, risk, and uncertainty.

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Definitions:

Water Molecules

Water molecules consist of two hydrogen atoms and one oxygen atom bonded together, making up the liquid that is vital for all forms of life on Earth.

Specific Heat

The amount of heat energy that must be supplied to raise the temperature of 1 gram of a substance by 1°C.

Heat of Fusion

The amount of heat required to convert a solid at its melting point into a liquid without changing its temperature.

Homeostasis

The regulatory process by which biological systems maintain a stable internal environment despite external changes.