The International Company Makes and Sells Only One Product

question 34

Multiple Choice

The International Company makes and sells only one product. There are 2 divisions, one in France and one in Newcastle.
The company is in the process of preparing its Selling and Administrative Expense Budget for the last half of the year. The following budget data are available:
French Division Cost Structure


Newcastle Division Cost Structure

- All of these expenses (except depreciation) are paid in cash in the month they are incurred. If the French Division has budgeted to sell 20,000 units in October, then the total budgeted variable selling and administrative expenses for October will be

• A)£58,000.
• B)£56,000.
• C)£61,250.
• D)£62,000.

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Definitions:

Government Scrutiny

The examination and close observation by government authorities into business practices, often to ensure legal and regulatory compliance.

Proactive

Refers to taking initiative and action to affect change or address issues before they occur, rather than reacting to events after they happen.

Managing Diversity

The practice of acknowledging, understanding, and leveraging differences among individuals in an organization to create an inclusive environment.

Diversity Programs

Initiatives designed to promote and support diversity within an organization, often focusing on race, gender, sexual orientation, and other demographic factors.