Mike and Sandy Are Two Woodworkers Who Both Make Tables

question 85

Multiple Choice

Mike and Sandy are two woodworkers who both make tables and chairs.In one month,Mike can make 4 tables or 20 chairs,while Sandy can make 6 tables or 18 chairs.Given this,we know that

• A) Mike has an absolute advantage in chairs.
• B) Mike has a comparative advantage in tables.
• C) Sandy has an absolute advantage in chairs.
• D) Sandy has a comparative advantage in chairs.

Detail strategies to enhance the effectiveness of an introductory sales approach.

Understand the objectives of demonstration techniques in sales presentations.

Learn the application and importance of probes in the sales approach.

Understand how to tailor an approach technique to a problem-solution sales presentation.

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Definitions:

Standard Costs

Preset costs established for the manufacture of a product, including direct materials, direct labor, and overhead expenses, against which actual costs are compared.

Fixed Overhead Cost Variance

The difference between the budgeted fixed overhead costs and the actual fixed overhead incurred.

Variance Analysis

The process of examining differences between actual and budgeted/expected financial performance and investigating the causes.

Flexible Budget

A budget that adjusts or varies with changes in the volume or activity level, providing a more useful tool for performance evaluation.