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ACCT 2101 Exam 3 Exam with
complete solutions latest version
incremental analysis - CORRECT ANSWER-the process used to identify the financial
data that change under alternative courses of action
data for incremental analysis involves estimates and uncertainty - CORRECT
ANSWER-in incremental analysis, both costs and revenues may change
Relevant Costs and Revenues - CORRECT ANSWER-those costs and revenues that
differ across alternatives
opportunity cost - CORRECT ANSWER-a lost benefit as a result of choosing one
course of action over another
-always relevant
sunk cost - CORRECT ANSWER-costs that have already been incurred and cannot be
changed or avoided by any present or future decisions
-never relevant
many companies have shifted to activity based costing because... - CORRECT
ANSWER--results in more accurate OH allocation
-is compatible w incremental analysis
-results in improved incremental analysis
simple interest - CORRECT ANSWER-(computed on principal amount only)
the return on the principle for one period
=principle x i rate x time
compound interest - CORRECT ANSWER-(computed on principal and any interest
earned that has not been paid or withdrawn)
the return on (or growth of) the principle for 2 or more periods
future value of a single amount - CORRECT ANSWER-the value at a future date of a
given amount invested, assuming compound interest
BRAINSCAPE1
ACCT 2101 Exam 3 Exam with
complete solutions latest version
incremental analysis - CORRECT ANSWER-the process used to identify the financial
data that change under alternative courses of action
data for incremental analysis involves estimates and uncertainty - CORRECT
ANSWER-in incremental analysis, both costs and revenues may change
Relevant Costs and Revenues - CORRECT ANSWER-those costs and revenues that
differ across alternatives
opportunity cost - CORRECT ANSWER-a lost benefit as a result of choosing one
course of action over another
-always relevant
sunk cost - CORRECT ANSWER-costs that have already been incurred and cannot be
changed or avoided by any present or future decisions
-never relevant
many companies have shifted to activity based costing because... - CORRECT
ANSWER--results in more accurate OH allocation
-is compatible w incremental analysis
-results in improved incremental analysis
simple interest - CORRECT ANSWER-(computed on principal amount only)
the return on the principle for one period
=principle x i rate x time
compound interest - CORRECT ANSWER-(computed on principal and any interest
earned that has not been paid or withdrawn)
the return on (or growth of) the principle for 2 or more periods
future value of a single amount - CORRECT ANSWER-the value at a future date of a
given amount invested, assuming compound interest
BRAINSCAPE1
