The opportunity cost of an item is
[DOC File]CHAPTER 10: Responsibility Accounting
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The item costs $200 a unit to purchase, the holding cost for one unit for one year is 15% of the unit cost and ordering costs are $300 an order. The supplier offers a 3% discount for order of 60 units or more, and a discount of 5% for orders of 90 units or more.
[DOC File]Chapter 8 Managing Working Capital
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-Decrease the opportunity cost of doing something ---> Do more of it. ... -law of increasing cost states that as production switches from 1 item to another, more and more resources are necessary so opportunity cost increases. 3 . Title: Chapter 1-Scarcity, Choice, and Opportunity Cost Author:
[DOC File]Chapter 1-Scarcity, Choice, and Opportunity Cost
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Note that the cost of material and purchased parts is reduced by the amount of cash discount not taken because the equipment should be reported at its cash equivalent price. The imputed interest on funds used during construction related to stock financing should not be capitalized or expensed. This item is an opportunity cost that is not reported.
[DOC File]Edu @ Thinus - Home
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c 11. Which item is usually NOT relevant to a decision by a divisional manager to reduce a transfer price to meet a price offered to another division by an outside supplier? a. Opportunity cost. b. Variable manufacturing costs. c. Fixed divisional overhead. d. The price offered by the outside supplier. c 12.
[DOC File]Opportunity cost activity
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An item of clothing is a durable consumer good. A vacuum cleaner is a durable consumer good. ... The opportunity cost of producing a given commodity is the value of the best forgone alternative which could have been produced with the factors of production used in its production.
Reading: The Concept of Opportunity Cost | Microeconomics
The opportunity cost of selling is giving up a perceived higher valued sale. Later in the day when there are few potential customers on the street, selling at a low price would not be perceived to be giving up the same higher valued sale.
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