South Coast Appliance Store is a small company that has hired you to perform som
ID: 2398419 • Letter: S
Question
South Coast Appliance Store is a small company that has hired you to perform some management advisory services.
The following information pertains to 2017 operations.
Sales? (5,000 microwave? ovens) ?$5,000,000
Cost of goods sold ?825,000
Store? manager's salary per year ?110,000 Operating costs per year ?230,000
Advertising and promotion per year ?30,000
Commissions? (4.0% of? sales) ?200,000
Which cost estimation method is being used by South Coast Appliance? Store?
A. the? cost-volume-profit analysis method B. the marginal costing method C. the account analysis method D. the operating costing method
Explanation / Answer
The account analysis method is being used by South Coast Appliance Store
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