Taz, has seen his hours at work increased. He used to work 30 hours a week at $30 and hour, but now he works 40 hours. Due to this change he noticed he purchased more sport coats; up from 1 coats week to 2. He also reduced his number of polo shirts from 4 to 2. Income went from $30 x 30hrs = $900 a week to $30 x 40 or $1200.

What is the income elasticity of polo shirts for Taz?

What type of good are polo shirts for Taz?

What is the income elasticity of sport coats for Taz?

What type of good is sport coats for Taz?

Activity-based costing (abc) is not truly a cost collection mechanism as much as it is an inventory valuation method. the main purpose for implementing an activity-based cost system is to try to overcome some of the cost distortions that occur in traditional costing from product differences when there are variations in size and complexity. however, one of the disadvantages of utilizing abc is that the additional information gathering necessary to implement costing with that level of detail might be beyond the reach of some companies with resource or financial constraints. with this in mind, what kinds of industries or companies do you think would benefit most from using activity-based costing and why? in designing or modifying an accounting system to capture appropriate costs for abc, what considerations do you think would need to be made?

The servers at gerry frasier's busy ice cream shop decided that putting more ice cream in the sundaes and cones would bring back more customers. after three months, gerry was surprised to discover that his profit had

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