12-07Ex_5e_s

Survey of Accounting (Available Titles Cengagenow)

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Exercise 12-7 Name: Section: Score: 0% Answers are entered in the cells with gray backgrounds. Cells with non-gray backgrounds are protected and cannot be edited. A red asterisk (*) wil appear in the row immediately to the right of an incorrect answer. a. Proposal to Purchase Outside Page Layout Services December 15, 2009 Differential revenue: Salvage of computer equipment Differential expenses: Purchase of layout work Number of pages Price per page x Total Differential cost to perform internal y Salaries Benefits Supplies Office expenses Cost savings from purchasing layout services Total benefit from using an outside service b. From a financial perspective, is it advisable to purchase outside page layout services? Explain (select answer from the drop-down list): c. Important? Ability to control the quality and timing of the layout services. Growth of future layout prices and rates. Growth rate in general factory overhead costs. Need for additional space for administrative expansion.
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12-07Ex_5e_s - Exercise 12-7 Name: Section: Score: 0%...

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