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  • Vestil Edmel

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    Kumaingking Daniell Anthoine
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    The document contains 4 questions about financial management concepts: 1) Whether financial or non-financial information is more important for evaluating cost strategies and how this relates to investing in factory equipment; 2) How to measure production quantity for a period as a manufacturing firm owner using cost figures; 3) The definitions of absorption and variable costing and whether classifying costs by nature adds value; 4) The definition of a "tax shield" and how it can affect financial decision-making.

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    Vestil-Edmel

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    The document contains 4 questions about financial management concepts: 1) Whether financial or non-financial information is more important for evaluating cost strategies and how this relates to investing in factory equipment; 2) How to measure production quantity for a period as a manufacturing firm owner using cost figures; 3) The definitions of absorption and variable costing and whether classifying costs by nature adds value; 4) The definition of a "tax shield" and how it can affect financial decision-making.

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    4 views1 page

    Vestil Edmel

    Uploaded by

    Kumaingking Daniell Anthoine
    The document contains 4 questions about financial management concepts: 1) Whether financial or non-financial information is more important for evaluating cost strategies and how this relates to investing in factory equipment; 2) How to measure production quantity for a period as a manufacturing firm owner using cost figures; 3) The definitions of absorption and variable costing and whether classifying costs by nature adds value; 4) The definition of a "tax shield" and how it can affect financial decision-making.

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    © All Rights Reserved
    Download as DOCX, PDF, TXT or read online from Scribd
    Flag for inappropriate content
    of 1

    Edmel Jan C.

    Vestil
    AC 219 - Financial Management

    1. Between financial and non-financial information, which is more important in terms of


    evaluating cost strategies? Defend your answer through answering the decision point of
    investing in a factory equipment or not.

    2. Imagine yourself as an owner of a manufacturing firm. How do you measure the quantity
    to be produced in a period? Support your answer with cost figures.

    3. What is absorption and variable costing? Is there a value-adding purpose in classifying


    costs based on their nature?

    4. What is a “tax shield”? In what ways can it affect financial decision-making?

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