MAS109 - MAS209 Answer Key For Short Term Decision Making

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Accountancy Review Center (ARC)

of the Philippines Inc.


One Dream, One Team

REVIEWEE HANDOUTS
MANAGEMENT ADVISORY SERVICES BOBADILLA/BULADACO
MAS.209 SHORT-TERM DECISION MAKING OCTOBER 2021 CPALE REVIEW

ANSWER KEY

1. D. P39,600 decrease 17. B. P85,000 31. A. P11,000


2. D. X - 6,000, Y- 5,000 18. B. 160 units 32. C. Relevant cost
3. D. P188 19. C. P(240,000) 33. C. P1,125,000
4. A. P45,000 20. C. No Change 34. B. Increase of P6,000
5. C. P40 21. B. P40,750 35. D. No, because making the blades
6. B. P6.75 22. A. P104,000 would save Dana Company P2,500
7. B. Produce the freezable ice bag due to 23. A. P17 36. C. P7,500 cost
P25,000 advantage. 24. A. Opportunity costs are considered 37. C. P40,000 to buy the part
8. A. P14.00 period costs rather than inventoriable 38. B. P240,000
9. D. 48,000 units costs for accounting purposes
10. A. 267 units 25. D. Will expected total corporate
11. A. P23.50 office costs decrease if decision is to
12. A. Replace due to P400,000 drop the customer?
advantage 26. A. 25%
13. C. P750,000 27. D. 66 2/3%
14. B. P630,000 28. B. P240,000
15. C. P1,200,000 29. B. P40,000 to buy the part
16. A. P3,000 more if Product A is made 30. -
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