66.Weed Wackers uses process costing and has provided data for its Processing Department for June as follows: UnitsCost of Materials Beginning Work in Process inventory              2,000              $21,020 Units started in June              77,000              48,500 Units completed              75,600 Ending Work in Process inventory              3,400   All materials are added at the beginning of the manufacturing process. How much is the cost per equivalent unit for […]

  31) If more insurance companies decide to cover part of the price of voluntary laser eye surgery and more doctors decide to enter the field of laser eye surgery, what will happen in the market for laser eye surgery as a result of these two factors? A) Demand will increase, but these two factors will not shift the supply curve. B) Supply will increase, […]

  7.6   The Determinants of the Price Elasticity of Demand 1) Which of the following products comes closest to having a perfectly inelastic demand? A) gasoline B) cholesterol medication in general C)  iPhones D) bus rides 2) Which of the following statements about the price elasticity of demand is correct? A) The elasticity of demand for a good in general is equal to the elasticity […]

    36.Sticker Creations’ fixed manufacturing overhead costs totaled $68,000 and its variable selling costs totaled $45,000. Under full costing, how should these costs be classified?   Period CostsProduct Costs A.                            $68,000              $45,000 B.                            $113,000              $0 C.                            $0              $113,000 D.                            $45,000              $68,000   37.Diecast Tools’ manufacturing costs for 2014 are as follows:   Direct materials              $100,000 Direct labor              120,000 Depreciation of […]

  121._____ refers to a logistics system designed to deliver parts to a production process as they are needed, not before.   A. Inventory information system B. Basket trading system C. Buffer stock system D. Just-in-time inventory system E. Real-time processing system 122.The basic philosophy behind just-in-time (JIT) inventory systems is to:    A. economize on inventory holding costs. B. reduce inventory turnover. C. create a buffer stock of inventory. D. reduce costs by reducing quality. […]

  21) In the long run, perfectly competitive firms produce at the output level that has the minimum A) marginal cost. B) average total cost. C) average variable cost. D) average fixed cost. E) total revenue. 22) In a perfectly competitive industry, i.entry by new firms shifts the market supply curve rightward. ii.exit by existing firms shifts the market supply curve leftward. iii.at all times […]

  71) Refer to Figure 28-3. The increase in the money supply from MS0 to MS1 shifts the monetary equilibrium from E0 to E1. The result is A) a decrease in the interest rate and an increase in desired investment. B) an increase in the interest rate and a decrease in desired investment. C) sustained monetary disequilibrium. D) a shift of the investment demand curve […]

  21) In the circular flow model, the factors of production flow in the A) same direction as do the rents, wages, interest, and profits. B) opposite direction as do the rents, wages, interest, and profits. C) opposite direction as does the government. D) same direction as does the goods market. E) opposite direction as does the goods market. 22) In the goods market, firms […]

    129.Fox Hunting Gear manufactures two products: camouflage jackets and camouflage hats. The company makes 50,000 jackets and 20,000 hats each year. Information for overhead costs and for the two products appears below.   ActivityDriverEstimated Total Overhead CostJacketsHats Setups# of setups$   200,000500 setups1,500 setups Ordering parts# of parts300,00060,000 parts40,000 parts Machining# of machine hours600,00012,000 machine hrs.6,000 machine hrs. Inspections# of inspections400,00010,000 inspections40,000 inspections Shipping# […]

  31) Suppose over the next several years the productivity of firms producing electric cars improves dramatically. The advance in productivity leads to A) a decrease in the supply of electric cars so that the supply curve shifts leftward. B) a decrease in the supply of electric cars so that the supply curve shifts rightward. C) an increase in the supply of electric cars so […]