Fill in the Blank Questions  Port Pharmacy is considering the purchase of a copying machine, which it will make available to customers at a per copy charge. The copying machine has an initial cost of $8,500, an estimated useful life of five years, and an estimated salvage value of $2,500. The estimated annual revenue and expenses relating to operation of the machine are […]

  147. Treasury stock is classified as: A. An asset account.B. A contra asset account.C. A revenue account.D. A contra equity account.E. A liability account. 148. The following data were reported by a corporation:   Authorized shares ……..…………………….. 20,000 Issued shares ……..………………………….. 15,000 Treasury shares ……..……………………….. 3,000 The number of outstanding shares is: A. 12,000.B. 15,000.C. 17,000.D. 20,000.E. 23,000. 149. Corporations may buy back their own stock for any of the following reasons except to: A. Avoid a hostile take-over.B. Have shares available […]

  41. (p. 560) Which of the following groups of negotiators was found to have the most aggressive style of all groups, according to Exhibits 19.1 and 19.2?  A. The Spaniards B. The Israelis C. The Americans D. The Koreans E. The French 42. (p. 561) Which of the following statements reflect American notions of the importance of objectivity?  A. American business is the hotbed of nepotism. B. Americans do not play favorites. C. People count for more than […]

  3.2   Opportunity Cost   1) In a production possibilities frontier graph, the cost of producing more units of a good is measured by the A) dollar value of the resources used to produce the good. B) amount of the other good or service that must be forgone. C) dollar value of the additional output. D) area in the arc between the PPF and a […]

    100.A company had inventory on November 1 of 5 units at a cost of $20 each. On November 2, they purchased 10 units at $22 each. On November 6 they purchased 6 units at $25 each. On November 8, 8 units were sold for $55 each. Using the LIFO perpetual inventory method, what was the value of the inventory on November 8 after […]

  5) What criteria are available in determining which of two alternate cost function estimates is better for a particular management decision? A) goodness of fit B) economic plausibility C) the significance of the difference between the costs associated with the highest and lowest observations of the cost driver D) the significance of the difference between the unit values for the highest and lowest observations […]

  12.3   Health-Care Markets   1) In the health insurance market, adverse selection occurs when A) chronically ill people buy health insurance. B) insured people go to the doctor unnecessarily. C) patients sue their doctor. D) people with health insurance tend to behave more recklessly. E) chronically ill people are unable to buy health insurance.   2) If a health insurance company offers coverage regardless […]

  110. Forgetful Corporation neglected to make various adjusting entries on December 31, Year 8. Indicate the effects on assets, liabilities, and shareholders’ equity on December 31, Year 8 of failing to adjust for the following independent items as appropriate, using the notation O/S (overstated), U/S (understated), and No (no effect). Also, give the amount of the effect. Ignore income tax implications. Use the following format:  […]

  31. Benjamin Products uses job order costing and assigns overhead to specific jobs using direct labor hours. During the month of June, a total of 1,800 direct labor hours at a cost of $16 per hour were incurred for all jobs. Actual overhead costs for the month totaled $9,000. If a specific job required 36 direct labor hours of work, how much overhead should be […]

    61. _____ is used to ensure that employee activities and outcomes are congruent with the organization’s objectives.  A. An incentive B. Training C. Performance management D. Development Performance management is used to ensure that employees’ activities and outcomes are congruent with the organization’s objectives. It entails specifying those activities and outcomes that will result in the firm’s successfully implementing the strategy.     62. High-tech firms in the growth […]