The personal assets and liabilities of an owner are not shown on the business's financial statements because of the

A) separate entity concept.
B) sole proprietorship concept.
C) financial position concept.
D) objectivity concept.


A

Business

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Mini-Case Question. Aster Inc identifies that the market attractiveness index for the cell phone market is equal to 25

The firm decides to adopt a strategy of minimizing investment in its business, and striving for maximum cash flow from its market position. Aster Inc aims to manage prices and marketing resources in a way that maximizes its cash flow without exiting the market. Aster Inc is considering on using which of the following strategic market plans? A) an invest to grow strategy B) a monetize strategy C) an optimize position strategy D) a harvest strategy E) a disintermediation strategy

Business

Fantastic Futons manufactures futons. The estimated number of futon sales for the first three months of 2010 are as follows: January 40,000 February 50,000 March 60,000 Finished goods inventory at the end of 2009 was 12,000 units. On average, 25 percent of the futons are produced during the month before they are sold, which normally accounts for the ending balance in finished goods inventory. The

planned selling price is $150 per unit. How many futons are budgeted to be produced in January? a. 44,500 b. 28,000 c. 40,500 d. 52,500

Business

Partridge Co can further process Product J to produce Product D. Product J is currently selling for $21 per pound and costs $15.75 per pound to produce. Product D would sell for $37 per pound and would require an additional cost of $9.25 per pound to produce. What is the differential cost of producing Product D?

A) $6.50 per pound B) $9.25 per pound C) $15 per pound D) $5.25 per pound

Business

Wineman Incorporated makes a single product-an electrical motor used in many long-haul trucks. The company has a standard cost system in which it applies overhead to this product based on the standard machine-hours allowed for the actual output of the period. Data concerning the most recent year appear below:     Budgeted (Planned) Overhead:    Budgeted variable manufacturing overhead$153,425  Budgeted fixed manufacturing overhead 352,925  Total budgeted manufacturing overhead$506,350       Budgeted production (a) 25,000units Standard hours per unit (b) 1.90machine-hours Budgeted hours (a) × (b) 47,500machine-hours      Applying Overhead:    Actual production (a) 23,000units Standard hours per unit (b) 1.90machine-hours Standard hours allowed for

the actual production (a) × (b) 43,700machine-hours      Actual Overhead and Hours:    Actual variable manufacturing overhead$107,000  Actual fixed manufacturing overhead 336,925  Total actual manufacturing overhead$443,925  Actual hours 42,800machine-hours ?The variable overhead rate variance is: A. $31,901 F B. $31,244 F C. $31,901 U D. $31,244 U

Business