Which of the following would not be a reasonable conclusion when comparing LIFO-FIFO under an inflationary condition?
a. FIFO generally results in a lower profit than does LIFO.
b. FIFO reports a higher inventory ending balance.
c. LIFO results in a lower profit figure than does FIFO.
d. LIFO would probably be used for inventory that has a high turnover rate because there would be an immaterial difference in the results between LIFO ad FIFO.
e. The cash flow under LIFO is greater than the cash flow under FIFO by the difference in the resulting tax between the two methods.
D
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Sharing activities across business units can provide two primary benefits: cost savings and revenue enhancements.
Answer the following statement true (T) or false (F)
In a(n) _____, two or more firms both put some resources into a new, separate entity.
a. equity joint venture b. subcontract c. licensing arrangement d. consortia
Which of the following is true regarding a manager's job with respect to customers?
A. Today, the majority of employees in developed countries work in product sectors. B. Managers have not yet recognized the importance of delivering consistent high-quality customer services. C. Managers must create a customer-responsive organization in order to survive successfully in today's environment. D. Employees play an insignificant role in delivering quality customer services.
Which of the following measures the percentage of sales revenue a firm is able to retain after all expenses are deducted from gross revenues?
A) gross profit B) net margin C) operating margin D) working capital