What are departments called that resemble separate businesses in that they produce and market their own products?
A) Regions
B) Divisions
C) Function centers
D) Cost centers
E) Work hubs
Answer: B
Explanation: B) Further, the head of each division may be a corporate vice president or if the organization is large enough, a divisional president.
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Peter, the owner of a local real estate agency, is even more committed to making the used copier, which he recently purchased, work even though it keeps jamming, and his employees have been telling him about other problems they have been having with the copier. The ______ affects Peter's decision making.
A. framing effect B. narrow focus bias C. anchoring and commitment bias D. escalation of commitment bias E. fog effect
A good positive response to a routine request highlights specific answers to recipient's questions using an articulate, concise writing style
Indicate whether the statement is true or false
At the beginning of Year 2, McKee, Inc. had a balance in the Warranties Payable account of $15,600. During the year McKee sold for $650,000 several products that carried a two-year warranty. McKee estimated that warranty expense would be 3% of sales for the year.Required:a) Prepare McKee's year-end adjusting journal entry for warranty expense.b) If McKee's incurred actual warranty cost is $12,500 during Year 1, what is the balance in the Warranties Payable account after the adjusting entry is made?
What will be an ideal response?
Upton Knitters manufactures sweaters and uses an operation-costing system. All sweaters are processed through Department no. 1, with subsequent processing taking place in Department no. 2 or Department no. 3, depending on the type of fabric used. Twenty thousand sweaters were produced during the year; there was no beginning or ending work in process. Sixty percent of the goods were sent to Department no. 2 for manufacturing.Conversion cost incurred in the three departments totaled $504,000, subdivided as follows: Department no. 1, $360,000; Department no. 2, $60,000; and Department no. 3, $84,000.Data pertaining to two representative orders, nos. 545 and 567, were:?No. 545No. 567Direct materials$112,000$94,000Number of sweaters8001,300Subsequent processing departmentNo. 3No.
2Required:A. Explain the nature of operation costing.B. Determine the cost of order nos. 545 and 567. What will be an ideal response?