The upper and lower specifications for a service are 10 min. and 8 min., respectively. The process average is 9 min. and the process capability ratio is 1.33. What is the process standard deviation?
A) 0.1
B) 0.15
C) 0.20
D) 0.25
D
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The document one business sends to another business that identifies the goods or services to be purchased is a:
a. request for proposal b. purchase requisition c. purchase order d. disbursement voucher
One reason management may choose the straight-line method of depreciation is because it is easy to compute
a. True b. False Indicate whether the statement is true or false
When using the periodic inventory system, the Merchandise Inventory account is ________.
A) not used B) never used when recording purchase discounts, or returns of inventory C) replaced on the balance sheet with the Purchases account D) updated after each sale
Tiffany Company has two divisions, Gold and Silver. Gold produces a unit that Silver could use in its production. Silver currently is purchasing 50,000 units from an outside supplier for $25. Gold is operating at less than full capacity and has variable costs of $13.50 per unit. The full cost to manufacture the unit is $20. Gold currently sells 450,000 units at a selling price of $27. If an internal transfer is made, variable shipping and administrative costs of $1 per unit could be avoided. How much will Silver save by not purchasing from outside if a transfer price of $22.50 is agreed upon?
A. $175,000 B. $250,000 C. $225,000 D. $125,000