A small manufacturer that makes clothespins and other household products buys new injection molding equipment for a cost of $500,000
This will allow the manufacturer to make more clothespins in the same amount of time with an estimated increase in sales of 25%. If the manufacturer currently makes 75 tons of clothespins per year, which sell at $18,000 per ton, what will be the increase in revenue next year from the new equipment?
A) $125,000
B) $303,750
C) $337,500
D) $837,500
Answer: C
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a. receivable turnover. b. asset turnover. c. debt to equity ratio. d. current ratio.
In a statement of cash flows, receipts from sales of property, plant, and equipment would be classified as cash inflows from
a. liquidating activities. b. operating activities. c. investing activities. d. financing activities.
Laura was employed by Style Unlimited a noted fashion house in Toronto as a fashion
stylist. Her contract of employment with the company provided that upon leaving the employment, she is prohibited from opening up a rival business for the next ten years in any part of Canada. Laura has recently moved to Vancouver and plans to open up her own fashion company. Which of the following is correct? A) The restraint will only be enforced if Style Unlimited can prove that Laura received independent legal advice prior to agreeing to it. B) The restraint will be strictly enforceable against Laura unless she can prove that it is not in her best interests. C) A court will likely find the restraint unreasonable D) Laura can be restrained from opening up her own business E) The restraint will not be enforceable against Laura unless Style Unlimited can show that it is in its best interests.
A job consists of a series of three tasks. Task 1 is performed correctly 98% of the time, task 2 is performed correctly 99% of the time, and task 3 is performed correctly 97% of the time. What is the reliability of this job?
A) 91.27% B) 94.11% C) 97.00% D) 98.00% E) 99.00%