Answer the following statements true (T) or false (F)
With pooling of interests, total stockholders’ equity of the combined enterprise would be equal to the sum of the separate companies’ equities immediately prior to the combination.
ANSWER: T
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The Patent Cooperation Treaty applies to:
a. design patents. b. European patents. c. utility patents. d. All of the above
The value of the coefficient of correlation (R)
a. can be equal to the value of the coefficient of determination (R2) b. can never be equal to the value of the coefficient of determination (R2) c. is always smaller than the value of the coefficient of determination d. is always larger than the value of the coefficient of determination
Altoona Corporation has two divisions, Hinges and Doors, which are both organized as profit centers. The Hinge Division produces and sells hinges to the Door Division and to outside customers. The Hinge Division has total costs of $35, $20 of which are variable. The Hinge Division is operating significantly below capacity and sells the hinges for $50. The Door Division has received an offer from an outsider vendor to supply all the hinges it needs (20,000 hinges) at a cost of $45. The manager of the Door Division is considering the offer but wants to approach the Hinge Division first. What is the minimum transfer price from the Hinge Division to the Door Division?
A. $35. B. $50. C. $20. D. $45.