Foundations, Inc. produces and sells cosmetic products. Currently, the company is operating at 70% of its capacity. The sales price of its product is $30 per unit, and it incurs a full cost of $25 to produce each unit. Its yearly fixed manufacturing overhead amounts to $20,000. The company has received a one-time order for supplying 5,000 units at $26 per unit. This order can be executed within the excess production capacity and will not involve any additional fixed costs. To make this decision, the management of Foundations should use ________.
A) absorption costing as the decision is long-term in nature
B) variable costing as the decision is short-term in nature
C) absorption costing as the decision is short-term in nature
D) variable costing as the decision is long-term in nature
B) variable costing as the decision is short-term in nature
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Alpha Company uses its sales invoices for posting perpetual inventory records. Inadequate control activities over the invoicing function allow goods to be invoiced that are not shipped. The inadequate control activities could cause an:
A. overstatement of revenues and receivables and an understatement of inventory. B. overstatement of revenues, receivables, and inventory. C. understatement of revenues and receivables and an overstatement of inventory. D. understatement of revenues, receivables, and inventory.
Because it is invisible, direct labor cannot be traced to products
Indicate whether the statement is true or false
The considerations for e-mail usernames are mostly the same as those for ______.
a. avatars b. domain names c. screen names d. online games
How would the institutionalization phase differ from the extinction phase in an issue- driven multi-stakeholder dialogue?
a. It allows stakeholders to withdraw from the dialogue of their own volition. b. It prolongs implementation of the issue solution. c. It presumes work with the same stakeholders on future, different issues. d. It restarts the dialogue process when the previous solution proves unsatisfactory.