When current assets exceed current liabilities, a firm has negative net working capital
Indicate whether the statement is true or false
FALSE
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Which of the following is not the way U.S. auto mass producers operate?
A) greater labor content B) less mechanization C) less flexible mechanization D) divide employees in discrete specialties E) lack of employee teamwork
Which of the following is a commonly used joint cost allocation method?
a. high-low method b. regression analysis c. approximated sales value at split-off method d. weighted average quantity technique
Materials used by Jefferson Company in producing Division C's product are currently purchased from outside suppliers at a cost of $10 per unit. However, the same materials are available from Division A. Division A has unused capacity and can produce the materials needed by Division C at a variable cost of $8.50 per unit. A transfer price of $9.50 per unit is negotiated and 30,000 units of
material are transferred, with no reduction in Division A's current sales. How much would Division C's income from operations increase? A) $0 B) $90,000 C) $15,000 D) $60,000
Deborah must deny a request made by one of her employees. The most effective statement in a bad-news message denying this request would be
A) No, you may not be reimbursed for the extra night you stayed after the conference ended. B) We are so sorry that we are unable to reimburse you for the extra night you stayed after the conference ended. C) Although your extra night cannot be reimbursed, we will process the remainder of your expense claim immediately. D) Please be advised that your extra night stay is not reimbursable.