The following costs relate to a variety of decision settings:?CostDecision1.Allocated corporate overheadClosing a money-losing department2.Cost of an old carVehicle replacement3.Direct materialsMake or buy a product4.Salary of marketing managerProject discontinuance; manager to be transferred elsewhere in the firm 5.Home theater installationPurchase of a new home6.Unavoidable fixed overheadPlant closure7.Research expenditures incurred last year, related to new productProduct introduction to marketplace 8.$4 million advertising programWhether to promote product A or B with the $4 million program9.Manufactured cost of existing inventoryWhether to discard the goods or sell them to a third-world countryRequired: Consider each of the nine costs listed and determine whether it is relevant
or irrelevant to the decision cited. If the cost is irrelevant, briefly explain why.
What will be an ideal response?
1. Irrelevant-The cost will be incurred whether the department continues to operate or is closed.
2. Irrelevant-The cost is sunk.
3. Relevant
4. Irrelevant-The cost will be incurred whether or not the project is discontinued.
5. Relevant, although this is a highly optional item.
6. Irrelevant-The cost will be incurred whether or not the plant is closed.
7. Irrelevant-The cost is sunk.
8. Irrelevant-The cost is the same regardless of which product is selected.
9. Irrelevant-The cost is sunk.
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Draw a map of and explain the job characteristics model. Include job characteristics, psychological states, outcomes, and contingency factors.
What will be an ideal response?
At the beginning of the year, Sigma Company's balance sheet reported Total Assets of $195,000; Total Liabilities of $15,000; and Total Paid-in capital of $60,000. During the year, the company reported total revenues of $226,000 and expenses of $175,000. Also, dividends during the year totaled $48,000. Assuming no other changes to Retained earnings, the balance in the Retained earnings account at the end of the year would be:
A. $120,000. B. $123,000. C. $171,000. D. $78,000. E. $174,000.
A variable is a business intelligence characteristic that stands for a value that cannot change over time.
Answer the following statement true (T) or false (F)
If Jana, a minor, transfers property to Scott and Scott sells the property to a good faith purchaser for value before Jana avoids the transfer:
A) Jana loses the right to recover the property if the transfer involved goods. B) Jana can recover the property as long as the property was a sale of goods. C) Jana can recover the property whether it was real or personal property. D) the good faith purchaser of goods for value receives a voidable title.