Which of the following is not true relating to treasury stock?
a. A firm creates treasury stock when it repurchases its own stock and does not retire it.
b. Treasury stock lowers the stock outstanding.
c. Treasury stock may be recorded at the cost of the stock.
d. Treasury stock may be recorded at par or stated value.
e. Treasury stock is, in essence, an increase in paid-in capital.
E
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Which of the following methods is not an appropriate method for estimating bad debt expense for companies whose uncollectible accounts are material?
A) percentage of net credit sales B) percentage of outstanding accounts receivable C) aging of accounts receivable D) direct write-off method
The strategy in which a company sells its exports to another country at a lower price than it sells the same product in its domestic market is referred to as
A. mass exporting. B. survival pricing. C. bundling. D. the gray market. E. dumping.
All of the following are correct with regard to the impact of age, experience, and education on expatriate managers except:
A. many companies consider an academic degree, preferably a graduate degree, to be of critical importance to an international executive. B. most multinational corporations (MNCs) strive for a balance between age and experience. C. there is universal agreement that degrees in marketing or engineering are the most desirable for expatriate managers. D. there is evidence that younger managers are more eager for international assignments than older managers.
Amanda is a twenty-four year old student. For two years Amanda has been going to gym and using weight equipment, stationary bicycles, and step machines to improve muscle tone. One spring afternoon Amanda was using a weight machines in the usual way (and the way she was showed how to use it), when the machine malfunctioned causing her serious injury. The company that made the machine, Musclematic,
has known for the past year that this problem existed, but the company took no steps to warn people who owned or used these machines of the problem. After the pleading stage of Amanda's lawsuit is complete, she need to use the discovery process to gather information. If Amanda wants to see the design plans for the machine that injured her she should: a. request a deposition b. request a set of written interrogatories c. request a special verdict d. request an admission e. request a production of documents