Which of the following would be classified as a prevention cost on a quality cost report?
A. Supervision of testing and inspection activities.
B. Liability arising from defective products.
C. Net cost of spoilage.
D. Technical support provided to suppliers.
Answer: D
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Answer the following statements true (T) or false (F)
1. The most profound influence driving globalization is an increased awareness of global human rights. 2. Open economies have less firm turnover due to more stable markets. 3. The benefits of international trade accrue in the forms of lower domestic prices, development of more efficient methods and new products, and a greater range of consumption choices. 4. In an open trading system, a country will import those commodities that it produces at relatively low cost while exporting commodities that can be produced at relatively high cost. 5. Although free trade provides benefits for consumers, it is often argued that import protection should be provided to domestic producers of strategic goods and materials vital to the nation's security.
Which of the following statements about customer value is true?
A. The sure way to achieve high customer value is to offer a lower price. B. It is the manager's view of customer value that matters, not the customer's. C. The greater the competition, the less important customer value is. D. Customer value is the difference between the benefits a customer sees from a market offering and the costs of obtaining those benefits. E. None of these statements is true.
Which of the following are easy to trace to individual jobs?
A) direct materials and overhead B) direct materials and direct labor C) direct labor and overhead D) overhead and indirect labor E) depreciation on machinery and indirect labor
A company paid $37,800 plus a broker's fee of $525 to acquire 8% bonds with a $40,000 maturity value. The company intends to hold the bonds to maturity. The cash proceeds the company will receive when the bonds mature equal:
A. $43,200. B. $38,325. C. $37,800. D. $40,000. E. $40,525.