Which of the following is an advantage of a partnership?
A) Partnerships are less expensive to organize than corporations.
B) The owners of a partnership are generally exempted from personal income taxes.
C) The owners who contribute an asset to the partnership retain absolute claim on the asset.
D) Mutual agency creates personal obligations for each partner.
A) Partnerships are less expensive to organize than corporations.
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The Level 0 diagram of the AP/CD Process contains the two process bubbles of ______________________________ and ______________________________
Fill in the blank(s) with correct word
Confirmations that are sent to select customers asking them to review the current balance due the client as shown on the client's statement and return the letters directly to the auditor indicating whether they agree with the indicated balance, are known by which of the following terms?
a. Direct confirmations. b. Indirect confirmations. c. Positive confirmations. d. Negative confirmations.
The risk-free rate is 6% and the market risk premium is 5%. Your $1 million portfolio consists of $700,000 invested in a stock that has a beta of 1.2 and $300,000 invested in a stock that has a beta of 0.8. Which of the following statements is CORRECT?
A. If the stock market is efficient, your portfolio's expected return should equal the expected return on the market, which is 11%. B. The required return on the market is 10%. C. The portfolio's required return is less than 11%. D. If the risk-free rate remains unchanged but the market risk premium increases by 2%, your portfolio's required return will increase by more than 2%. E. If the market risk premium remains unchanged but expected inflation increases by 2%, your portfolio's required return will increase by more than 2%.
Match Point, Inc. has the following overhead standards:Variable overhead: 4 hours at $8 per hourFixed overhead: 4 hours at $10 per hourThe standards were based on a planned activity of 20,000 machine hours when 5,000 units were scheduled for production. Actual data follow.Variable overhead incurred: $167,750Fixed overhead incurred: $210,000Machine hours worked: 19,800Actual units produced: 5,100Match Point's fixed-overhead volume variance is:
A. $10,000 favorable. B. $4,000 unfavorable. C. $10,000 unfavorable. D. $4,000 favorable. E. None of the answers is correct.