Select the incorrect statement regarding costs and expenses.
A. Some costs are initially recorded as expenses while others are initially recorded as assets.
B. Manufacturing-related costs are initially recorded as expenses.
C. Expenses are incurred when assets are used to generate revenue.
D. Non-manufacturing costs should be expensed in the period in which they are incurred.
Answer: B
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An annual percentage rate must be converted to the appropriate periodic rate when compounding is more frequent than once a year
Indicate whether the statement is true or false.
The Fair Debt Collection Practices Act prohibits:
A) communication with a debtor who is represented by an attorney. B) calls after 6 p.m. C) contacting third persons to find out the whereabouts of a debtor. D) a creditor from calling a debtor regarding payment of a bill.
Corporate retreats do not
A. oblige management to automatically change strategy. B. guarantee positive consumer response to new products. C. give companies an opportunity to look beyond their own industries. D. permit companies to discuss larger marketplace trends.
When a firm locates a production facility in a country, provides employment, and participates in community activities, what advantage might the company achieve?
A) Reduce transportation expenses B) Exploit local resources C) Minimize labor costs D) Allow the company to transform from a "foreign" firm to a local firm E) Save on taxes