Croft Corporation produces a single product. Last year, the company had a net operating income of $160,000 using absorption costing and $149,000 using variable costing. The fixed manufacturing overhead cost was $10 per unit. There were no beginning inventories. If 43,000 units were produced last year, then sales last year were:
A. 40,000 units
B. 41,900 units
C. 54,000 units
D. 32,000 units
Answer: B
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Answer the following statements true (T) or false (F)
1. The FTC Safeguards Rule applies only to firms listed on the NYSE. 2. Downloading of music and movies has become a large problem as more and more Internet users develop attitudes that if the music is there, it is for entertainment purposes and it is free. 3. The European Union’s Electronic Commerce Directive has two treaties that protect the copyrights of intellectual property worldwide on properties such as books, songs, films, and pirated CDs and DVDs. 4. The ultimate goal of phishing is to acquire personal information pertaining to an individual that could be used in the future for illegal activities. 5. Software that can be loaded onto a computer so the computer operations can be monitored by an outside party without the consent of the computer user is called spyware.
In 1995, Unilever commissioned two studies on sustainable development. The studies revealed a complex set of criteria for sustainable agriculture. From the criteria, Unilever’s Sustainable Agriculture Statement was formally adopted. Which statement was NOT part of the mission statement?
a. Changing consumer demands must be met. b. Profitability must be competitive with other industry sectors. c. Negative environmental impacts on soil, air, water, and biodiversity must be minimized. d. Quality must meet national standards.
Suzanne's Cleaners is considering a project that has the following cash flow data. What is the project's payback? Year0 1 2 3 4 5 Cash flows?$1,100 $300 $310 $320 $330 $340
A. 2.31 years B. 2.56 years C. 2.85 years D. 3.16 years E. 3.52 years
The premium on a long term call option on the market index with an exercise price of 950 is $12.00 when originally purchased. After 6 months the position is closed, and the index spot price is 965. If interest rates are 0.5% per month, what is the Call Payoff?
A) $2.64 B) $12.00 C) $12.36 D) $15.00