Jason Riggs' company is considered to be an in-supplier for a lawn mower manufacturer
However, recently the lawn mower company has put out a memo to in- and out-suppliers indicating that it would like to change product specifications and delivery schedules. Which of the following buying situations is most likely to be in operation given this data?
A) straight rebuy
B) single rebuy
C) rakeback rebuy
D) system buy
E) modified rebuy
E
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Pepper Department store allocates its service department expenses to its various operating (sales) departments. The following data is available for its service departments:ExpenseBasis for allocation Amount RentSquare feet of floor space $24,000 AdvertisingAmount of dollar sales $30,000 AdministrativeNumber of employees $45,000 The following information is available for its three operating (sales) departments: Department Square Feet Dollar Sales Number of employees A 3,000 $280,000 6 B 3,400 $300,000 8 C 3,600 $420,000 10 Totals 10,000 $1,000,000 24 What is the total advertising expense allocated to Department B?
A. $30,000. B. $12,500. C. $ 9,000. D. $7,500. E. $10,800.
A challenge faced by strategic alliances is that
a. they involve the creation of a separate entity with joint ownership. b. they are not especially focused on enhancing revenues. c. any member could prematurely quit the alliance. d. they are illegal in most international markets. e. environmental sustainability is difficult to achieve.
What if you learn that management has pertinent information available about the case (and the case is deemed material) but refuses to share that information with you? Prepare a draft of the auditor’s report that you would issue in that scenario.
In preparation for tomorrow’s meeting with the partner and likely subsequent meeting with Murchison management, develop recommended responses to the following possible scenarios. In developing your responses, assume that each scenario is independent of the others:
Calculate the amount of accounts receivable assuming that a pro forma balance sheet dated at the end of May was prepared from the information presented. (See Table 4.3)
What will be an ideal response?