When the price elasticity of demand is elastic and prices go up, _____
a. revenues stay the same
b. revenues decline
c. revenues increase
d. profits increase
b
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All of the following are disadvantages of fair value use except
a. fair values may not be readily obtainable b. fair values may cause more fluctuations as change occurs from period to period c. comparability between companies may be impacted by different fair value measurement d. fair values only affect balance sheet accounts
Answer the following statements true (T) or false (F)
1. Investors use the times-interest-earned ratio to evaluate a company's ability to pay interest expense. 2. The times-interest-earned ratio is also called the short interest ratio. 3. A high interest-coverage ratio indicates a company has difficulty in paying interest expense. 4. The times-interest-earned ratio is calculated as EBIT divided by interest expense. 5. The times-interest-earned ratio is 6.25 for Retailer A and 5.1 for Retailer B. This indicates that Retailer B will find it easier to pay interest expense.
Which of the following affirmative action plans would include training plans and programs, focused recruiting activity, or the elimination of discrimination?
A. Quasi-affirmative action B. Judicial affirmative action C. Voluntary affirmative action D. Executive affirmation action
The variable overhead spending variance is conceptually identical to the price variances of materials and labor
Indicate whether the statement is true or false