Which of the following statements is false?
a. Selling and administrative expenses can be predicted in the same manner as overhead costs.
b. In estimating overhead costs, fixed, variable, and mixed costs must be identified.
c. Capital budgeting focuses on the short-term needs of the company.
d. The capital budget affects the master budget through depreciation expense and cash payments.
c
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To determine cash payments for operating expenses for the statement of cash flows using the direct method, adecrease in prepaid expenses is added to operating expenses other than depreciation
a. True b. False Indicate whether the statement is true or false
Cellphones & Calltime, Inc, makes an offer to Delores to enter into a contract to work as a salesperson for a certain base salary plus commission for ninety days subject to a one-year renewal based on her performance. Delores accepts the offer. A valid contract requires
a. a price and a subject. b. a duration and termination provision. c. an offer and an acceptance. d. specific quality standards.
Cotton Products Corporation is a public company whose shares are traded in the public securities markets. The Securities Act of 1933 requires Cotton to disclose financial and other significant information concerning its securities in order to
a. increase corporate accountability by imposing responsibility on chief corporate executives. b. prevent insiders from trading among themselves. c. protect investors. d. provide a "safe harbor" for companies that make forward-looking statements.
You plan to purchase a new car with a retail price of $26,499 after your trade-in and astute negotiations with the dealership sales manager. You have agreed to make 5 ANNUAL payments with an annual interest rate of 3.90%
How large are your equal annual end-of-the-year payments for your new car? A) $5299.80 B) $5,462.21 C) $5,841.89 D) $5,935.68