If the present value of a given sum is equal to its future value, then:
A) the discount rate must be very high.
B) there is no inflation.
C) the discount rate must be zero.
D) none of the above are correct.
C
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Geoff's fiancée, Susan, comes to meet his parents for the weekend. On Saturday morning, while using Geoff's mother's hair dryer, the blower short-circuits sending sparks across the guest room. Susan's angora sweater and her hands are covered with tiny burns. Susan's mother is a lawyer and wants her to sue the seller of the dryer for breach of warranty. Can she?
a. No, because horizontal privity would extend only to members of the family. b. No, because privity would require that Geoff's mother sue. c. Yes, since she is a guest in the home of the buyer, the warranties would extend to her in most states. d. Yes, since under the Code all reasonable users are protected from injury.
The fixed overhead cost variance measures the difference between actual fixed overhead and allocated fixed overhead
Indicate whether the statement is true or false
Sales returns:
A. Represent cash discounts. B. Are not recorded under the perpetual inventory system until the end of each accounting period. C. Refer to reductions in the selling price of merchandise sold to customers. D. Refer to merchandise that customers return to the seller after the sale. E. Represent trade discounts.
Most companies become involved in direct exporting when
A. the domestic market becomes saturated with competing products and services. B. foreign governments believe that they will benefit the most from allowing the entry of direct exports. C. they believe their volume of sales will be sufficiently large and easy to obtain so that they do not require intermediaries. D. evolving technologies in foreign countries come online. E. emerging markets in foreign countries become economically viable.