U.S. GAAP and IFRS require firms to initially report the results of most income transactions in the
a. retained earnings bypassing the income statement.
b. income statement instead of bypassing the income statement and reporting the amounts in some other shareholders' equity account.
c. paid-in-capital bypassing the income statement.
d. retained earnings bypassing the income statement.
e. treasury stock bypassing the income statement.
B
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The number of setups would be an example of an activity driver in activity-based costing
Indicate whether the statement is true or false
Answer the following statements true (T) or false (F)
1. Joe, a plant manager, wants to institute a compensation system in which more efficient workers earn higher wages. Joe is proposing to institute a differential rate system. 2. The Hawthorne studies succeeded in drawing attention to the importance of "social man" and how managers using good human relations could improve worker productivity. 3. Olde Manufacturing, a parts supplier to the auto industry, has been using the behavioral approach to management for over 100 years. However, since that method of management is too simplistic for practical use, Olde should begin implementing the newer and more sophisticated human relations movement approach to management, which is the most contemporary approach to management. 4. Behavioral science relies on data from past sales to forecast human behavior to develop strategic plans and goals. 5. When the Americans entered World War II in 1941, they used the British model to form operations research teams to determine how to deploy troops, submarines, and equipment most effectively. These techniques have evolved into quantitative management.
Exhibit 4.1The balance sheet and income statement shown below are for Koski Inc. Note that the firm has no amortization charges, it does not lease any assets, none of its debt must be retired during the next 5 years, and the notes payable will be rolled over. Balance Sheet (Millions of $)Assets 2018 Cash and securities $3,000 Accounts receivable 15,000 Inventories 18,000 Total current assets $36,000 Net plant and equipment $24,000 Total assets $60,000 Liabilities and Equity Accounts payable $18,630 Accruals 8,370 Notes payable 6,000 Total current liabilities $33,000 Long-term bonds $9,000 Total liabilities $42,000 Common stock $5,040 Retained earnings 12,960 Total common equity $18,000 Total liabilities and equity $60,000 Income Statement (Millions of
$)2018Net sales $84,000 Operating costs except depreciation78,120 Depreciation 1,680 Earnings before interest and taxes (EBIT)$4,200 Less interest 900 Earnings before taxes (EBT) $3,300 Taxes 1,320 Net income $1,980 Other data: Shares outstanding (millions) 500.00 Common dividends (millions of $) $693.00 Int rate on notes payable & L-T bonds6% Federal plus state income tax rate40% Year-end stock price $47.52 ? Refer to Exhibit 4.1. What is the firm's days sales outstanding? Assume a 365-day year for this calculation. Do not round your intermediate calculations. A. 54.10 B. 76.91 C. 58.01 D. 50.19 E. 65.18
The finance department of Global Couriers decides that half of the previous year's profits should be reinvested into the business
The marketing department, however, plans to extend the company's services to five more cities, which would require additional investment. The department heads hold a meeting at the end of the quarter to discuss the company's strategies; the meeting is, however, adjourned when they realize that their opinions clash. Information silo, in this case, has led to ________.A) organizational inefficiency B) loss of business C) data duplication D) increased expense