Tosho Electronics, a leading Japanese, electronic manufacturer believes shorter product life cycles of new products reduces the scope for R&D and innovation. Offer a possible reason for shorter lifecycles
What will be an ideal response?
Student answers may vary.
Rivals are quick to copy success of an innovation. An innovative product is copied even before the company recovers the cost of R&D. This leads to shorter product life cycles for products.
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Which of the following bank accounts has the lowest effective annual return?
A. An account that pays 8% nominal interest with daily (365-day) compounding. B. An account that pays 8% nominal interest with monthly compounding. C. An account that pays 8% nominal interest with annual compounding. D. An account that pays 7% nominal interest with daily (365-day) compounding. E. An account that pays 7% nominal interest with monthly compounding.
Diehl Corporation uses an activity-based costing system with three activity cost pools. The company has provided the following data concerning its costs and its activity-based costing system:Costs:Manufacturing overhead$480,000Selling and administrative expenses 100,000Total 580,000Distribution of resource consumption:Activity Cost Pools?Order SizeCustomer SupportOtherTotalManufacturing overhead5%85%10%100%Selling and administrative expenses60%20%20%100%The "Other" activity cost pool consists of the costs of idle capacity and organization-sustaining costs.You have been asked to complete the first-stage allocation of costs to the activity cost pools.How much cost, in total, should NOT be allocated to orders and products in the second stage of the allocation process if the
activity-based costing system is used for internal decision-making? A. $68,000 B. $58,000 C. $0 D. $116,000
An insurance company has determined that each week an average of 9 claims are filed in its Atlanta branch. What is the probability that during the next week
a. exactly 7 claims will be filed? b. no claims will be filed? c. less than 4 claims will be filed? d. at least 18 claims will be filed?
Participative budgeting is more likely to motivate people to work toward the organization's goals than is a top-down approach.
Answer the following statement true (T) or false (F)