What are some of the variables that make a plant asset's useful life difficult to predict?
What will be an ideal response?
There are several factors that make it difficult to predict an asset's useful life. A major variable is the wear and tear for the asset's use in operations. Inadequacy, the insufficient capacity of a company's plant assets to meet the company's growing productive demands, is a second factor. Obsolescence, the issue of a plant asset that is no longer useful in producing goods and services, is a third factor. Both inadequacy and obsolescence are difficult to predict because the timing of demand changes, and new inventions, and improvements is unknown.
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A tax of 15 percent per imported item is an example of a(an)
a. ad valorem tariff. b. specific tariff. c. compound tariff. d. optimum tariff.
Which of the following statements describes an invoice from a supplier?
A) It is an order to purchase goods from a supplier. B) It is a statement from the supplier showing the goods purchased and the amount due. C) It is a report showing that the goods have been received in good condition, as ordered. D) It is a document authorizing a payment to a supplier.
Sales promotion activities account for the bulk of most firms' promotional budgets.
Answer the following statement true (T) or false (F)
An example of an intangible cost, as it relates to location decisions, is the quality of education
Indicate whether the statement is true or false