An understatement of ending inventory in one period results in
A) an overstatement of the ending inventory of the next period.
B) an understatement of gross margin of the next period.
C) an overstatement of gross margin of the next period.
D) no effect on gross margin of the next period.
C
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Which of the following principals require an exchange transaction to be reported as significant noncash transaction either in a separate schedule or in a footnote to the financial statements?
a. Conservatism b. Economic entity c. Matching d. Full disclosure
Determine the critical path
Consider the following project. Activity Immediate Processor Activity Time (days) A - 6 B - 8 C A, B 5 D B 4 E C 7 F C, D 3 G D 6 H E, F, G 5 A) ACEH B) BCEH C) BDFH D) BDGH
The Central Limit Theorem:
A) is the theoretical foundation of the c-chart. B) states that the average of assignable variations is zero. C) allows managers to use the normal distribution as the basis for building some control charts. D) states that the average range can be used as a proxy for the standard deviation. E) controls the steepness of an operating characteristic curve.
Which sourcing strategy is particularly common when the products being sourced are commodities?
A) few suppliers B) many suppliers C) keiretsu D) vertical integration E) virtual companies