Which one of the following factors usually calls for a larger capacity cushion?
A) uncertain demand
B) high capital intensity
C) more reliable equipment
D) high worker flexibility
A
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When an entity reports on a sale of a component of the business
A) any income or loss from operations of the component should be reported in the income from continuing operations section, but any gain or loss on the sale of the component should be presented below the income from continuing operations section. B) current operating income or loss of the component and any gain or loss on sale of the component should be presented in a separate section of the income statement. C) any gain or loss on the sale should always be presented as a component of other comprehensive income. D) all information related to the sold component should be reported solely in the footnotes accompanying the financial statements.
According to ________, only the party who contracted for the accountant's work may sue
A) the Ultramares Doctrine B) Section 552 of the Restatement (Second) of Torts C) the reasonably foreseeable user rule D) market share theory
When the payment for an annuity is made at the end of each period, such an annuity is referred to as a(n) _____.
A. ordinary annuity B. annuity due C. immediate annuity D. terminal annuity E. discounted annuity
If an advertising statement is technically true but may tend to mislead, the FTC can still require a company to stop using it
Indicate whether the statement is true or false