Motor Mike builds recreational motor homes. All of the following activities add value to the finished product except:
A. final painting and polishing.
B. addition of exterior lights.
C. installation of carpet.
D. assembly of the frame to the chassis.
E. storage of the vehicle in the sales area.
Answer: E
You might also like to view...
A _____ budget allocates resources on the basis of a single estimate of costs.
A. unitary B. zero-based C. cash D. incremental E. fixed or static
The following information is reported in the operating activities section of Gateway's statement of cash flows for 2016: Net income $1,200,000 Increase in inventories 600,000 Decrease in accounts payable 400,000 Which one of the following conclusions can be assumed from the information provided?
a. Gateway purchased more merchandise than it sold in 2016. b. Cash payments for merchandise exceeded cost of goods sold by $200,000. c. Gateway used the direct method to determine cash flows from operating activities. d. Cash payments for merchandise purchases were less than the amount of merchandise purchased on credit during 2016.
A low price buys market share but not market loyalty. The same customers will shift to any lower-priced product that may come along. This is called the ________
A) low-price trap B) relative-market-share trap C) shallow-pockets trap D) target-market-share trap E) fragile-market-share trap
Operating budgets include all the following budgets except the:
A. Sales budget. B. Cash budget. C. Production budget. D. Selling expense budget. E. General and administrative expense budget.