Consider a noninstantaneous replenishment situation in which the production rate is 100 units per day, the demand rate is four units per day, and the economic production lot size is 500 units. Which of the following statements is TRUE?
A) The average cycle inventory is fewer than 225 units.
B) The average cycle inventory is greater than 300 units.
C) The rate of buildup in cycle inventory during the production cycle is fewer than 100 units per day.
D) The rate of buildup in cycle inventory during the production cycle is greater than or equal to 400 units per day.
C
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Which of the following is an important factor that affects dividend policies of companies around the world?
A. Language differences B. Tax structures C. Marketing campaigns D. Takeover threats E. Manufacturing process
Utilization is the number of units a facility can hold, receive, store, or produce in a period of time
Indicate whether the statement is true or false
On January 1, Year 2 Boothe Company paid $12,000 cash to extend the useful life of a machine. Which of the following general journal entries would be required to recognize this expenditure?
A.
| Depreciation expense | 12,000 | |
| Cash | 12,000 |
B.
| Machine | 12,000 | |
| Cash | 12,000 |
C.
| Accumulated depreciation | 12,000 | |
| Cash | 12,000 |
D.
| Retained earnings | 12,000 | |
| Cash | 12,000 |
Which of the following best describes the manager of a profit center?
A) The manager is only responsible for controlling costs. B) The manager is responsible for generating profits and efficiently managing the center's invested capital. C) The manager is only responsible for generating revenues. D) The manager is responsible for generating revenues and controlling costs.