You just saw an advertisement in the newspaper for a very inexpensive big screen television on sale at a local department store. The ad implies the TV has all the features that a customer would want in that type of TV. You get to the department store and the television that is on display that matches the price does not look like the TV in the ad, nor does it have the functions that you would expect in a big screen TV. The salesperson tells you that you should look at the model staged next to the model on sale, which has all the features you are looking for, but is $200 more. What do you think the pricing strategy is that this company used in this instance?
What will be an ideal response?
This is an example of deceptive pricing. The company has advertised a low price to entice customers into the store, and then when the customers see that the product does not meet their needs and/or wants, salespeople try to get the customer to buy a higher priced product. The consumer can complain to the Federal Trade Commission (FTC) about this deceptive pricing.
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During October, Department A of Answer Inc started 320,000 units of product in a particular manufacturing process. The beginning work in process inventory was 50,000 units, and the ending inventory was 30,000 units. Direct materials are introduced at the start of processing, and beginning and ending inventories are considered to be 50 percent complete with respect to conversion costs. Department
A uses the FIFO costing method. Units transferred out of Department A of Answer during October were A) 335,000. B) 370,000. C) 325,000. D) 340,000.
When a job costing $5,000 is completed, the following journal entry is made:
A) Finished Goods 5,000Cost of Goods Sold 5,000 B) Cost of Goods Sold 5,000Finished Goods 5,000 C) Work-in-Process 5,000Finished Goods 5,000 D) Finished Goods 5,000Work-in-Process 5,000 E) Cost of Goods Sold 5,000Sales 5,000
________ and ________ are synonymous with teamwork
A) Cooperation, collaboration B) Independence, initiative C) Competition, conflict D) Assertiveness, satisfaction
Tamara uses the cognitive behavioral approach to stress management, so she begins to
A) meditate when faced with a major problem. B) search in advance for the negatives in a situation that could cause problems. C) blame other people rather than herself for her personal problems. D) overcome some of her negative thoughts that create stress.