Barry Corp. reported 2016 net income of $40,000. However, the ending inventory in 2015 had been understated by $3,000, and 2016's ending inventory had been overstated by $6,000. Barry's correct net income for 2016 was
A. $31,000
B. $34,000
C. $43,000
D. $46,000
Answer: A
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Which of the following is reported as a financing activity?
a. Declaration of dividends b. Sale of preferred stock c. Conversion of preferred stock to common stock d. Stock split
The following amounts are from Silverton Co's 2014 income statement: Sales ................................................. $340,000 Sales returns and allowances .......................... 5,000 Cost of goods sold .................................... 132,000 Utilities expense ..................................... 66,000 Interest revenue ...................................... 1,000 Income tax on
operations .............................. 28,000 Extraordinary loss due to earthquake, net of tax ...... 5,000 Interest expense ...................................... 4,000 Salaries expense ...................................... 46,000 Loss on sale of investments ........................... 3,000 What amount would Silverton show for income from continuing operations on a multiple-step format income statement? a. $52,000 b. $68,000 c. $57,000 d. $96,000
Recently, Mercedes-Benz quietly reduced its warranty coverage by eliminating some free scheduled maintenance because the expense for the firm was too high. At the same time, Hyundai and others have expanded their warranties to build consumer confidence in their cars. They realize that extending the period of warranty coverage demonstrates they are making better cars in a very tangible way. These are examples of firms considering the ________ of product warranty.
A. product differentiation B. persuasiveness C. storage and handling D. costs versus benefits E. message
Corporate directors and officers are insurers of business success
Indicate whether the statement is true or false