A firm may factor its accounts receivable to a bank or other financial institution in exchange for cash. Which of the following is/are not true?
a. The lender physically controls the receivables and collects cash from customers.
b. Accounts receivable that the firm has factored do not appear on the balance sheet.
c. The firm has sold the accounts receivable.
d. The firm should disclose the factoring arrangement in its financial reports.
e. None of the above.
D
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Which of the following is NOT one of the ways companies can utilize cell phones to market to or track consumers?
A) utilize GPS data to provide location-based offers B) utilize digital in-store signs that dispense coupons to smart phones C) utilize cookies to track mobile activity D) track behavior across tablets and mobile devices using screen identities E) track loyalty program participation
A performance management and evaluation system is a set of procedures that account for and report on
A) qualitative performance. B) standard performance. C) employee performance. D) financial and nonfinancial performance.
Polynesia Company manufactures sonars for fishing boats
Its Model 70 sells for $300. Polynesia produces and sells 5,700 of them per year. Cost data follow: Variable manufacturing $100 per unit Variable selling and administrative $17 per unit Fixed manufacturing $290,000 per year Fixed selling and administrative $150,000 per year Arthur Bailey, the sales manager, wants to offer a special sale to a new customer that outfits boats. He proposes a sale of 41 units at a special price of $148 per unit. Arthur believes that it will not affect the company's regular sales in the long run because it is a one-time transaction. The sale will require the normal variable costs, both selling and administrative costs and manufacturing costs, but will not impact the fixed costs. The president of the company has some reservations but finally agrees to make the deal if and only if it adds a minimum of $1,500 to operating income. Based on the president's criteria, Polynesia will not make the offer. Indicate whether the statement is true or false
A question of ethics
John Schwanbeck entered into negotiations with Federal-Mogul Corp to purchase Federal-Mogul's Vellumoid Division. The two parties drew up a letter of intent stating that "