Piersall Company makes a variety of paper products. One product is 20 lb copier paper, packaged 5,000 sheets to a box. One box normally sells for $18. A large bank offered to purchase 3,000 boxes at $14 per box. Costs per box are as follows: Direct materials $8 Direct labor 3 Variable overhead 1 Fixed overhead 5 No variable marketing costs would be incurred on the order. The company is operating
significantly below the maximum productive capacity. No fixed costs are avoidable. Should Piersall accepts the order?
A) Yes, income will increase by $6,000
B) Yes, income will increase by $9,000
C) No, income will decrease by $3,000
D) No, income will decrease by $6,000
E) It doesn't matter, there will be no impact on income
A
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Which of the following is the role of attorneys as "gatekeepers"?
A. Evaluating a company's financial prospects or creditworthiness B. Functioning as intermediaries between a company's stockholders and its executives C. Ensuring that a company's decisions and transactions conform to the law D. Verifying a company's financial statements
Compare and contrast the integration, differentiation, and fragmentation perspectives of organizational culture.
What will be an ideal response?
One day the team leader asks Victoria and Ted to conduct an extensive analysis of how much water the company is using in getting raw fruit ready for preparation as ingredients in fruit-flavored drinks
A third team member, Rachel, will also be part of their sub-team. Victoria and Ted are delighted to have this important assignment, yet they agree that Rachel may be too weak with statistical analysis to do a competent job. What do you recommend that Victoria and Ted do in this situation? A) Explain to the team leader that if you put a poorly qualified team member on an assignment, failure will be inevitable. B) Encourage Rachel to do busywork parts of the water analysis, and conduct the key statistical analysis themselves. C) Criticize Rachel about her statistical skills right away, so she might turn down the sub-team assignment. D) Ask Rachel to do part of the statistical analysis, and express confidence in her abilities.
Which type of mutual fund would be most likely to invest in small companies with high growth potential?
A. international funds B. aggressive growth funds C. long-term growth funds D. growth and income funds