The sampling distribution of 
- 
is approximated by a
A. normal distribution.
B. t distribution with n1 + n2 degrees of freedom.
C. t distribution with n1 + n2 - 1 degrees of freedom.
D. - distribution.
Answer: A
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What makes point-of-sale systems different from revenue cycles of manufacturing firms?
A ________ can be defined as the total profits in an industry at all points along the industry's value chain.
A. profit outsourcer B. profit maximizer C. revenue enhancer D. profit pool
Comfort Cruiser Company manufactures 100 luxury yachts per month. Included in each yacht is a compact media center. Comfort Cruiser manufactures the media center in-house. The company is considering the possibility of outsourcing the production of the media centers in order to close down some of its facilities and reduce the administrative costs. At present, the variable cost per unit is $275, and fixed costs are $55,000 per month. Assume that if it outsources, fixed costs could be reduced by 60%. The production manager advised the company to contract with a foreign supplier who offered a contract cost of $410 per unit. If it outsources the media center, how would that affect operating income?
A) Operating income would increase by $19,500. B) Operating income would increase by $33,000. C) Operating income would decline by $19,500. D) Operating income would remain the same.
Which of the following costs is a mixed cost?
A) Salary of a factory supervisor B) Electricity costs of $2 per kilowatt-hour C) Rental costs of $5,000 per month plus $.30 per machine hour of use D) Straight-line depreciation on factory equipment