Wasted capacity (or inventory) occurs when
A) there are excessive cancellations.
B) there are few cancellations.
C) an expensive backup needs to be arranged.
D) all of the above
Answer: A
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While sitting at her desk, Ann is setting goals and deciding how to achieve them. She is
A. planning. B. controlling. C. delegating. D. diversifying. E. synergizing.
When managing inventory in a just-in-time environment, there is less need to control personnel
Indicate whether the statement is true or false
Discuss the first two levels of the environmental sustainability portfolio that pay off in the short term
What will be an ideal response?
In Western reviewed their estimated warranty costs which at that time was 5% of sales. This estimated was based upon the warranty accrual method. In 2016 net sales were $3,250,000 they recorded warranty expense of $162,500. Due to some pending changes in product improvement and certain economic factors the company saw a drastic drop in their warranty claims for 2017. The company decided for 2017 to reduce the estimate to 3% of sales. In 2017 Western reported net sales of $3,500,000. ? ? Required: 1) How should the company report the change and why? ? 2) Prepare any necessary journal entries for 2016 or 2017 to account for the change.
What will be an ideal response?