When a buying division elects to purchase from an outside supplier,

A) the impact on overall company profits is usually not considered in the decision.
B) only fixed costs should be included in the decision analysis.
C) the price from the outside supplier is likely to be more than the incremental cost to the supplying division.
D) overall company profits should be enhanced.


D

Business

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While distributive justice is about the distribution of outcomes, procedural justice is about the ________ of determining outcomes.

Fill in the blank(s) with the appropriate word(s).

Business

Which of the following statements concerning standards is false?

a. If the company uses more material than was originally planned, the direct material quantity variance will be unfavorable. b. If the employees work fewer hours than originally planned, the direct labor quantity variance will be favorable. c. If a company pays less per pound than originally planned, the direct material price variance will be favorable. d. If employees are paid more than the standard rate per hour, the direct labor quantity variance will be unfavorable.

Business

Consider each of the following general journal entries.  Required: Assume the company's return-on assets ratio is less than 1.0, debt-to-assets ratio is less than 1.0, and its return-on assets ratio is less than 1.0 before these transactions listed above took place. Consider the effect of each journal entry on these three ratios. Enter an "I" if the entry increases the ratio, a "D" if the ratio decreases the ratio, or "NC" if the ratio does not change as a result of a given transaction.

What will be an ideal response?

Business

The most common result of opposition to a merger, such as the proposed merger of Staples and Office Depot, is that:

a. the case goes to the courts for review b. the case goes to a special tribunal for review c. the two companies have to pay high fines d. the two companies have to pay minor fines e. none of the other choices are correct

Business