What is the margin of safety? List three ways in which margin of safety can be expressed.
What will be an ideal response?
The margin of safety is the excess of expected sales over breakeven sales. The margin of
safety can be expressed in units, in dollars, or as a ratio.
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Utah Co sold merchandise to Big Sky Corp on December 1, 2014, for $9,000, and accepted a promissory note for payment in the same amount. The note has a term of 90 days and a stated interest rate of 8%. Utah's accounting period ends on December 31. What is the actual maturity date of the note?
a. December 31, 2014 b. January 29, 2015 c. February 28, 2015 d. March 1, 2015
Standard costs can be used with both the process cost and job order cost systems
Indicate whether the statement is true or false
Unless employees can see a connection between performance and merit increases, money will not be a powerful motivator.
Answer the following statement true (T) or false (F)
Staples are consumer products that are sold in places like gourmet shops and health food stores, because convenience is not important to the customer.
Answer the following statement true (T) or false (F)