Pedro receives an unordered three-CD set in the mail accompanied by the statement, "This CD set can be purchased for the special price of $19.95 . If the CDs are not returned within two weeks they will be deemed accepted and the payment is due within 30 days of receipt of the CDs.". Pedro is under no obligation to either return the CDs or to pay for them; he may use them or give or throw them
away.
a. True
b. False
Indicate whether the statement is true or false
True
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Which of the following does not represent the impact of the use of stock options when comparing operating cash flows?
A. Stock based compensation impacts income taxes and that impact is reflected in the statement of cash flows. B. Stock based compensation is not presented in the statement of cash flows. C. Stock based compensation is a simultaneous operating and financing transaction and must appear in both sections of the statement of cash flows. D. Firms not using stock options will generally have lower compensation expense and higher net income.
Americans typically want to "go it alone." As a result, they may be outnumbered in a negotiation situation
Indicate whether the statement is true or false
In one sentence, what does updating a master file record involve?
Inscribe, Inc. manufactures and sells pens for $7 each. Cubby Corp. has offered Inscribe, Inc. $4 per pen for a one-time order of 3600 pens. The total manufacturing cost per pen, using absorption costing, is $1 per unit and consists of variable costs of $0.85 per pen and fixed overhead costs of $0.15 per pen. Assume that Inscribe, Inc. has excess capacity and that the special pricing order would not adversely affect regular sales. What is the change in operating income that would result from accepting the special pricing order?
A) increase of $10,800 B) decrease of $10,800 C) increase of $11,340 D) decrease of $11,340