Scenario 3.2 Use the following to answer the questions. Clayton Homes, a mobile home manufacturer since 1934, introduced its new i-House in 2007. The i-House is one of the first of its kind, designed as an updated, modern version of the modular home, offered as a base home plus add-ons known as "pods." The base home is a one-bedroom, one-bath, 734-square-foot version at a price of around $80,000. There is also a 1,000-square-foot version for around $100,000. All versions may add on the additional one-room pods, which are shipped to your location and constructed on site. The homes offer galvanized metal roofing, corrugated steel siding, VOC-free paints, and a "butterfly" roof that collects rainwater. The i-House uses 30% less energy than a similar square-foot home and offers "green"
characteristics of solar panels, tankless water heaters, and low-flow faucets. In addition, it comes with bamboo flooring, a renewable resource. The modular, prefabricated design offers endless options for creating the customer's home, and its engineered building system cuts down on construction waste. Due to the "green effects" of the i-House, the state governments have given it a tax abatement for any sales taxes. Refer to Scenario 3.2. The income a consumer would use to purchase an i-House is considered ____ income.
A. discretionary
B. buying power
C. disposable
D. consumer spending
E. comprehensive spending
Answer: C
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If a foreign company is taken over by the host country government, and some form of compensation is paid, "confiscation" has occurred
Indicate whether the statement is true or false
In a five number summary, which of the following is not used for data summarization?
A. The smallest value B. The largest value C. The mean D. The median
Kanbar Novelties is a wholesaler of costumes and costume accessories in the U.S. Gwen's Barrow is a retail store in Iowa that sells Halloween costumes. Gwen's Barrow placed an order for 75 ninja swords, made of glass, from Kanbar Novelties. Kanbar placed the swords in cardboard boxes and shipped them by railroad, without wrapping them in protective material. Moreover, Kanbar failed to indicate that the box contained fragile goods. As a result, there was no care taken to ensure that the box was handled safely. The box was placed under other heavier goods which crushed the glass swords in the box. Kanbar claimed that its obligations ended with the delivery to the carrier and that the risk of loss was on Gwen's Barrow. What argument would you make in favor of Gwen's Barrow?
What will be an ideal response?
Stanley Company purchased a machine that was installed and placed in service on January 2, 2013 . at a total cost of $680,000 . Residual value was estimated at $70,000 . The machine is being depreciated over ten years by the double-declining-balance method. For the year 2014, Stanley should record depreciation expense of
a. $108,800 b. $97,600 c. $68,000 d. $61,000