Answer the following statements true (T) or false (F)
1. Available-for-sale debt investments include all trading debt and held-to-maturity debt investments.
2. Controlling interest equity investments are debt securities in which the investor owns more than 50% of the investee's voting stock.
3. Significant influence equity investments are reported as current assets on the balance sheet.
4. No significant influence equity investments generally involve the ownership of less than 20% of the investee's voting stock.
1. FALSE
2. FALSE
3. FALSE
4. TRUE
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Which of the following is NOT one of the ways in which a fraud investigation must be conducted?
a. Investigators should be experienced and objective professionals. b. Investigators should closely guard all hypotheses regarding guilt or innocence of individuals being investigated. c. Investigators should inform management of only the basics of the investigations in case they are involved. d. Investigators must be sure to follow appropriate investigative techniques.
Vertigo is an electronics company. According to the BCG matrix, which of the following products of Vertigo would most likely classify as a question mark?
A) Blue — a cell phone that is designed for music lovers and has a very low market share in a market that is growing steadily B) Electra — a home entertainment system that has a strong market share in a market that is likely to expand in the future C) Jump — an MP3 player that has a high market share in a market that is not expected to grow significantly D) SpinDrive — a car audio system that has a high market share in a market that has been growing constantly E) SoLo — a CD player that has a very low market share in a market that is shrinking rapidly
Baughn Corporation, which has only one product, has provided the following data concerning its most recent month of operations: Selling price$115 Units in beginning inventory 0Units produced 6,600Units sold 6,400Units in ending inventory 200 Variable costs per unit: Direct materials$26Direct labor$46Variable manufacturing overhead$7Variable selling and administrative expense$9Fixed costs: Fixed manufacturing overhead$105,600Fixed selling and administrative expense$51,200What is the unit product cost for the month under variable costing?
A. $79 per unit B. $88 per unit C. $104 per unit D. $95 per unit
Owning a patent:
A. Gives the owner the exclusive right to publish and sell a musical or literary work during the life of the creator plus 70 years. B. Gives its owner an exclusive right to manufacture and sell a device or to use a process for 50 years. C. Gives its owner the exclusive right to publish and sell a musical or literary work during the life of the creator plus 17 years. D. Gives the owner exclusive rights to manufacture and sell a patented item or to use a process for 20 years. E. Indicates that the value of a company exceeds the fair market value of a company's net assets if purchased separately.