What is the second step of capital budgeting?
a. Gathering the money for investment.
b. Identifying potential projects.
c. Getting the accountant involved.
d. All of the above.
Identifying potential projects.
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By 2010, only ________ percent of US households were traditional households
A) 20 B) 25 C) 28 D) 31 E) 33
When calculating a partial year's depreciation, the length of time an asset has been owned usually is rounded to the nearest month. This rounding practice is justified by the principle or rule of
a. matching. b. materiality. c. conservatism. d. full disclosure.
Gershwin Company reported net income of $428,000 and paid $8,500 in preferred cash dividends during the current year. The company had 110,000 common shares issued, and 10,000 common shares in treasury during the year. The year-end market price per common share was $41.05. Calculate the company's price-earnings ratio.
What will be an ideal response?
Based on experience, the manager at the Giraffe Hotel decides to accept a reservation for a party of 12 guests knowing that his hotel is sold out. He is accepting the reservation because:
A. he can cancel the reservations of the 12 lowest-paying guests and get more revenue from the new guests
b. he can make arrangements with the neighboring hotel to accept the 12 guests
c. he is using overbooking techniques and has determined that he can safely accept the 12 guests
d. he knows he will have 6 cancellations and 6 no-shows among the current reservations