The gross profit method is more sensitive to price changes than the FIFO method and produces a more accurate estimate of current period ending inventory
Indicate whether the statement is true or false
False
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Scholastic Tours is trying to decide which one of two tours it will introduce. The costs and revenues associated with each alternative are listed below: Eastern Tour Western TourProjected revenue$14,000 $18,000 Variable costs 2,000 10,000 Fixed costs 6,000 6,000 Profit$6,000 $2,000 What are the incremental (differential) costs of the Western Tour?
A. $4,000 B. $8,000 C. $6,000 D. None of these.
Bonds Payable has a balance of $1,000,000 and Discount on Bonds Payable has a balance of $15,000. If the issuing corporation redeems the bonds at 97.5, what is the amount of gain or loss on redemption?
A) $10,000 loss B) $25,000 loss C) $25,000 gain D) $10,000 gain
Which of the following is not a reason why customer relationship management systems often do not live up to the expectations of senior managers?
a. Sales executives are not involved in the selection and deployment of the CRM system. b. CRM systems generally do not provide the ability to track profitability per customer, to detect customer dissatisfaction, or improve the selling process. c. Senior management does not consider CRM to be a strategic tool. d. CRM systems are relatively easy and inexpensive to implement. e. All are reasons why CRM systems often did not live up to the expectations of senior managers.
Describe the impact of trade promotions on cycle inventory
What will be an ideal response?