Which of the following will occur when inventory costs are decreasing?
a. LIFO will result in lower net income and lower ending inventory than will FIFO.
b. FIFO will result in lower net income and lower ending inventory than will LIFO.
c. LIFO will result in a lower net income, but a higher ending inventory, than will FIFO.
d. FIFO will result in a lower net income, but a higher ending inventory, than will LIFO.
B
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Syeda bought a thermos bottle from Pentagon Corp. When using it for the first time, she poured coffee into it and was adding some warm milk when it exploded, sending shards of glass into her face and injuring her right eye. Syeda testified that she had not dropped the thermos and had not abused it. She sued Pentagon, claiming, among other things, breach of warranty of merchantability. Under the Uniform Commercial Code, was the warranty of merchantability breached?
What will be an ideal response?
Repair Service enters into a contract to fix washing machines in Soapy Suds Company’s coin-operated laundries. Repair breaches the contract. Soapy is awarded compensatory damages. The purpose is to
A. establish, as a matter of principle, that Repair acted wrongfully. B. provide Soapy with funds for a loss beyond the contract. C. provide Soapy with funds for its loss of the bargain. D. punish Repair and deter others from similar acts.
On a statement of cash flows prepared using the direct method, if accounts receivable decrease from one accounting period to the next, cash receipts from sales will not be as great as sales
Indicate whether the statement is true or false
Which is not a strategic consideration listed in the chapter that assists managers in preparation for meetings?
A. whether to meet B. physical facilities C. feedback D. leadership style