What criterion or criteria must sales transactions meet in order for the seller to recognize revenues before collecting cash?
a. The revenues must be earned (the firm must have achieved substantial performance).
b. The amount to be received must qualify as an asset (there must be a future economic benefit and the amount must be measured with sufficient reliability).
c. The firm must have a reasonable expectation that it will collect the amount owed from the customer.
d. All of the above.
e. None of the above.
D
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Excursion Corp increased its dollar amount of working capital over the past several years. To further evaluate the company's short-run liquidity, which one of the following measures should be used?
a. The current ratio b. An analysis of the company's longterm debt c. An analysis of the return on stockholders' equity d. An analysis of retained earnings
Electronic channels are associated with:
A) high cost and narrow distribution. B) high cost and difficulty in accessing. C) low cost and ease of access. D) low cost and narrow distribution.
“Making sure that the needed supplies, equipment, and facilities are available” is which of the following management functions?
a. Guidance b. Managing materials c. Supervision d. Monitoring
The North American Industry Classification System (NAICS) designates industries with a numerical code in a defined structure. A six-digit coding system is used. The sixth digit designates a(n)
A. industry group. B. specific industry. C. individual country-level national industry. D. sector of the economy. E. industry subsector.