Which of the following statements is false?
A. The estimated net realizable value for a product is its estimated selling price after processing the product beyond the split-off point.
B. The estimated net realizable value at the split-off point is calculated by taking the sales value after further processing and deducting the additional processing costs.
C. In general, it is better to use a product's market value at the split-off point than its estimated net realizable value.
D. It is better to use the net realizable value method for allocating joint costs than the estimated net realizable value method.
Answer: A
You might also like to view...
In considering equity and debt financing, which of the following statements is true?
a. Compared to equity financing, debt is a more expensive source of funding. b. Interest and dividends payments are required to be made by the issuing corporation. c. In general, the higher the proportion of total debt-to-equity ratio, the greater the likelihood the firm will have difficulty in meeting its obligations in some future period. d. Most firms prefer to have no debt and rely on equity financing.
Which metaphor best captures the role of a project manager?
A. The conductor of an orchestra B. A mathematics instructor C. The point guard on a basketball team D. A scout on an exploration E. A programmer on a software development team
Which of the following is not a guideline for budget preparation?
a. Include financial data only. b. Know the sources of budget information. c. Know the purpose of the budget. d. Identify the format of the budget.
Which of the following is true for the passage of title in a contract requiring a document of title?
A) The title passes when the shipping arrangements are made. B) The title passes at the time and place of contracting. C) The title passes when the destination of delivery is first mentioned in the contract. D) The title passes when and where the seller delivers the document to the buyer.