During Year 2, Chico Company earned $3500 of cash revenue, paid $1450 of cash expenses, and paid a $950 cash dividend to its owners. Based on this information alone, which of the following statements is not true?
A. Total assets increased by $1100.
B. Net income amounted to $2050.
C. Cash inflow from operating activities was $2050.
D. Cash inflow from operating activities was $1100.
Answer: D
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A company purchased 500 units for $40 each on January 31. It purchased 200 units for $35 each on February 28. It sold a total of 200 units for $50 each from March 1 through December 31. If the company uses the weighted-average inventory costing method, calculate the cost of ending inventory on December 31. (Assume that the company uses a perpetual inventory system. Round any intermediate calculations two decimal places, and your final answer to the nearest dollar.)
A) $27,000 B) $19,285 C) $7,715 D) $18,750
Which is true about outsourcing?
A. Successful outsourcing creates jobs for the organization hiring the outsourcer; however, it does not increase jobs for the supplier of the outsourced services. B. Support of custom-written applications is a popular activity to outsource as outsourcers typically have more time and resources to dedicate to that type of support. C. The advantage of outsourcing is that once the contract is signed, the company who has hired the outsourcer does not have responsibility for the outsourced services. D. Due to the desire to outsource, there has been an increase in the number of companies that offer service desk outsourcing services.
A trial balance is useful because it indicates that
a. owners' equity is correct. b. net income is correct. c. all entries were made correctly. d. total debits equal total credits.
Odd pricing can backfire if misapplied, especially with respect to service industries.
Answer the following statement true (T) or false (F)