Vertical integration is attractive when

A. transaction costs are higher than internal administrative costs.
B. search costs are higher than monitoring costs.
C. internal administrative costs are higher than transaction costs.
D. transaction costs and internal administrative costs are equal.


Answer: A

Business

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In a hashing structure,

a. two records can be stored at the same address. b. pointers are used to indicate the location of all records. c. pointers are used to indicate the location of a record with the same address as another record. d. all locations on the disk are used for record storage.

Business

The Bowden Corporation makes a single product. Only one kind of direct material is used to make this product. The company uses a standard cost system. The company's cost records for June show the following data: Number of units produced 10,000 Material price variance$8,400FavorableMaterial quantity variance$8,000UnfavorableActual direct material purchased and used 21,000poundsDirect materials standard price$8per pound?There were no beginning inventories of direct materials.?The actual cost of direct material was:

A. $7.60 per pound B. $7.42 per pounds C. $8.12 per pound D. $8.00 per pound

Business

A spreadsheet contains employee salary information used to calculate payroll deductions. Column D contains weekly gross earnings, Column E contains Social Security, Column F contains Medicare, Column G contains federal income tax, and Column H contains

state income tax. Assume Cells E2, F2, and H2 contain the percent rates for each respective deduction. What formulas would be contained in Cells E3, F3, and H3 to calculate payroll deductions for an employee? Use absolute cell references.

Business

Short-term investments include:

A. Funds earmarked for a special purpose such as bond sinking funds. B. Bonds not intended to be converted into cash. C. Sinking funds not intended to be converted into cash. D. Stocks not intended to be converted into cash. E. Securities that management intends to convert to cash within the longer of one year or the current operating cycle, and are readily convertible to cash.

Business