Which of the following statements is true regarding regression analysis?
A) It is usually the most accurate technique used to determine equivalent units.
B) It is usually the most accurate technique used to determine net income.
C) It is usually the most accurate technique used to determine the total units of production.
D) It is usually the most accurate technique used to determine mixed cost behavior.
D
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On July 8, Alton Co issued an $80,000, 6%, 120-day note payable to Seller Co Assume that the fiscal year of Alton Co ends July 31. Using the 360-day year in your calculations, what is the amount of interest expense recognized by Alton in the current fiscal year?
A) $1,200.00 B) $106.67 C) $306.67 D) $400.00
If Geico Insurance began selling t-shirts featuring its infamous gecko to try to capitalize on its brand name, this would be an example of
A. diversification. B. market penetration. C. positioning. D. market development. E. product development.
Furtado Incorporated makes a single product-a cooling coil used in commercial refrigerators. The company has a standard cost system in which it applies overhead to this product based on the standard labor-hours allowed for the actual output of the period. Data concerning the most recent year appear below: Total budgeted manufacturing overhead$191,940 Budgeted hours 21,000labor-hours Actual production (a) 35,000unitsStandard hours per unit (b) 0.70labor-hoursStandard hours allowed for the actual production (a) × (b) 24,500labor-hours Total actual manufacturing overhead$190,874 Actual hours 23,200labor-hours?The total amount of manufacturing overhead applied is closest to:
A. $190,874 B. $212,048 C. $201,600 D. $223,930
The market risk premium:
A) varies over time as both the risk-free rate of return and the market rate of return vary. B) plus the risk-free rate of return equals the cost of capital for any firm with a beta of zero. C) is equal to one percent for a risk-free asset. D) is equal to the risk-free rate of return multiplied by the beta of a firm. E) is modified by the standard deviation when computing the cost of equity.