Purchased goodwill should
a. be written off as soon as possible against retained earnings.
b. be written off as soon as possible as an extraordinary item.
c. be written off by systematic charges as a regular operating expense over the period benefited.
d. not be amortized.
Answer: d. not be amortized.
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Marcy and Elliot are both sophisticated merchants who deal in diamonds. Marcy contracted to purchase a diamond for $20,000 . The day after the purchase, Marcy took the diamond to a jeweler's show but the highest offer for the diamond was only $10,000 . Is Marcy's contract for purchase of the diamond for $20,000 unconscionable?
Customer value is
A) the sum of the supply chain surplus and supply chain cost. B) the remainder after supply chain cost is subtracted from supply chain surplus. C) the remainder after supply chain surplus is subtracted from supply chain cost. D) supply chain profitability minus the supply chain cost.
Without exception, any duty can be delegated
Indicate whether the statement is true or false
Dibert Inc. has provided the following data concerning one of the products in its standard cost system.InputsStandard Quantity or Hours per Unit of OutputStandard Price or RateDirect labor0.70 hours$20.40 per hourThe company has reported the following actual results for the product for February: Actual output 5,100unitsActual direct labor-hours 3,380hoursActual direct labor cost$74,698 The labor efficiency variance for the month is closest to:
A. $4,199 F B. $3,876 U C. $4,199 U D. $3,876 F