Which one of the following statements is TRUE?
A. Personal use of the corporate jet is an example of a nonpecuniary benefit.
B. A supplier substituting a lower-quality raw material without approval is an example of asset switching.
C. An agency problem occurs when an owner/manager sells stock to an outside investor and the owner/manager fears the outside investor will consume too many perquisites.
D. An agency conflict between inside owners/managers and outside owners occurs when the outside owners sell their shares to someone else.
E. A quarter-end bonus is an example of a nonpecuniary benefit.
Answer: A
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List the direct labor variances and briefly describe each.
What will be an ideal response?
A breach of the duty of care by a partner does not constitute negligence
Indicate whether the statement is true or false
Guardian Security, Inc, and Hedge Fund Corporation enter into an oral contract under which Guardian Security agrees to provide security services for Hedge Fund offices for as long as Hedge Fund needs them. This contract may be enforce¬able by
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Laminates Inc has as age of inventory of 43 days, an age of receivables of 47 days and an age of payables of 61 days. Their closest competitor, Natural Inc, has comparable numbers of 51 days, 32 days and 55 days
Which of the following statements is TRUE? A) Laminates has the shorter and more desirable working capital gap of 57 days compared to Natural's WCG of 74 days. B) Laminates has the longer and less desirable working capital gap of 65 days compared to Natural's WCG of 36 days. C) Laminates has the shorter and less desirable working capital gap of 28 days compared to Natural's WCG of 49 days. D) Laminates has the longer and less desirable working capital gap of 29 days compared to Natural's WCG of 28 days.