False
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Answer:
The Bullwhip Effect
Explanation:
Bullwhip effect is a phenomenon that occurs in an organisation's channel of distribution due to swings or erratic demands for products by customers. This erratic nature of demands will usually lead to forecasting inefficiencies especially in meeting the demands through the supply chain.
A sudden increase in demand could lead to production planning problems because there might not be enough inventory of materials on ground to meet the demand. Also, a sudden decrease in demand can bring the challenge of excess inventory of materials which may not be needed for production for a while.
One of the measures taken to manage this erratic nature of demands is to ensure that whatever the forecasts for demands is, safety stock must be included to the forecast level of demand so as to ensure that production planning is adequate and the demands are met as well.
Answer:
The accrued interest receivable is $2000
Explanation:
Accrued interest receivable refers to interest earned by a company but has not received in cash. This happens when the cash to be paid as interest falls outside an accounting period. Accrued interest receivable is an asset account on the investor's books and a current liability on the issuer's books.
Since the accrued interest is to be between December 1 and December 31, the time period is 1 month = 1/12 years.
loan percent = 12% = 0.12
loan amount = $200000
The accrued interest receivable = Time period × loan percent × loan amount = (1/12) × 0.12 × 200000 = $2000
The accrued interest receivable is $2000
Answer: C
A pierce of corporate veil
Explanation:
A business is expected to have a separate body that is distinct from that of its owner or owners. In the above scenario, Tony does not take the business as a separate entity and as such he can be charged for piercing the corporate veil of O.K. Oil Corporation on the following grounds.
Failure to maintain the separate identities of the companies.
Failure to maintain separate identities of the company and its owners or shareholders.
Answer:
28.6 days
Explanation:
Avg Receivables= Beg Receivables + Ending Receivables /2
=65,800+73,000/2
=$138,800/2
=$69,400
Receivable turn over= Net Sales/ Avg Receivables
=884,000/69,400
=12.74
days to collect during year= 365/ Receivable turn over =365/12.7
=28.6 days