I believe the answer is "D."
Answer:
Direct material= $340
Explanation:
Giving the following information:
Direct labor $540
Beginning work in process inventory $330
Ending work in process inventory $420
Cost of goods manufactured $1620
Manufacturing overhead $830
T<u>o calculate the direct material used in production, we need to use the following formula:</u>
cost of goods manufactured= beginning WIP + direct materials + direct labor + allocated manufacturing overhead - Ending WIP
1,620= 330 + DM + 540 + 830 - 420
Direct material= $340
Gaining a profit from sold goods is helpful because the use of scarce resources is optimized. It also provide jobs. The bad side of being in a profit motive business is that some may be tempted to deal with customers . I think that a profit motive business is a good thing.
Answer:
One behavioral bias that might explain why Schlicksup was prepared to take the risk of blowing the whistle in this case is Reducing Regrets.
Explanation:
The only sin of Schlicksup was that he "was an accountant at Arthur Andersen (he auditing firm that was criminally indicted in the Enron scandal and went out of business)." Self-convinced that he was going to get fired from Caterpillar, he then wanted to blow the whistle by 2008, which he should have done before being employed in Caterpillar, anyway. He is surely suffering from the bias of reducing his regrets. This makes him to be emotionally involved and to reach wrong conclusions that might not be based on facts. He did not even ask himself if he was involved directly in the Enron-Arthur Andersen scandal. Even if he was directly involved, has he not expressed remorse for his former actions to enable him to move on in life? Schlicksup is simply going to illogical lengths to avoid having to own the feeling of regret.
