Answer:
d.guarantee the company will earn a profit
Explanation:
Internal controls are controls put in place by management to mitigate against identified risk. Risk basically refers to what could go wring in a process. Controls are put in place to mitigate against the risk of error or fraud and do not necessarily prevent the company from making a loss.
Companies make profit or loss based on management's decisions such as where to invest, what time to invest, introduction of a new product, management of cost of sales and operating expenses etc
Internal controls basically consist of policies and procedures that ensure that the company's asset are not misused (fraud), no misrepresentation of revenue (fraud), employees and managers comply with laws and regulations, business information is accurate ( no misrepresentation of records due to error) etc.
Hence Internal control does not consist of policies and procedures that guarantee the company will earn a profit.
The right option is d.
Purchases = Sales units + Closing inventory - Beginning Inventory
= 6,000 + (1,000 * 115%) - 1,000
= 6,150 units
The three ingredients needed for employee performance are motivation, capacity and support. Motivation is really important because if employees are influenced positively they can make things better. Capacity is also key because if employees are poorly prepared the won't have a good performance. Support is crucial because if we want to enhance employees' performance we have to be ready to back them up.
The answer is false.
A mandate is a formal order that is given by a higher authority to suggest change. As described in oxford's dictionary, mandate is an official order or commission to do something.
Answer:
a. The total profit would be positively affected as it increases
Explanation:
1. We calculate the value of revenue per 8000 gallons with the initial chemical compound and processed into the new variant
Revenue Initial Chemical Compound= 8000 gallons X ($52/gallon)
Revenue Initial Chemical Compound=<em><u> $ 416.000</u></em>
Revenue Chemical compound processed into the new variant=8000 gallons X ($83/gallon)
Revenue Chemical compound processed into the new variant= <u><em>$ 664.000</em></u>
2. If we consider that the other production costs will be the same for the two chemical compounds, then the only difference will be the processing cost to refine the basic compound into the new variant. For this reason, we substract only the value of processing the basic compound into the new variant for the revenue of this.
<u><em>$ 664.000 - $160.000= $504.000</em></u>
3. The benefit values for each case are:
Initial Chemical Compound: $416.000
Chemical compound processed into the new variant: $504.000
In conclusion, greater benefit is obtained by processing the basic compound in the new variant than if the basic compound were sold only