Answer:
A) economic order quantity ( order quantity model that will minimize the total holding cost and ordering costs ) = 
= 
= 122. 74 ≈ 122 ( optimal ordering quantity ) units
B) Annual holding cost = 23 * 122 / 2 = $1403
C ) Annual ordering costs = 1500/122 * 77 = $947
D ) The reorder point = daily demand * lead time = 50 * 3 = 150 units
Explanation:
Annual demand for connectors : 1500
ordering cost ( cost to place and process an order ) : $77
annual holding cost per unit : $23
A) economic order quantity ( order quantity model that will minimize the total holding cost and ordering costs ) = = = 122. 74 ≈ 122 ( optimal ordering quantity ) units
B) Annual holding cost = 23 * 122/2 = $1403
C ) Annual ordering costs = 1500 / 122 * 77 = $946.72 ≈ $947
D ) The reorder point = daily demand * lead time = 50 * 3 = 150 units
daily demand = 1500 / 300 = 50
lead time = 3
Answer:
Option C Internal Control Information
Explanation:
The reason is that variance analysis is the process through which we emphasize control over costs which is solely management accounting and is not linked to financial reporting so the option B is incorrect. This information is internally generated which means saying that the information is obtained from external sources is totally incorrect. The option a is generally correct because this information is part of internal information. But Option C is more relateable here so the better option is Option C.
Answer:
B. Deciding whether to factor out of the performance measure items over which the foreign operation’s manager has no control
C. Deciding whether to evaluate performance on the basis of foreign currency or parent company reporting currency and
Explanation:
Foreign operations refer to an entity that could be in terms of an associate, subsidiary, jointly controlled in which the activities are based in a country irrespective of the entity i.e. reported
Therefore in the given case, the issued can be with the performance measures that have no control and it should depend upon the parent company in which the currency is reported
Hence, the correct option is B and C
Dan, an accountant for Eureka! Inc. learns of undisclosed company plans to market a new laptop. Dan buys 1,000 shares of the firm’s stock. He reveals the company plans to Fay, who tells Greg. Both Fay and Greg buy 100 shares. Greg knows that Fay got her information from Dan. When Eureka! publicly announces its new laptop, Dan, Fay, and Greg sell their stock for a profit.
Refer to Fact Pattern 42-3. Under the Securities Exchange Act of 1934, Geoff is most likely?
a.
?not liable because Geoff is only a tippee, not a tipper.
b.
?not liable because Geoff is too far down the chain of disclosure.
c.
?liable for insider trading.
d.
?not liable because Geoff traded on the basis of a material fact.
