Bender Day 12 Flashcards
The Absorption method subtracts ___ from ____ to drive gross margin?
COGS (which includes fixed factory overhead)
From
Revenues
MCQ-08970
What is the difference between Fiscal and Monetary Policy?
Fiscal - government uses government spending and taxes to influence the market
Monetary - used by the Central Bank (Fed Reserve) and uses money supply and interest rates
MCQ-03249
An organization installed an uninterrupted power supply, what type of control?
Physical access control
MCQ-13036
ABC, Inc is a new company in a highly competitive industry of biotech, when will profitability increase?
When there are significant barriers to entry and high start up costs
this prevents new sellers from entering the market
MCQ-07838
Equation: Contribution Margin Per Unit
Revenues - Variable Costs = Contribution Margin
÷
Total units
MCQ-03734
What is the main reason why a company wants to reduce the number of days sales in amounts receivable is to increase:
Cash
MCQ-05052
When should a US company consider hedging it’s transaction bc it is in a short position?
One receiving shipments from Japan and owing 800,000,000 yen in 60 days
the concern is a weakening domestic currency relative to a foreign currency
MCQ-12456
What costs would be included on a Cost Of Quality Report
- Warranty claims -external failure costs
- Design engineering - prevention cost
- Supplier evaluations - prevention costs
Note: lost contribution margin is an Opportunity Cost
MCQ-03881
Conflicts of interest provisions in SOX, prohibit directors and executive’s of an issuer from:
Receiving a personal loan from the issuer not in the ordinary course of business
MCQ-06491