You bring your lunch to your part-time job instead of spending $8 on lunch. You put the $8 in your savings account. This is an example of opportunity cost.

True.

False

A home developer has an existing mortgage for the purchase of land. If the new lender of a second construction mortgage wants to ensure that the second construction mortgage takes priority over the existing first mortgage, what type of clause must

In November 1, Alan Company signed a 120-day, 10% note payable, with a face value of $27,000. Alan made the appropriate year-end accrual.

The significant increase in consumer demand following World War II marked the beginning of the: a. production era. b. marketing concept era. c. customer relationship era. d. selling era.

Consider two bonds, a 3-year bond paying an annual coupon of 10%, and a 20-year bond, also with an annual coupon of 10%. Both bonds currently sell at par value.

A process is replicated in another country where wages are 50 percent lower. Staffing and processing times are identical. What would be the effect on the costs of direct labor? A. Costs of direct labor would be 50 percent lower. B.

A corporation has 44,904 shares of $26 par value stock outstanding that has a current market value of $238 per share. If the corporation issues a 5-for-1 stock split, determine the number of shares outstanding. Select the correct answer.

A tire manufacturer produces 400 tires valued at $20 each. Three hundred tires are sold to a tire shop, which then sells them to households for $50 each. The remaining tires are unsold and are added to the tire manufacturer’s inventory.

Cunningham, Inc. sells MP3 players for $60 each. Variable costs are $40 per unit, andfixed costs total $60,000. How many MP3 players must Cunningham sell to earn netincome of $140,000?

Calculate the accounting profit or loss as well as the economic profit or loss in each of the following situations: a. A firm with total revenues of $150 million, explicit costs of $90 million, and implicit costs of $40 million b.

A price-discriminating firm charges the lowest price to the group that