Return on assets is defined as EBI divided by total year-end assets.

When diseconomies of scale occur:

A) long-run average cost rises.
B) marginal cost declines.
C) average total cost declines.
D) average variable cost declines.

When a plumbing contractor drove up to Maya's house in a brand-new Tesla, Maya decided this person would be too high-priced even before the plumbing contractor offered a bid. Maya made the mistake of

A) assuming Murphy's Law is true.
B) anticipating his preapproach.
C) not overcoming reservations.
D) closing the sale too early.
E) making an assumption of cost based on appearances.

Specialization may expand total output even though the individuals involved may have identical abilities.

Presented below are two independent situations.
1. Guo Cosmetics acquired 10% of the 200000 shares of common stock of Chy Fashion at a total cost of $12 per share on March 18 2017. On June 30 Chy declared and paid a $50000 dividend. On December 31 Chy reported net income of $110000 for the year. At December 31 the market price of Chy Fashion was $15 per share. The stock is classified as available-for-sale.
2. Liptin Inc. obtained significant influence over Blurr Corporation by buying 25% of Blurr 50000 outstanding shares of common stock at a total cost of $7 per share on January 1 2017. On June 15 Blurr declared and paid a cash dividend of $40000. On December 31 Blurr reported a net income of $90000 for the year.
Instructions
Prepare all the necessary journal entries for 2014 for (a) Guo Cosmetics and (b) Liptin Inc.

The portion of whole units that are complete with respect to materials or conversion costs

A) Cost of production report
B) Equivalent units of production
C) Manufacturing cells
D) Yield
E) Lean manufacturing

A few sellers may behave as if they operate in a perfectly competitive market if the market demand is:

A) highly inelastic.
B) very elastic.
C) unitary elastic.
D) composed of many small buyers.

In determining whether an offeree accepted an offer,the court is looking for the same ________ on the part of the offeree that it found on the part of the offeror.

A) present intent to contract
B) inquiry regarding terms
C) subjective standard
D) silent acceptance