If a promissory note is dishonored, the payee should still record interest revenue.

Kylie Lumberton was hired by a cosmetics company to replace a former employee. She did not know where to start looking for customers to start her sales. The ideal place for her to start would be:

A) sales lead clubs.
B) cold canvassing.
C) orphaned customers.
D) customer referrals.
E) prospecting on the web.

Which of the following about using proration to dispose of underapplied or overapplied overhead is correct?

A) Proration is a less accurate method than closing the account to COGS, because it arbitrarily allocates overhead between the COGS account, WIP account, and finished goods account.
B) Proration is a less accurate method than closing the account to COGS, because the process affects three accounts rather than just one account.
C) Proration is a more accurate method than closing the account to COGS, because it recognises that over/under estimation of overhead rate affects more than just the COGS account.
D) Proration is a more accurate method than closing the account to COGS, because the potential distortion is spread out over three accounts.

Which of the following is not a tool of fiscal policy?

A) Money supply
B) Government purchases
C) Taxes
D) Social Security program
E) Unemployment benefits

Which list correctly sequences the four levels of team self-management identified by Hackman,from least autonomous to most autonomous?

A) self-managing,self-designing,manager-led,self-governing
B) manager-led,self-managing,self-designing,self-governing
C) manager-led,self-designing,self-managing,self-governing
D) self-governing,self-managing,self-designing,self-monitoring
E) self-monitoring,self-managing,self-governing,self-designing

Suppose there is an increase in supply that reduces market price. Consumer surplus increases because (1) consumer surplus received by existing buyers increases and (2) new buyers enter the market.