Courts find negligent misrepresentation only when the party making the false statement ________.

A) should have known he or she was committing negligence
B) should have known the truth using the skills and competence required of a regular person
C) verified the truth and negligently continued with the false statement
D) should have known the truth
E) should have known the truth using the skills and competence required of a person in his position or profession

Assume that flood insurance premiums are determined in the competitive market.Suppose that devastating floods along the Mississippi River have increased the degree of risk aversion among the insurance investors in this market.The _____ insurance shifts _____,leading to a(n) _____ in equilibrium premiums and a(n) _____ in the quantity of insurance bought and sold.

A) supply of;rightward;decrease;increase
B) demand for;leftward;decrease;decrease
C) supply of;leftward;increase;decrease
D) demand for;rightward;increase;increase

Which of the following approaches combines all the manufacturing overhead costs into a single cost pool?

A) Plantwide rate
B) Activity-based costing
C) Departmental overhead rates
D) Budgeted activity rate

What happens to an option if the underlying stock has a 2-for-1 split?

A) There is no change in either the exercise price or in the number of options held.
B) The exercise price will adjust through normal market movements; the number of options will remain the same.
C) The exercise price would become one-half of what it was, and the number of options held would double.
D) The exercise price would double, and the number of options held would double.
E) There is no standard rule-each corporation has its own policy.