A firm is currently producing in the inelastic portion of its demand curve. What course of action do you recommend for it, assuming it wants to raise revenue?

A) Continue producing at the current output level, because it maximizes its total revenue by producing in the inelastic portion of its demand curve.
B) Reduce price, because if it reduces price and demand is inelastic, total revenue will increase.
C) Increase price, because if it increases price and demand is inelastic, total revenue will increase.
D) Continue selling at the same price, but increase the amount it produces.

For the current year,Gina Hestopolis had adjusted gross income of $100,000.During the year,she contributed $6,000 to her church and an additional $3,000 to qualified charities.She also contributed religious artwork with a fair market value of $60,000 and a basis of $20,000 to her church.The church intends to display the religious artwork in the church foyer.What is the amount of the charitable contribution carry forward beyond the current year for Gina Hestopolis?

A) $30,000.
B) $20,000.
C) $10,000.
D) $0.

The Club is a local hair salon and day spa that caters to an upper-middle class clientele. Although price competition in the local area has been increasing, the owners of The Club have decided to focus their marketing efforts on quality, service, and value, and to resist the temptation to compete on price. In pursuing this non-price strategy, managers of The Club are ascribing to which of the following assumptions?

A) Customers see all salons as being about the same.
B) The market for salon services is very price sensitive.
C) Customers of The Club are so loyal that price competition is not necessary.
D) It is difficult for competitors to copy The Club's differentiating characteristics.
E) The managers are ascribing to all of these assumptions.

​Which of the following is FALSE?

A) ​Maximizing division profits can sometimes lead to reducing company-wide profits
B) Managers of profit centers are given a lot of discretion in their decision making
C) Profit centers usually largely run themselves
D) ​A manager being rewarded on division revenues has no incentive to make good decisions for his division

The formula for determining budgeted merchandise purchases is budgeted

A) production + desired ending inventory - beginning inventory.
B) sales + beginning inventory - desired ending inventory.
C) cost of goods sold + desired ending inventory - beginning inventory.
D) cost of goods sold + beginning inventory - desired ending inventory.

If the direct labor time estimates are met,Malone will allocate $12.59 of overhead cost to each unit of Little X.