Residual income is the net operating income that an investment centre earns above the
minimum required return on the investment in operating assets.

The standard cost card for a product includes a list of all inputs required to complete one unit of the product with the standard quantity and standard cost of each input.

Which of the following represent corresponding factor payments for labor and capital?

A) Land and rent
B) Perseverance and natural resources
C) Wages and interest
D) Natural resources and entrepreneurship

Which of the following is the LEAST relevant factor when defining the scope of a scenario analysis?

A) time frame
B) industry
C) consumer
D) market

All of the following employees hold line positions except

A) vice president of production
B) vice president of finance
C) manager of equipment
D) vice president of sales

Revenue may be recognized by an entity at the completion of production during an accounting period

A) only if full payment was received from the buyer before production began
B) when no specific point of sale can be identified
C) when there is a fixed selling price, and there are no limitations on the amount that can be sold
D) when collectibility is highly uncertain

Which of the following are elements of fraudulent misrepresentation?

A) A false statement and a mutual mistake
B) A false statement and intent to deceive
C) Intent to deceive and negligent representation of a material fact
D) A commercial relationship between the parties and negligent misrepresentation of a material fact
E) A non-commercial relationship between the parties and duress

Economic need is the primary motivator toward work.