As you are walking out of class one night, you discover a notebook, full of equations, belonging to a professor in your school. You write a note telling him who you are and where and when you found it. Then you put the note in an envelope and drop it into one of the university's internal mailboxes. The next day the campus is covered with notices which say "$100 REWARD. A notebook containing mathematical explanation of the meaning of life has been lost. If found, please return to Professor Doddering in Room A123."

A) You have no legal right to the $100.
B) You have a legal right to the $100 since you can prove you put the note in the mail to Prof. Doddering.
C) You have a legal right to the $100 provided you can prove you found it after Prof. Doddering posted the reward notices.
D) Since this was an offer to the public at large, you have accepted it by mailing it and Prof. Doddering legally must give you $100.
E) While you have no legal right to the reward, the court will enforce your moral right to it.

According to the circular flow model of the market system, firms get their ability to pay for their costs of production from the revenues that they receive for their products.

Which of the following is not a goal of the "parity concept" in U.S. agriculture policy?

A) Farm households' real income from a given amount of real output should stay the same from year to year.
B) The ratio of prices paid by farm households to prices received by farm households should remain about the same from year to year.
C) The average farm households' income should remain at par or equal to the average income of all households.
D) Changes in the prices paid by farm households should be matched by a proportionate increase in the prices received by farmers.

Assume that a consumer has a given budget or income of $10 and that she can buy only two goods, apples or bananas. The price of an apple is $1.00 and the price of a banana is $0.50. For this consumer, the opportunity cost of buying one more apple is

A) 0.5 of a banana.
B) 0.1 of a banana.
C) 1 banana.
D) 2 bananas.

Luchini Corporation makes one product and it provided the following information to help prepare the master budget for the next four months of operations:The budgeted selling price per unit is $111. Budgeted unit sales for April, May, June, and July are 7,100, 10,100, 13,300, and 14,000 units, respectively. All sales are on credit.Regarding credit sales, 40% are collected in the month of the sale and 60% in the following month.The ending finished goods inventory equals 10% of the following month's sales.The ending raw materials inventory equals 30% of the following month's raw materials production needs. Each unit of finished goods requires 5 pounds of raw materials. The raw materials cost $5.00 per pound.Regarding raw materials purchases, 40% are paid for in the month of purchase and 60% in the following month.The direct labor wage rate is $18.00 per hour. Each unit of finished goods requires 2.9 direct labor-hours.Variable manufacturing overhead is $7.00 per direct labor-hour. Fixed manufacturing overhead is zero.The budgeted accounts receivable balance at the end of May is closest to:

A) $747,000
B) $448,440
C) $672,660
D) $1,121,100

A job order cost system would be appropriate for a crude oil refining business.