The Logistics/operations Manager of a Mail Order House Purchases Two

question 92

Multiple Choice

The logistics/operations manager of a mail order house purchases two products for resale: King Beds (K) and Queen Beds (Q) .Each King Bed costs $500 and requires 100 cubic feet of storage space,and each Queen Bed costs $300 and requires 90 cubic feet of storage space.The manager has $75,000 to invest in beds this week,and her warehouse has 18,000 cubic feet available for storage.Profit for each King Bed is $300,and for each Queen Bed is $150.For the purchase combination 0 King Beds and 200 Queen Beds,which resource is "slack" (not fully used) ?

• A)Investment money (only)
• B)Storage space (only)
• C)Both investment money and storage space
• D)Neither investment money nor storage space
• E)Cannot be determined exactly

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Definitions:

Dependent Taxpayer Test

Criteria used to determine if a taxpayer can be claimed as a dependent on someone else's tax return, affecting exemptions and credits.

Support Test

Criteria used by the IRS to determine if an individual can claim another person as a dependent based on financial support provided.

Qualifying Child

A dependent who meets certain IRS criteria related to relationship, age, residency, and support, allowing the taxpayer to claim various tax benefits.

Taxpayer's Spouse

The individual married to the taxpayer, who can be included on a joint tax return, affecting deductions, credits, and taxable income.