Which of the Following Is Not an Accurate Statement?​

question 143

Multiple Choice

Which of the following is not an accurate statement?​

• A)​Food production is not necessarily a more secure means of subsistence than food foraging.
• B)​Before food production, some foragers actively managed the resources on which they depended.
• C)​The switch from food foraging to food production allowed people to work less in subsistence pursuits.
• D)​The switch to food production was not the result of the discovery that seeds grow into plants.

Recognize the role and charging mechanism of direct materials, work in process, and finished goods in the cost accounting cycle.

Understand how factory labor costs, including direct and indirect (manufacturing overhead) labor costs, are accounted.

Grasp the treatment of manufacturing overhead costs, including pre-determined rates, application, and the adjustment of over/under applied overhead.

Comprehend the significance of costing inventory according to GAAP, including the perpetual and periodic inventory systems.

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Definitions:

Sustainable Growth Rate

The maximum rate at which a company can grow its sales, earnings, and dividends without increasing its equity and while maintaining its existing debt-equity ratio.

Debt-Equity Ratio

A calculation to determine a business's leverage by dividing its liabilities by the equity of its stockholders.

External Equity Financing

This term refers to the process through which a company raises capital by selling its shares to external investors, outside the existing shareholders or company insiders.

Internal Growth Rate

The maximum growth rate a firm can achieve without external financing, based on reinvestment of its own earnings.