When You Enter a Purchase and Have Allowed Allocation for All

question 29

Multiple Choice

When you enter a purchase and have allowed allocation for all expense and revenue accounts -

• A) cost of goods sold will be correctly allocated automatically
• B) freight expenses may not be allocated
• C) variance costs may not be allocated
• D) all expense accounts will be correctly allocated if you enter the allocation details

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Definitions:

Competitive Intelligence

A formal approach to obtain information about competitors.

North American Free Trade Agreement (NAFTA)

A treaty entered into by the United States, Canada, and Mexico; it was designed to remove tariff barriers between the three countries.

General Motors (GM)

An American multinational corporation headquartered in Detroit that designs, manufactures, markets, and distributes vehicles and vehicle parts.

External Factors

Elements outside an organization that can impact its performance, including economic, social, technological, and political factors.