Wiseman Ltd Is Offering the Following Conditions to Customers Who

question 6

Multiple Choice

Wiseman Ltd is offering the following conditions to customers who purchase goods with a minimum total of $5 000 in the one transaction:
-Initial deposit of 25% of purchase price.
-Immediate delivery of goods purchased.
-Interest rate of 10% p.a. charged on the outstanding balance.
-Repayment of the balance (including the interest) over 36 equal monthly instalments.
-Wiseman Ltd retains legal title to the goods until the final monthly payment has been made.
Wiseman Ltd would recognise revenue as follows:

• A) recognise the whole amount of revenue at purchase date.
• B) recognise all revenue as it is received
• C) recognise interest as it is received (monthly) and recognise the revenue on the sale of the goods at purchase date.
• D) recognise interest as it is received (monthly) and recognise the revenue on the sale of the goods once the final payment has been received.

Comprehend the concept of variance analysis and its significance in managerial decision-making.

Recognize the application and preparation of flexible budgets in different scenarios.

Interpret standard cost cards and their components.

Apply standard costing methods to compute product costs.

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Definitions:

Mass Media

Various forms of media technologies that are intended to reach a large audience via mass communication, including newspapers, television, radio, and the internet.

Feminist Approach

A perspective or methodology that seeks to explore, question, and transform gender inequalities within society.

Mass Media

Forms of communication that reach large audiences simultaneously, such as television, newspapers, and the internet.

Interpretive approach

A research perspective that seeks to understand social realities through the meanings individuals attach to their experiences and interactions.