Assume That Chapman's Inc

question 115

Multiple Choice

Assume that Chapman's Inc.'s trading debt securities have a total cost of $185,000 and a total fair value of $215,000 at year end. The related adjusting entry would include a debit to

• A) Unrealized Gain for $30,000.
• B) Fair Value Adjustment - Trading for $30,000.
• C) No adjustment since only realized gains are recorded.
• D) Fair Value Adjustment - Trading for $215,000.

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Definitions:

Deming

Refers to W. Edwards Deming, an engineer, statistician, and management consultant known for his work in quality management and productivity improvement.

Autocratic Organizations

Organizations characterized by centralized decision-making, where control is exercised by a single leader, leading to quicker decision-making but potentially lower employee morale.

Deming Management

A comprehensive management approach proposed by W. Edwards Deming, focusing on quality improvement, increased productivity, reduced costs, and customer satisfaction through statistical methods.

Everyone's Job

A principle suggesting that a specific task or responsibility is shared among all members of a group or organization.