Which of the Following Statements Is Not Correct

question 21

Multiple Choice

Which of the following statements is not correct?

• A)If a firm discriminates by paying short workers less than tall workers, the firm may be able to compete in the market if the firm's customers also prefer taller workers to shorter workers.
• B)If the government passes regulations that prevent shorter workers from working in higher paying jobs, taller workers may continue to earn higher wages than shorter workers.
• C)Government regulation that prohibits discrimination is economically necessary because market forces support discrimination.
• D)Competitive markets will eliminate discrimination in wages over time unless customer preferences also reflect discrimination and/or government intervention promotes discrimination.

Calculate variable and fixed costs within the flexible budgeting framework.

Identify and explain different types of budgeting methods including continuous, zero-based, and master budgeting.

Understand the concept of flexible budgeting and its application to production adjustments.

Distinguish between various components of a master budget including production, sales, and capital expenditures budgets.

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Definitions:

Voucher System

An accounting system that involves preparing and using vouchers, which are documents that authorize and record the payment of a company expense.

Cash Payments

Transactions involving the immediate transfer of cash to settle the purchase of goods, services, or a debt.

Liabilities

Financial obligations of a business, such as loans, accounts payable, and mortgages, that it is required to pay to others.

Principles

Fundamental concepts or general laws that guide business practices, accounting standards, and financial reporting.