Tommy, Engineering Manager at APC Systems, Inc

question 127

Multiple Choice

Tommy, engineering manager at APC Systems, Inc., is struggling to maintain a competitive advantage in APC's marketplace. He wants to hire and retain the best staff that he can, but the best staff command high salaries. Tommy knows that high staff salaries, representing a business cost, erode his company's profitability. But he also knows that he cannot simply pass along these higher costs to his clients, because they will then start doing less business with higher-priced APC and more business with APC's lower-priced competitors. Tommy is struggling

• A)to collaborate.
• B)to be technologically innovative.
• C)to provide quality service.
• D)to be cost competitive.
• E)to achieve zero defects.

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Definitions:

Closing Entries

Entries in the journal made during the closing of an accounting period to move balances from transitory accounts to enduring accounts.

Fiscal Year

A one-year period that companies and governments use for financial reporting and budgeting, different from the calendar year.

Closing Entries

Journal entries made at the end of an accounting period to transfer temporary account balances to permanent accounts to prepare the books for the next period.

Adjusting Entries

Journal entries made in accounting to update the records for expenses and revenues that have accrued but not yet been recorded.