Which One of These Statements Is Correct

question 70

Multiple Choice

Which one of these statements is correct?

• A)market value added measures the difference between the total market value and the total book value of equity.
• B)net income is also called economic value added.
• C)EVA measures the net profit of a firm after deducting the cost of the assets used in the production process.
• D)EVA considers the cost of long-term debt financing but excludes the cost of equity financing.

Distinguish between selling and administrative expenses and manufacturing costs.

Identify direct costs and indirect costs with respect to a specific cost object.

Define and differentiate between prime costs and conversion costs.

Understand the financial implications of depreciation on financial statements for both office and factory equipment.

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Definitions:

Gingival Hyperplasia

An overgrowth of the gums, often resulting from medication side effects or poor oral hygiene.

Disposable Razor

A razor intended for short-term use, designed to be discarded after a few shaves to maintain hygiene and sharpness.

Anticoagulants

Medications that help prevent blood clots by inhibiting the clotting factors or platelets in the blood.

Morning Care

The routine personal care activities carried out after waking up in the morning, such as washing, toileting, and dressing, to promote hygiene and preparedness for the day.