Which of the Following Would Result When a Company Sells

question 93

Multiple Choice

Which of the following would result when a company sells additional shares of common stock for cash?

• A)A noncurrent liability and a financing cash flow are created.
• B)Common stock increases and a financing cash flow results.
• C)A noncurrent liability and an investing cash flow are created.
• D)Common stock increases and an investing cash flow results.

Learn the correct procedures for refilling differential carriers with lubricant.

Recognize the role of machining precision and lubricant quality in differential carrier maintenance intervals.

Identify appropriate lubricant classification for heavy truck differential carriers.

Know how to identify axle components using identification numbers.

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Definitions:

Fixed Overhead Variance

The difference between actual fixed overhead costs and the expected (or budgeted) fixed overhead costs.

Volume Variance

A financial term that represents the difference between the expected (budgeted) volume of production or sales and the actual volume achieved.

Spending Variance

The difference between the budgeted or planned amount of expense and the actual amount spent.

Variable Overhead Spending Variance

The difference between the actual costs incurred for variable overheads and the expected costs of variable overheads based on standard cost.