If the Inputs for a Toiled Paper Add Up to $100

question 5

Multiple Choice

If the inputs for a toiled paper add up to $100 and the outputs are $750, then productivity is ____. If the company reduces its input by half, then productivity is _____

• A) 2:15, 1:15
• B) 15:2, 15:1
• C) 7:2, 2:7
• D) 10:1, 5:1

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Definitions:

Merchandise Inventory

Merchandise inventory represents the goods a company has in stock that are ready to be sold in the normal course of business.

Accounts Payable

Accounts payable are liabilities representing the amounts that a company owes to creditors for purchases or services rendered that have not yet been paid.

Supplies Expense

The cost associated with using up supplies during an accounting period, which is recorded as an expense.

Merchandise Inventory

The total value of a company's goods available for sale to customers, typically recorded as an asset on the balance sheet.