Which of the Following Statements Is TRUE About the Major

question 64

Multiple Choice

Which of the following statements is TRUE about the major functional areas in a business enterprise?

• A) An R&D function is an integral part of all businesses.
• B) Operations managers create branding and advertising strategies to communicate with potential customers.
• C) Accounting specialists work closely with other functional areas to ensure profitable decision making.
• D) Managers in finance and accounting functions remain uninvolved in the hiring and training process.
• E) Social media has resulted in customers being passive recipients of broadcast advertising messages rather than being participants in a multidirectional conversation with companies.

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Definitions:

Ending Merchandise Inventory

The value of inventory still available for sale at the end of an accounting period.

Overstated

A term used when the reported value of a financial statement item is more than its true, fair, or actual value.

Understated

A term describing a figure reported in financial statements that is lower than the actual figure.

Estimated Cost

An approximation of the financial expenditure associated with a project, operation, or transaction, often used for budgeting purposes.