On April 15, the Board of Directors Declared a 2

question 27

Multiple Choice

On April 15, the board of directors declared a 2 for 1 split on Samco's 20,000 outstanding shares of
$10 par, common stock. After the split, the total number of shares and par value per share are:

• A)20,000 shares, $10 par.
• B)20,000 shares, $5 par.
• C)10,000 shares, $20 par.
• D)40,000 shares, $5 par.

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Definitions:

Materials

The raw goods and components used in the manufacturing or production process to create final products.

Spending Variance

The difference between the actual amount spent and the budgeted amount for a specific period.

Medical Supplies

Items and equipment used in medical care, often consumable, disposable, or for patient management and diagnosis.

Flexible Budget

A budget that adjusts or flexes for changes in the volume of activity, allowing for more accurate forecasting and planning.