In 2014,Apple Purchased Beats Electronics for Billion USD

question 76

Multiple Choice

In 2014,Apple purchased Beats Electronics for billion USD.While Apple valued the product portfolio of Beats,its primary aim was to pull the founders of Beats,Jimmy Iovine and Dr.Dre (aka Andrew Young) ,into the Apple family.This is an example of acquiring firms using acquisitions to acquire

• A) critical financial resources.
• B) critical human capital.
• C) critical reputation.
• D) critical land resources.

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Definitions:

Conversion Costs

The combined costs of direct labor and manufacturing overhead required to convert raw materials into finished products.

Equivalent Units

A term used in cost accounting to indicate a standard amount of work done on an incomplete unit, making it comparable to complete units.

Beginning Inventory

The value of goods available for sale at the start of an accounting period.

First-In, First-Out

An inventory valuation method where the goods purchased or produced first are sold or used first.