Pro-X Components,Inc

question 46

Multiple Choice

Pro-X Components,Inc.,operates a factory in a small,depressed Rust Belt town in the Upper Midwest.The workforce is high quality because of the strong local work ethic and the good quality public education system.But,it has been difficult for Pro-X Components to fill all its operational job openings locally,and it is not easy to persuade people from outside the area to relocate to this isolated,struggling town.Which of the following situations would most likely IMPROVE Pro-X Components' geographic labor market quickly?

• A) an influx of retirees to this town as it grows as a retirement area.
• B) the closing of a medium-sized plant in the same industry in a town 10 miles away.
• C) the opening of a new junior college in the community.
• D) changes in government regulation of H1 visas so that Pro-X can hire highly-skilled foreign workers.

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Definitions:

Physical Inventory Count

A physical inventory count is the manual process of counting all the goods a company physically has on hand at a specific time to verify stock records and values.

First-In, First-Out

An inventory valuation method where the goods first produced or acquired are sold or used first, presuming that the oldest inventory items are consumed before newer ones.

Ending Inventory

The value of goods available for sale at the end of an accounting period, after purchases and sales have been accounted for.

Average Cost Formulas

A method used in accounting to calculate the cost of goods sold and ending inventory by averaging the cost of all items available for sale during the period.