Wasted Capacity (Or Inventory)occurs When

question 92

Multiple Choice

Wasted capacity (or inventory) occurs when

• A)there are excessive cancellations.
• B)there are few cancellations.
• C)an expensive backup needs to be arranged.
• D)all of these

Comprehend the importance and use of subsidiary ledgers and control accounts to maintain detailed accounting information.

Understand the procedures for proving the equality of the totals in the columns of special journals and in the subsidiary ledgers.

Recognize the advantages and disadvantages of using subsidiary ledgers in an accounting system.

Calculate and reconcile the changes in account balances over a period.

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Definitions:

Clients

Individuals or entities that seek and receive professional services or advice from a business or professional individual in return for payment.

Clique Formations

The process by which groups of individuals with similar interests, values, or backgrounds form exclusive groups within a larger community.

Rivalries

Competitive or antagonistic interactions or relationships between individuals, groups, or entities.