During Its First Year of Operations,Silverman Company Paid $14,000 for Direct

question 63

Multiple Choice

During its first year of operations,Silverman Company paid $14,000 for direct materials and $19,000 for production workers' wages.Lease payments and utilities on the production facilities amounted to $17,000 while general,selling,and administrative expenses totaled $8,000.The company produced 5,000 units and sold 3,000 units at a price of $15.00 a unit. What was Silverman's net income for the first year in operation?

• A) $7,000
• B) $12,000
• C) $28,000
• D) $37,000

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Definitions:

Quick Response Systems

Technologies or methodologies focusing on reducing lead times and enhancing efficiency in operations, often in a supply chain or manufacturing context.

Efficient Consumer Response Systems

A strategy used in the retail industry to improve the supply chain's responsiveness to consumer needs through better data sharing and management.

Order Replenishment Systems

Systems designed to manage and automate the process of restocking products or materials to meet customer demand without overstocking.

Self-discrepancy Theory

A theory suggesting that psychological distress and emotional discomfort arise from discrepancies between one's actual self, ideal self, and ought self.