As a Rule of Thumb Which of the Following Items

question 34

Multiple Choice

As a rule of thumb which of the following items would be considered immaterial?

• A)An item greater than 10 per cent of profit before tax.
• B)An item greater than 1 per cent of total assets.
• C)An item greater than 2 per cent of equity.
• D)None of the above.

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Definitions:

Pumpkins

A type of winter squash, commonly orange in color when ripe and used for food, as well as for decorative purposes such as Halloween jack-o'-lanterns.

Constant Marginal Cost

The scenario where the cost to produce one additional unit of a product or service remains the same regardless of the quantity produced.

Marginal Costs

The excess cost involved in producing one more unit of a good or service.

Demand for Wine

The desire or consumers' willingness to purchase wine at a given price level.