In the Context of Employment and Use of the Internet

question 126

Multiple Choice

In the context of employment and use of the Internet, which of the following is true?

• A) Viewing an employees' Facebook account is considered a criminal offence.
• B) Employers can be liable when their employees misuse the Internet.
• C) An employer need not have a clear and comprehensive policy prohibiting misuse of company resources such as the Internet.
• D) E-mail should be encouraged over other forms of communication, because it is inherently private.
• E) Employers are not required to notify employees when their use of company resources may be subject to monitoring.

Apply the lower of cost or net realizable value (LCNRV) rule to inventory valuation.

Understand the implications of inventory turnover and its calculation under different costing assumptions.

Comprehend the impact of inventory management decisions on cash flow.

Discuss the inventory valuation methods allowable under GAAP and their financial statement effects.

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Definitions:

Stock Transactions

Activities involving the buying, selling, or issuing of shares of stocks in a company, either through exchanges or over-the-counter markets.

Stock Investments

A financial asset purchased in a corporation with the expectation of earning a return through dividends, stock price appreciation, or both.

Equity Interest

Ownership interest in a company, typically represented by stocks, indicating the holder's stake in the company's assets and earnings.

Cash Dividend

A payment made by a company out of its profits to its shareholders, usually in cash.