Classifying Manufacturing costs (L.0 – 2-1) Boat, Inc. assembles custom sailboats from components supplied by various manufacturers. The company is very small assembly shop and retail sales stores are housed in a Gig Harbor, Washington, boathouse. Below are listed some of the cost that are incurred at the company.
REQUIRED:
Each cost, indicate whether it would most likely be classified direct labor, direct materials, manufacturing overhead, selling or an administrative cost.
a. The wages of employees who build the sailboats.
b. The cost of advertising in the local newspapers.
c. The cost of an aluminum mast installed in a sailboat
d. The wages of the assembly shop’s supervisor.
e. Rent on the boathouse.
f. The wages of the company’s bookkeeper.
g. Sales commission paid to the company’s salespeople.
h. Depreciation on power towels.

Suppose that kenji, an economist from an am talk radio program, and lucia, an economist from a school of industrial relations, are arguing over health insurance. the following dialogue shows an excerpt from their debate: lucia: a popular topic for debate among politicians as well as economists is the idea of providing government assistance for health benefits. kenji: i think it is oppressive for the government to tax people who take care of themselves in order to pay for health insurance for those who are obese. lucia: i disagree. i think government funding of health insurance is useful to ensure basic fairness. the disagreement between these economists is most likely due to . despite their differences, with which proposition are two economists chosen at random most likely to agree? lawyers make up an excessive percentage of elected officials. minimum wage laws do more to harm low-skilled workers than them. tariffs and import quotas generally reduce economic welfare.

Which of the following statements concerning an organization's strategy is true? a. cost accountants formulate strategy in an organization since they have more inputs about costs. b. businesses usually follow one of two broad strategies: offering a quality product at a high price, or offering a unique product or service priced lower than the competition. c. a good strategy will always overcome poor implementation. d. strategy specifies how an organization matches its own capabilities with the opportunities in the marketplace to accomplish its objectives.

Why is investing in a mutual fund less risky than investing in a particular company’s stock?