For each situation, list the assumption, principle, or constraint that has been violated, if any. list only one answer for each situation. (a) east lake company recognizes revenue at the end of the production cycle but before sale. the price of the product, as well as the amount that can be sold, is not certain. select an option (b) hilo company is in its fifth year of operation and has yet to issue financial statements. (do not use the full disclosure principle.) select an option (c) gomez, inc. is carrying inventory at its original cost of $100,000. inventory has a fair value of $110,000. select an option (d) bly hospital supply corporation reports only current assets and current liabilities on its balance sheet. equipment and bonds payable are reported as current assets and current liabilities, respectively. liquidation of the company is unlikely. select an option (e) chieu company has inventory on hand that cost $400,000. chieu reports inventory on its balance sheet at its current fair value of $425,000. select an option (f) toxy syles, president of classic music company, bought a computer for her personal use. she paid for the computer by using company funds and increased the "computers" account. select an option

Burberry is pursuing a focused differentiation strategy aimed at high-end luxury customers. however, the company is also employing a segmentation strategy to separate customers within that focus. the strategy offers items at an entry-level price point for customers who desire to be like celebrities such as sarah jessica parker as well as couture items for those richest and celebrity customers. what strategy is burberry pursuing?

Exercise 18-15 sheffield appliance center is an experienced home appliance dealer. sheffield appliance center also offers a number of services for the home appliances that it sells. assume that sheffield appliance center sells ovens on a standalone basis. sheffield appliance center also sells installation services and maintenance services for ovens. however, sheffield appliance center does not offer installation or maintenance services to customers who buy ovens from other vendors. pricing for ovens is as follows. oven only $790 oven with installation service 850 oven with maintenance services 970 oven with installation and maintenance services 990 in each instance in which maintenance services are provided, the maintenance service is separately priced within the arrangement at $180. additionally, the incremental amount charged by sheffield appliance center for installation approximates the amount charged by independent third parties. ovens are sold subject to a general right of return. if a customer purchases an oven with installation and/or maintenance services, in the event sheffield appliance center does not complete the service satisfactorily, the customer is only entitled to a refund of the portion of the fee that exceeds $790. assume that a customer purchases an oven with both installation and maintenance services for $990. (b) indicate the amount of revenue that should be allocated to the oven, the installation, and to the maintenance contract.

“strategy, plans, and budgets are unrelated to one another.” do you agree? explain. explain how the manager’s choice of the type of responsibility center (cost, revenue, profit, or investment) affects the behavior of other employees.