The following account balances represent the December 31 balance sheet of an entity. The quick ratio for this year is:

• A.1.42
• B.1.08
• C.0.97
• D.0.82

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Quality cost indices are often used to measure and analyze the cost of maintaining or improving the level of quality. Such indices are computed by dividing the total cost of quality over a given period by some measure of activity during that period for example, sales dollars). The following cost data are available for a company for the month of March. The company's quality cost index is calculated using total cost of quality divided by sales dollars.
Sales US $400,000
Direct materials cost 100,000
Direct labor cost 80,000
Testing and inspection cost 6,400 Scrap and rework cost 16,800
Quality planning cost 2,800
Cost of customer complaints and returns 4,000
The quality cost index for March is:

• A.7.5%
• B.6.5%
• C.22.0%
• D.5.9%

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Which of the following is not true of responsibility accounting?

• A.Managers should only be held accountable for factors over which they have significant influence.
• B.The focus of cost center managers will normally be more narrow than that of profit center managers.
• C.Every factor that affects a firm's financial performance ultimately is controllable by someone, even if that someone is the person at the top of the firm.
• D.When a responsibility account system exists, operations of the business are organized into separate areas controlled by individual managers.

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An internal auditor is reviewing the organization's performance appraisal process. Which of the following methods would be most effective to identify stereotyping?

• A.Analyze and compare the ratings for different classes or groupings of employees.
• B.Compare the ratings of selective employees with their previous appraisals.
• C.Use a behaviorally anchored rating scale to Break down jobs into their components.
• D.Analyze the number and percentages of employee appraisals that fall into each rating category

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Which of the following is not a common feature of cumulative preferred stock?

• A.Priority over common stock with regard to earnings.
• B.Priority over common stock with regard to assets.
• C.Priority over common stock with regard to dilution of shares.
• D.Priority over common stock with regard to dividend payment.

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