QUESTION 117
What is the approximate poverty rate for the outlier in the scatterplot below?

QUESTION 118
Although they may vary, cash flows from financing activities in a mature company are usually:

QUESTION 119
The electric car market is expected to grow significantly over the next few years due to new technologies making electric cars more affordable. Which of the following types of companies would MOST likely benefit from the substitution of electric cars for traditional vehicles?

QUESTION 120
In a small town, there are two Mexican restaurants. Restaurant A serves traditional dishes from Western Mexico while Restaurant B primarily serves Northern Mexican cuisine. Many more residents of the town are willing to buy the Northern cuisine than the Western cuisine. Which of the following reasons could NOT explain why Restaurant A continues to offer a different menu than that of its competitor?

QUESTION 121
A company collected $10,000 from a customer in payment for goods sold to the customer a month ago on credit. How would the collection impact the accounting equation?

QUESTION 122
Which of the following pieces of information can be determined by looking at an income statement?

QUESTION 123
The histogram below shows the Industrial Production Index, which measures the output of the manufacturing, mining, and utilities industries for 34 selected countries. After confirming that the data are accurate, economists studying the results are debating how to handle the value for Iceland, 187.4.

The economists are determined to present the most accurate depiction of the data for all 34 countries. Which of the recommendations below is BEST?

QUESTION 124
A company’s main product has not been selling as well as in the past. A manager is tasked with understanding the decreased sales and decides to conduct a focus group of current customers. Is this a good strategy?

QUESTION 125
A manager learns that the government is planning to add an excise tax on the product the company sells. After researching, the manager expects that total expenditures for the good will rise. Of the following goods, which does the company MOST likely sell?

QUESTION 126
Which of the following options is presented in the above accounting journal entry?

QUESTION 127
A computer software company with market power is about to release two new products. The company knows that there is high variability in consumers’ willingness to pay (WTP) for each individual product, but a customer with a low WTP for one good is likely to have a high WTPfor the other. If the marginal cost of software is $0, what pricing structure is MOST likely to maximize profits for the computer software firm?

QUESTION 128
Company A owns properties that it leases for use as plant and office space. Company A received $120,000 on June 25 from Company B as a lease payment for use of a building for six months beginning July 1. What entry would Company A make on July 31?

QUESTION 129
A coal burning power plant in upstate New York has been the only provider of power in the region for many years. Recently, a plant that uses wind to create energy was built nearby. The wind plant produces less energy than the coal plant but at a lower cost. Will the coal plant be able to remain competitive in this new market environment?

QUESTION 130
A student conducts a two-sided hypothesis test and is looking for a confidence level of 65%. For which of the p-values below would the student reject the null hypothesis? (Select all that apply.)

QUESTION 131
Which of the following scatterplots shows the strongest positive linear relationship? A)

B)

C)

D)

QUESTION 132
An entrepreneur starts a new business by opening a bank account in the name of this business and making a capital contribution of $10,000 from a personal savings account. This action would impact the accounting equation by increasing assets and:

QUESTION 133
An athletic shoe company is trying to establish a stronger brand identity with consumers. Its objective is to first understand, broadly, how consumers value its brand compared to its
competitors and then determine how much consumers value specific features of its competitors’ products. Which of the following approaches would be MOST effective in gathering this information?

QUESTION 134
The only bakery in a small town has introduced a new type of cookie and is not sure what demand for the cookie looks like. How could the bakery determine the marginal revenue earned by each additional cookie produced?

QUESTION 135
A company is considering a project to develop a nascent technology to harness energy from ocean waves but wants to determine its economic viability. This 10-year project will cost the company $10 million in research and development costs and $25 million to build infrastructure. Each megawatt of energy costs $60 to produce, but the government offers a subsidy of $5 permegawatt. The price per megawatt of energy will be $56 for the next five years, and the company expects to produce 1 million megawatts per year. Ignoring the time value of money (i.e. assuming cash flows across different years are directly comparable), if costs, output, and subsidies remain constant, what will the market price of a megawatt of energy need to be in years six through ten to make this project economically viable?

QUESTION 136
Changing accounting assumptions from year to year without having justifiable reasons for the changes is a departure from the accounting principle of:

QUESTION 137
The graph below reflects which of the following situations in the market for apples?

QUESTION 138
Which of the following options represent implicit transactions? (Select all that apply.)