It is well known that the stock market e¢ ciently incorporates information. Which of the following statements is INCORRECT (does not make sense) assuming that the stock market is semi-strong form e¢ cient.(a) "The reported earnings of Caterpillar was much higher than investors expectations. Therefore, the Caterpillar stock price increased sharply in response to the earnings news."(b) "It is expected that the oil price increase will boost provits of Exxon Mobil during the next quarter. Therefore, Exxon Mobilís stock price should appreciate during the next quarter."(c) "Everyone expects the Federal Reserve to announce an increase of the interest rate tomorrow. Therefore, the announcement may not affect stock prices tomorrow."(d) "When the stock prices incorporate information efficiently, stock prices behave like random walks, i. e., their price changes (or returns) are difficult to predict."

The following balance sheet for the los gatos corporation was prepared by a recently hired accountant. in reviewing the statement you notice several errors. los gatos corporation balance sheet at december 31, 2018 assets cash $ 44,000 accounts receivable 86,000 inventories 57,000 machinery (net) 122,000 franchise (net) 32,000 total assets $ 341,000 liabilities and shareholders' equity accounts payable $ 54,000 allowance for uncollectible accounts 7,000 note payable 59,000 bonds payable 112,000 shareholders' equity 109,000 total liabilities and shareholders' equity $ 341,000 additional information: cash includes a $22,000 restricted amount to be used for repayment of the bonds payable in 2022. the cost of the machinery is $194,000. accounts receivable includes a $22,000 note receivable from a customer due in 2021. the note payable includes accrued interest of $7,000. principal and interest are both due on february 1, 2019. the company began operations in 2013. income less dividends since inception of the company totals $37,000. 52,000 shares of no par common stock were issued in 2013. 200,000 shares are authorized. required: prepare a corrected, classified balance sheet. (amounts to be deducted should be indicated by a minus sign.)

Which are the best examples of costs that should be considered when creating a project budget?

Salge inc. bases its manufacturing overhead budget on budgeted direct labor-hours. the variable overhead rate is $8.10 per direct labor-hour. the company's budgeted fixed manufacturing overhead is $74,730 per month, which includes depreciation of $20,670. all other fixed manufacturing overhead costs represent current cash flows. the direct labor budget indicates that 5,300 direct labor-hours will be required in september. the company recomputes its predetermined overhead rate every month. the predetermined overhead rate for september should be: