Treatment of missing responses poses problems, particularly if the proportion of missing responses is more than 10 percent

Leonetta's Leather Store reported revenue of $375,000 in its cash based income statement for the year ended December 31, 2014. Additional information from the books:

Accounts receivable December 31, 2013 $50,000 Accounts receivable December 31, 2014 75,000 Deposits on custom orders 10,000 What would Leonetta's revenue be under the accrual basis of accounting? What will be an ideal response?

Which of the following is not true when managers determine target prices?

A) Examine the effects of a decision to increase costs. B) Examine the effects of a decision to lower prices. C) Compare changes in the contribution margin. D) Evaluating the risks and other strategic decisions. E) Ignore the changes in the contribution margin.