Which of the following types of organizational structures is the most suitable for an organization whose products are very different and which operates in several different markets or industries?

On June 30, 2003, Paula Company purchased some stock for $5,000. This investment was worth $6,000 on December 31, 2003, and was worth $5,500 on December 31, 2004. The investment has been properly classified as a trading investment since it was purchased. The adjusting entry necessary on December 31, 2004, to record the change in market value would include a:

A) credit of $500 to an account that would be reported as Other Gains and Losses B) credit of $500 to an account that would be reported as Other Comprehensive Income C) debit of $500 to an account that would be reported as Other Gains and Losses D) debit of $500 to an account that would be reported as Other Comprehensive Income E) credit of $1,000 to an account that would be reported as Other Gains and Losses

Potlatch Company manufactures sonars for fishing boats

Model 100 sells for $200. Potlatch produces and sells 5,000 units per year. Cost data are as follows: Variable manufacturing $95 per unit Variable selling and administrative $5 per unit Fixed manufacturing $270,000 per year Fixed selling and administrative $130,000 per year An offer has come in for a one-time sale of 300 units at a special price of $130 per unit. The marketing manager says that the sale will not affect the company's regular sales activities, and that it will not require any variable selling and administrative costs. The production manager says that there is plenty of excess capacity and the sale will not impact fixed costs in any way. What is the effect of this deal on operating income? A) Operating income increases by $200. B) Operating income increases by $1,500. C) Operating income decreases by $10,500. D) Operating income increases by $10,500.