When formulating aggregate plans,

A) forecast errors have no impact.
B) forecast errors must be taken into account.
C) forecast accuracy is assumed.
D) forecast accuracy is not a factor.

Answer: B

Business

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Insurance on equipment purchased, while the equipment is in transit, is part of the cost of the equipment.

a. true b. false

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A house has a replacement cost of $100,000. The outstanding balance of loan is $65,000. To meet the policy's coinsurance clause and mortgage requirements, the owner should carry how homeowner's insurance on the property?

A. $100,000. B. $80,000. C. $65,000. D. $50,000.

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