Countries with high inflation often require that companies incorporate price changes into the accounts. Select one: True False
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A: Hi student Since there are multiple questions, we will answer only first question.
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Countries with high inflation often require that companies incorporate price changes into the accounts.
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True
False
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- In periods when home prices declined substantially, some homeowners blamed the Central bank. In other periods when home prices increased, homeowners gave credit to the Central bank. How can the Central bank have such a large impact on home prices? How could news of a substantial increase in the general inflation level affect the Central bank’s monetary policy and thereby affect home prices?When one currency declines against the dollar, it may correspond to lower inflation in the foreign country and as a result, historical operating income and ROI's will be higher. True or False ?As a student of economics you are well aware of the inflation problem. Especially in this timesince new political government came into power, inflation seems to be a persistent problem and every timeeverywhere. As an accountant and economist maintaining the inventory records of a merchandising firmwhat do you think which inventory cost flow assumption will most likely to results in the highest reportedprofits? The lowest taxable income? The valuation of inventory that is closest to current replacement cost?Briefly explain your answers.
- An investor wants to know if a company is manipulating its earnings with the help of allowances for doubtful accounts? What is the best way to do this? A.Look at the level of doubtful accounts as a percentage of sales and percentage of receivables for past years. b.Compare the level of doubtful accounts as a percentage of sales and percentage of receivables with peers in the same industry. c.Analyze the earnings trends without allowances for doubtful allowances and identify earnings pressures if any. d.All of these.Making changes to a firm’s credit policy involves trade-offs. Assuming that all other factors remain constant, which of the following are outcomes expected to result from an increase in a firm’s cash discount? Check all that apply. An increase in the cost of the discounts given An increase in the firm’s bad-debt expenses An increase in the firm’s credit sales, a speeding up of customer payments, and a reduction in the firm’s receivables investment An increase in the creditworthiness of the firm’s customersWhich of the following change in regulations is most likely to improve internal market efficiency and thereby overall market efficiency? Reducing margin requirements on short selling. Raising margin requirements on short selling. Raising margin requirements on margin purchases. Reducing trading hours. Increasing margin interest rates.
- There are claims that the central bank caused the recession, and due to them, production has dropped below the optimum level, and inflation has gone up. What would you say to defend the central bank? Explain in detail.Is offering clients big discounts to shift future revenue into the current quarter a violation of US GAAP rules for revenue recognition?An increase in the current account deficit will place ____ pressure on the home currency value, other things equal. A. upward B. downward C. no D. upward or downward (depending on the size of the deficit)
- please answer For 2019, Apple is below or is it above ? the industry average for the current and quick ratio, but is below or is it above ? the industry average for the cash ratio. However, because there is little concern about Apple’s ability to sell its inventories, the current ratio provides relatively high confidence that Apple will or will not ? be able to meet its short-term obligations.Discuss the argument that central banks should have a mandate for price stability to prevent an inflationary bias.Finance Political stability is a major factor of which one of the following? business risk inflation risk country risk exchange rate risk 2. Regarding short selling: which one of the following statements is incorrect? Dividends on any stock sold short must be covered by the short seller. There is no time limit on a short sale. Short sales are permitted only on falling prices or a downtick. Short sellers must put up margin as if they had gone long.
