Period cost shown in statement of financial position. True or false
Q: period cost shown in statement of financial position Ture or false
A: Period cost refers to the cost related to the passage of time. Since it is associated with the…
Q: In a restated set of financial statements prepared in accordance with the current cost accounting,…
A:
Q: What is the difference between direct and indirect operating expenses?
A: Direct operating expenses: The expenses that are directly related to the operations of the…
Q: Cost of goods sold is an operating expense. A.True B.False
A: Introduction:- Income statement shows company's income and expenses over a period of time. Formula…
Q: In a restated set of financial statements prepared in accordance with the current cost accounting,…
A: Unrealized profit is the part of profit which is not realized till the end of the accounting year.…
Q: Explain and evaluate the eff ects on financial statements and ratios of capitalizing versusexpensing…
A: Capitalizing Costs: When any cost is incurred with respect to any asset which will provide long-term…
Q: Product costs are ordinarily found in the traditional Income Statement's Operating Expenses whereas…
A: Product costs are those costs which are incurred on specific products like material cost, labour…
Q: Which of the following facilitates the comparison of financial performance with one period to…
A: Financial performance can be compared if the business uses same policies and methods in all the…
Q: Which method results in a more realistic amount for income because it matches the most current costs…
A: The current costs is based on the purchasing of the latest products which means the having book…
Q: е. Compute the rent income. f. Compute the gain on sale of equipment. g. Compute the expenses
A: As per the norms of Bartleby, in case of multiple parts been asked for a single question, only…
Q: How can the amounts shown on the- nancial statements be called historical ?cost amounts
A: Answer A. The correct answer is option (C) When an item was originally obtained whether that…
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Q: inventories at the lower of cost and net realizable value? Added to cost
A: "Since you have asked multiple question we will solve the first question for you. If you want any…
Q: What are the differences in the accounting forinventoriable versus period costs?
A: Cost: Cost can be defined as the cash and cash equivalent which is incurred against the products…
Q: Explain and evaluate the effects of capitalizing versus expensing costs in the period in which they…
A: Capitalization : When a company incurs any expense, benefit of which will be available for more than…
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A: Operating Expenses (OpEx) are those expenses which are directly associated with the day to day…
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A: An asset is something which contains future economic value or future benefit. A liability is…
Q: How do cost management and financial accounting differ?
A: The accounting is a process to identify, classify and record the transactions of the business and…
Q: Explain why product costs are capitalized but period costs are expensed in the current accounting…
A: Product Cost The cost of the goods refers to a price paid to manufacture a product. It requires…
Q: What is the purpose of Classifying Costs for Financial Statement?
A: Cost Classifications helps the management in analysing the overall effect on the assets and…
Q: What type of cost is included in economic costs, but not included in accounting costs?a. Explicit…
A: Economic costs are the costs in which consideration is given to opportunity costs as well.
Q: How you relate the differential cost with management of revenue in management accounting.
A: Management Accounting is a type of accounting which is used within the company for the purpose of…
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A: Accounting ratios are those ratios which compare the line items of the balance sheet of company in…
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A: Cost Accounting: It is the process of collecting, recording, analyzing the cost, summarizing cost,…
Q: a) Why are neutral expenes eliminated and imputed cost added to derivee cost from expenses
A: Deriving the cost from expenses is necessary to ascertain the exact cost incurred and to…
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A: The accounting rate of return (ARR) is the percentage rate of return expected on investment or asset…
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A: Introduction: Capital budgeting is an investment criterion or decision making mechanism for…
Q: current cost financial statements: a. General price level gains or losses are recognized b. Amounts…
A: Explanation: The financial accountiing term current cost accountiing refers to an approach that…
Q: Cost Accounting don’t disclosure the information? True Flase
A: Cost accounting is the branch of accounting that inspects the cost structure of a business. This…
Q: 1. Prepare an income statement using the a. Net realizable value method b. Reversal cost method
A: Net realizable value refers to the value which is realized upon the sale of assets minus cost…
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A: Going concern assumption says that business will continue for unlimited number of year. Historical…
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A: Cost estimation is essential for every company to help managers in relevant decision-making. Cost…
Q: ases? or only in t
A: The explanation is given below ,
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A: The cash over and short account is an expense account used to record the difference of the physical…
Q: Costs incurred to earn revenue are referred to as _____
A: Expenditure is the outflow cash or incurred by the business to support the generation of revenue.…
Q: The terms period cost and product cost are sometimes used to describe certain items in financial…
A: The expenses specifically associated with the manufacture of a good or service planned for sale are…
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- What is the effect on the current period income statement and the balance sheet when inventories are written down using the lower of cost or market method? What is the effect on future period income statements and balance sheets?period cost shown in statement of financial position Ture or falseWhat are the Cost Product Cost and External Financial reporting?
- Accounting Current Cost Measurement Why liabilities, such as Accounts Payable (an obligation) is usually recorded using current cost in the financial statements rather than historical cost measurement?In current cost financial statements: a. General price level gains or losses are recognized b. Amounts are always statement in common purchasing power c. All items are different from what they would be in a historical cost statement of financial position. d. Holding gains are recognizedWhich of the following facilitates the comparison of financial performance with one period to another period is possible ? a. Consistency Principle b. Historical cost concept c. Matching Concept d. Going concern Assumption
- Which method results in a more realistic amount for income because it matches the most current costs against revenue? a.FIFO b.Weighted average cost c.Specific identification d.LIFOWhich format of the Income Statement is appropriate for financial reporting? O Variable costing O Activity-based O Absorption O any format is fine for financial reportingNet Operating Income (-) Interest Expense (-) Cost Recovery Allowance (=) _________________ (or) NOI (minus) Interest Expense (minus) Cost Recovery Allowance (equals) ___________________ Group of answer choices
- How variable and fixed expenses determined and analyzed?What is net operating income approach, what are the assumptions of this approach. In what conditions it is appropriate to use this approach. How the calculations are made, explain with an example.Is current cost included in the overall measurement bases? or only in the current value?