Which is the proper way to report a contingent asset? a. As an asset b. No disclosure and no accrua c. An unrealized revenue d. As a disclosure only
Q: Problems 1. For the year ended December 31, 2017, Casey Company estimated its allowance for…
A: The uncollectible account expense for the year includes uncollectible provisions made during the…
Q: Buchanan Company currently sells 4,000 units of product Q for $1 each. Capacity is 5,000 units.…
A: Increase (decrease) in income on acceptance of order = Net income if order is accepted - Net income…
Q: One way to discover fraud is to compare cost per unit for the current year against previous years.…
A: Fraud is defined as a false statement of the facts that causes the victim of the fraud to suffer…
Q: Merchandise with a list price of P 20.000 was purchased under the terms 2/10, n/30 vwith trade…
A: The purchases will be recorded at List Price less 10% and then 5% discount. As per terms 2/10, a…
Q: B Company offered a cash rebate of P20 on each P150 package of ballpen sold during the current year.…
A: Rebate expense = No of sold items x Rebate per product x % in mail rebate form
Q: n January 1, 2021, the Mason Manufacturing Company began construction of a building to be used as…
A: Solution: Under specific interest method, interest is capitalized firstly till the amount of…
Q: Pooler Corporation is working on its direct labor budget for the next two months. Each unit of…
A: Labor costs refer to the cost incurred on the wages paid to the workers who are directly or…
Q: Everything else held constant, would it be better to depreciate a project with DDB depreciation or…
A: Working capital, also known as net cash flow (NWC), is the difference between a company's current…
Q: Aaron Heath is seeking part-time employment while he attends school. He is considering purchasing…
A: Net Present Value(NPV) is a capital Budgeting technique by which the present value of all the…
Q: The costs per equivalent unit of direct materials and conversion in the Rolling Department of Kraus…
A: The direct material cost is the cost that has been incurred by the company to purchase the raw…
Q: Other changes may affect comparability but not consistency in the use of accounting principles and…
A: The question is related to Auditing. Accounting Principles are specific guidelines and principles…
Q: Exercise 8-5 (Algo) Manufacturing Overhead Budget [LO8-6] The direct labor budget of Yuvwell…
A:
Q: If the fair value of net assets is less than the offered price the acquisition considered as a…
A: Fair value of the assets is the amount which can be fetched by entering into sales transaction…
Q: Based on the following selected account balances appearing in the trial balance of Midway Repar…
A: Introduction: Trial balance: All the final ledger account balances are posted in Trial balance to…
Q: See Clear Company manufactures clear plastic CD cases. It applies variable overhead based on the…
A: Amount Favourable/Unfavourable Variable Overhead Rate Variance $9000 Favorable Variable…
Q: Mr. A and Mrs. B are maried and have two dependent children. X & Y, They also fully support Mrs. B's…
A: The taxable income is the amount on which taxpayers’ tax liability is determined. The taxable income…
Q: Share premium is an income to the company. Select one: True False
A: Solution: Share premium is the amount in excess of par value received by the company on issue of…
Q: Anthony has just won the Flyball Lottery. He has two options for receiving his prize. The first…
A: Present value is the concept that states an amount of money today is worth more than that same…
Q: Which of the following performance measures is most closely associated with the Balanced Scorecard's…
A: There are four perspectives on balanced scorecard they are on Financial, customer, business…
Q: The following are the transactions of K-Dynamite Company for the calendar year ended December 2021.…
A: Balance sheet, also known as the statement of financial position is the financial statement which…
Q: . Which of the following is not one among the limitations of EOQ? a. All the related components…
A: The question is related to Economic Order Quantity. It is that level of inventory at which holding…
Q: $393,110 Use the table of annual $8,252 Рayroll expenses to calculate the category expense…
A: Business expenses are an important component of every business undertaken. Each expense contributes…
Q: Tom and Faith are in a partnership sharing profits and losses in the ratio of 3/5 for Tom and 2/5…
A: Partnership means where two or more person comes together to do joint business and share the common…
Q: two types of operational responsibility
A: Operational responsibility is the responsibility of the managers to make sure that the operation…
Q: Assuming an annual effective interest rate of 5%. Which of the following annuities with 12 payments…
A: The present value of the annuity is calculated by discounting the future payments at the required…
Q: P Company acquired the net assets of S Company of fair value of $2,700,000 on January 1, 2011,…
A: Acquisition is an act of buying/purchasing/acquiring something. Here in the question, Acquisition of…
Q: On January 1, 2019, Hyde Corporation purchased bonds with a face value of $300,000 for $308,373.53.…
A: A journal entry is used to document any commercial transaction in the accounting records of a…
Q: ame of 50,000 units. Per Unit Total $50 26 Facturing overhead 20 turing overhead $600,000
A: DM $ 50.00 DL $ 26.00 VOHs $ 20.00 Var S&M Exp $ 19.00 Variable…
Q: What is the current value of a security that pays $165,500 per year for 10 years if similar…
A: The present value of all cash flows can be used to calculate the current value of an investment.
Q: Marvel Parts, Incorporated, manufactures auto accessories. One of the company's products is a set of…
A: The question is based on the concept of Cost Accounting.
Q: All classifications on the Balance Sheet have a general relationship with sections identified on the…
A: Cash flow statement means the statement which shows the cash inflow and outflow during the specified…
Q: mpany manufactures beach umbrellas. The company is preparing detailed budgets for the third quarter…
A: Solution: Direct materials purchase budget represent the quantity of materials that need to be…
Q: B Company offered a cash rebate of P20 on each P150 package of ballpen sold during the current year.…
A: "Since you have asked multiple questions, we will solve first question for you. If you want any…
Q: 1) A monthly depreciation expense of $600 is recorded on a truck that was purchased for $27 000 and…
A: Formula: Depreciation rate = ( Annual Depreciation expense / depreciable value ) x 100
Q: Prince Rupert company manufactures product A. B, C and D. Data for the year ended Dec 31, 2021, is…
A:
Q: 11-2, LO 11-4] North Wind Aviation received its charter during January authorizing the following…
A: Additional paid in capital, preferred stock = 11000 shares×($17-$10)+ 1100 shares×($17-$10)…
Q: Net income was $466,000. Issued common stock for $72,000 cash. Paid cash dividend of $18,000. Paid…
A: Cash Flow Statement (Partial) Amount (In $) Amount (In $) Cash Flow from Financing…
Q: The ability to lower overall inventory warehousing costs is an advantage of which type of system…
A: There are various methods to store inventory by devising a suitable system to reduce the costs…
Q: urrent Year Previous Year Balance Sheet at December 31 Cash $ 62,600 $ 67,200 Accounts…
A: A cash flow statement is a statement that is prepared at the end of the accounting year after the…
Q: The distributable net income (DNI) for the Oshiro estate is $27,000, including $4,800 of tax-exempt…
A: Deduction- Deductions are expenses that occur during the fiscal year and are deducted from an…
Q: Based on the following audited financial statements of Fast Truckers at the end of December 31,…
A: Net income is calculated as gross receipts less total expense
Q: what are the two tax rates whih are used to calculate AMT, ignoring the special treatment of…
A: A dividend seems to be the distribution of a part of a company's earnings to a selected group of…
Q: Agricultural assets are examples of PP&E (Property, Plant, and Equipment) Select one: True False
A: Agricultural assets are assets used in agriculture or farming. The concept asked in question is…
Q: What is the percent change from $499 to $299? 67% 16% 40% None of the above
A: The percentage change is calculated as change in value divided by original value
Q: Selected accounts of X Company after adjusting entries appearing in the trial balance are shown…
A: Trail balance is the balance of all ledger accounts that are compiled into debit and credit account…
Q: Outline the relevant forces that exert pressure on Legal & Tax as an organisational system to…
A: Gender mainstreaming means integrating the concept of gender equality into all categories and levels…
Q: Schylar Pharmaceuticals, Inc., plans to sell 130,000 units of antibiotic at an average price of $22…
A: A company's contribution margin ratio (CM ratio) seems to be equal to revenue minus all variable…
Q: 4. Hasya Enterprise sells notebooks and the annual demand for the notebooks is 1800. The cost of the…
A: Calculation of total cost in case the offer is accepted Ordering cost = RM 44 Unit Cost = 1200 -…
Q: Cari Tank (CT) produces and sells water tanks for the Regional market. The following are estimates…
A: Cost-Volume-Profit (CVP) analysis, also recognized as Break-Even Analysis, is a business method for…
Q: Lina Company purchased equipment on January 1, 2022 for P5,000,000. The equipment had a useful life…
A: Given information, Cost of the equipment=P5,000,000 Residual value =P600,000 Computation of…
Which is the proper way to report a contingent asset?
a. As an asset
Step by step
Solved in 2 steps with 2 images
- Which among the following suits best for Unearned revenue? a. Liability b. Expense c. Revenue d. AssetWhat is the purpose of recognizing depreciation on the financial statements? Is it designed to report PPE at fair value on the balance sheet?Statement 1: Measurement period is relevant if Fair Value of Net Assets of acquiree includes the recognition of the contingent asset, contingent liability, and assets/liabilities with provisional amounts. Statement 2: Measurement period is relevant for the remeasurement fo all contingent considerations. A. Both Statetements are Correct B. Both Statements are Incorrect C. Only Statement 1 is Correct D. Only Statement 2 is Correct
- Which of the following is correct about subsequent measurement of financial asset at fair value? a. the financial asset shall be measured at fair value if the business model is not to collect contractual cash flows on specified dates and the contractual cash flow ae not solely payment of principal and interest. b. An entity may designate a finacncial asset as measured at fair value through profit or loss even if the financial asset satisfies the amortized cost measurement. c. both are correct d. both are incorrectAsset Valuation and Income Recognition. Asset valuation and recognition of net income closely relate. Explain, including conditions when they do not.Which one of the following category outstanding expenses belong to? a. Intangible asset b. Current liability c. Non-current asset d. Current asset
- How should the assets and liabilities of a disposal group held for sale bereported? A. The assets and liabilities should be offset and presented as a single amount B. The assets of a disposal group should be reported separately as current assets and the liabilities should be shown as current liabilities separately. C. The assets and liabilities should offset and presented as a deduction from equity. D. There should be no separate disclosure of assets and liabilities of the disposal groupWhich of the following is not an expense excluded when calculating EBITDA? Depreciation expense, administrative expense, interest expense, or tax expenseHow should (i) a change in calculating the provision for doubtful accounts, and (ii) change in subsequent measurement of investment property from cost to fair value, accounted for? * a. (i) Currently and prospectively; (ii) Currently and prospectively b. (i) Retrospectively; (ii) Retrospectively c. (i) Retrospectively; (ii) Currently and prospectively d. (i) Currently and prospectively; (ii) Retrospectively
- Included AssetExcluded temporary expense accountIncluded permanet account - LiabilityHow does the revenue-expense approach differ from the asset-liability approach fordefining accounting elements?Which one of the following category outstanding expenses belong to? a. Intangible asset b. Current liability c. Non-current asset d. Current asset fast
