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3 years ago

Recognizing something as a revenue instead of as a liability has a positive effect on the reported financial statements because:

Business

1 answer:

Pani-rosa [81]3 years ago

4 0

Revenue and liability has influence on reported financial statements because;

it understates liabilities
it overstates revenues

<h3>What is revenue and liability?</h3>

Revenue serves as the money that is been generated by the company as a profit while a liability serves as future sacrifices of economic benefits.

However, recognizing something as revenue instead of liability is dangerous because it can results in overstated net income.

Learn more about revenue at;

brainly.com/question/25855858

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3 years ago

You are auditing Rodgers and Company. You are aware of a potential loss due to noncompliance with environmental regulations. Man

aniked [119]

Answer:

D. disclose a liability and provide a range of outcomes.

Explanation:

As there are 40% chances to the outcome that liability will occur, it is not nominal to be ignored. And therefore, it shall be shown in the balance sheet, as a note, with different possibilities and their expected results.

As the amount attached is huge and that the company shall not ignore such a coming liability, as if it do not happen, it can be reversed, and if it does the company shall be ready to have the liability in case of any default.

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4 years ago

Department G had 3,600 units, 40% completed at the beginning of the period, 12,000 units were completed during the period, 2,000

serious [3.7K]

Answer:

Equivalent Units Materials 10400

Equivalent Units Conversion 10960

Cost Per Equivalent Unit Materials $9.8365 

Cost Per Equivalent Unit D. Labor $ 7.2810 

Cost Per Equivalent Unit FOH $ 2.2992

Explanation:

Particulars Units % of Completion Equivalent Units

Materials Conversion Materials Conversion

Complete 12000 100 100 12000 12000

Add EWIP 2000 100 20 2000 400

Less BWIP 3600 100 40 3600 1440

Equivalent Units 10400 10960 

In FIFO as the name suggests we take out the units first completed. So we deduct the Beginning Work in Process (BWIP) from the sum of completed units and ending work in process (EWIP).

Costs added during period: Direct materials Direct labor Factory overhead

(10,400 at $9.8365)

102,300 79,800 25,200

Equivalent Unit 10400 10960 10960

Cost Per Equivalent Unit $9.8365 7.2810 2.2992

3 0

3 years ago

Your annual budget to hire a social media team is $620,000. If each member on the team is paid $18/an hour and works a total of

avanturin [10]

The number of team members you can hire based on your annual budget of $620,000 for the social media team is 16.

<h3>What is budgeting?</h3>

Budgeting is the process of making a financial estimate of expected revenue and expenditure for a period.

Budgeting ensures that sufficient funds are made available and spending does not exceed the budgeted amount.

<h3>Data and Calculations:</h3>

Annual budget for media team = $620,000

Member's rate per hour = $18

Total hours worked per year by a member = 2,040

A member's earnings per year = $36,720 ($18 x 2,040)

The number of team members to hire =16.9 ($620,000/$36,720)

Thus, the number of team members to hire for the social media team is 16.

Learn more about budgeting at brainly.com/question/24940564

7 0

2 years ago