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2 years ago

Using the trueblood criterion what is the ultimate goal of accounting?

1 answer:

8 0

The ultimate goal of accounting according to trueblood criterion is to predict future cash flows to the investor or creditor

<h3>What is a trueblood criterion?</h3>

In accounting, its means the reporting on the past & present firm information that could help us predict future cash flow to firm.

Hence, by virtue of trueblood criterion, the ultimate goal of accounting is to predict future cash flows to the investor or creditor.

Therefore, the Option C is correct

Missing options "A) Predict future cash flows to the firm

B) Predict income to the investor or creditor

C) Predict future cash flows to the investor or creditor

D) Predict income to the firm"

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Company A has been experiencing lost sales and high returns recently, so they have decided to undertake a comprehensive quality

Ne4ueva [31]

Answer:

Explanation:

Incremental cost

Inspection cost prior to shipment - 45,000

Upgrading of equipment - 400,000

Incremental benefit - 25,000

The incremental cost of improving quality far outweigh the incremental benefit

Even though loss of profit was avoided by retaining existing customers , yet the quality improvement program dies not guarantee additional customers and profit to write off or reduce the incremental cost .

Therefor , it is not advisable fort the company to go on with the quality program.

6 0

3 years ago

During Year 1, Fox Co. introduced a new product carrying a two-year warranty against defects. The estimated warranty costs relat

Olin [163]

Answer:

D) $14,250

Explanation:

In order to determine the total warranty liability that Fox must report in its December 31, 2014, balance sheet, we must multiply the total sales for both 2013 and 2014 by the estimated warranty expenses and then subtract the incurred warranty expenses:

total sales during 2013 and 2014 = $150,000 + $250,000 = $400,000
estimated warranty expenses = 2% + 4% = 6%
incurred warranty expenses = $2,250 + $7,500 = $9,750

warranty liability = ($400,000 x 6%) - $9,750 = $24,000 - $9,750 = $14,250

6 0

4 years ago

Suppose that without specialization, Iran produces 4 barrels of oil and 6 bottles of olive oil, and Iraq produces 4 barrels of o

Elza [17]

Answer:

With specialization Iran will be able to consume 1.7 bottles of olive oil.

Explanation:

Iran produces 4 barrels of oil and 6 bottles of olive oil.

Iraq produces 4 barrels of oil and 4 bottles of olive oil.

The opportunity cost of producing a barrel of oil for Iran

= $\frac{6}{4}$

= 1.5

The opportunity cost of producing a barrel of oil for Iraq

= $\frac{4}{4}$

= 1

Iraq has a lower opportunity cost for producing oil so we can say it has a comparative advantage in producing oil.

The opportunity cost of producing a barrel of olive oil for Iran

= $\frac{4}{6}$

= 0.66

The opportunity cost of producing a barrel of olive oil for Iraq

= $\frac{4}{4}$

= 1

Iran has a lower opportunity cost for producing olive oil so we can say it has a comparative advantage in producing it.

The terms of trade with specialization are 4 barrels of oil for 4.3 bottles of olive oil, and that 4 barrels of oil are indeed traded for 4.3 bottles of olive oil.

Without trade, Iran is consuming 4 barrels of oil and 6 bottles of olive oil.

With specialization, Iran will be able to consume

= 6 - 4.3

= 1.7 bottles of olive oil

6 0

3 years ago

An investor interested in obtaining the benefit of professional portfolio management has been tracking a particular investment c

Evgen [1.6K]

Answer:

C. an open-end fund

Explanation:

An open end fund also known as mutual fund is a diversified investment portfolio that does not have a limit in terms of shares that can be issued. In an open end fund, when shares are purchased by investors, more shares are created likewise shares are taken out of circulation when they are sold.

Majority of open end funds - mutual funds can issue new shares at all times as per response to the demand by investors. Shares bought and sold in open end fund are priced daily based on their current net asset value (NAV) . Example of open end funds are hedge funds, mutual funds, exchange traded funds (ETFs)/etc.

7 0

3 years ago

The continual process by which managers actively encourage, stimulate, and support employee commitment to the company, the compa

vekshin1

Answer:

Internet marketing

Explanation:

The internet marketing is the marketing technique where the company promotes its goods and services over the internet so that it become for consumers to check out the company products at their convenient time. Also it could be accessed via mobile phones, laptops and etc.

Here in the given situation, the continuous through which managers actively motivates and support the employees so this situation represent the internet marketing

5 0

3 years ago