1answer.
Ask question
Login Signup
Ask question
All categories
  • English
  • Mathematics
  • Social Studies
  • Business
  • History
  • Health
  • Geography
  • Biology
  • Physics
  • Chemistry
  • Computers and Technology
  • Arts
  • World Languages
  • Spanish
  • French
  • German
  • Advanced Placement (AP)
  • SAT
  • Medicine
  • Law
  • Engineering
Tom [10]
1 year ago
9

Funds that are identified for specific work packages and cover risks that have a low probability of occurring are called _______

__ reserves.
Business
1 answer:
Lostsunrise [7]1 year ago
6 0

Funds that are identified for specific work packages and cover risks that have a low probability of occurring are called Contingency reserves.

<h3>What is Contingency Reserve?</h3>

A contingency reserve is retained earnings that have been set aside to guard against possible future losses. A contingency reserve is needed in situations where a business occasionally suffers significant losses, and needs reserves to offset those losses.

In other word, Contingency reserve is defined as an amount set aside to cater for unforeseen circumstances by a firm. It is a surplus amount taken from profit of an organization. Here, certain funds are earmarked out of the profit made by a firm, indicating a reservation against a specific or general contingency.

Hence, funds that are for identified risks that have a low probability of occurring and that decrease as the project progresses are called contingency reserves.

Therefore, we can conclude that the correct option is A.

Your question is incomplete, but most probably your full question was:

Funds that are for identified for specific work packages and cover risks that have a low probability of occurring and that decrease as the project progresses are called ______ reserves.

A. Contingency

B. Management

C. Unidentified Risk

D. Just in Case

E. Padded

Learn more about Contingency Reserves on:

brainly.com/question/14531831

#SPJ4

You might be interested in
Feldspar Inc. is considering the capital structure for a new division. Management has been given the following cost information:
34kurt

Answer:

Option 4

Explanation:

In this question ,we have to compute the WACC which is shown below:

= Weightage of debt × cost of debt × ( 1- tax rate) + (Weightage of  common stock) × (cost of common stock)

For Option 1, it would be

= (0.3 × 10%) × ( 1 - 40%) + (0.7 × 12.5%)

= 1.8% + 8.75%

= 10.55%

For Option 2, it would be

= (0.4 × 10.5%) × ( 1 - 40%) + (0.6 × 13%)

= 2.52% + 7.8%

= 10.32%

For Option 3, it would be

= (0.5 × 11%) × ( 1 - 40%) + (0.5 × 13.5%)

= 3.3% + 6.75%

= 10.05%

For Option 4, it would be

= (0.6 × 11.7%) × ( 1 - 40%) + (0.4 × 14.2%)

= 4.212% + 5.68%

= 9.89%

For Option 5, it would be

= (0.7 × 13%) × ( 1 - 40%) + (0.3 × 15.5%)

= 5.46% + 4.65%

= 10.11%

So based on this, the management should accept option 4 as it derives the best debt asset ratio

The weightage of equity would be come

= 1 - weightage of debt

8 0
3 years ago
Informal logic is __________.
Kobotan [32]
Its the study of formal validity without a focus on everyday usages of critical thinking
5 0
3 years ago
In each of the following independent cases, indicate the amount (1) deductible for AGI, (2) deductible from AGI, and (3) deducti
OLEGan [10]

Answer: kindly check your questions, I don't think it's complete.

For the first independent case as you have given in the question. Here is the answer below:

1) Ted paid $90 rent on a safety deposit box at the bank. In this box he kept the few shares of stock that he owned-------

Answer

Deductible for AGI $0

Deductible from AGI $90

Not deductible $0

Deduction from AGI (investment expense )

------For the remaining independent cases as you omitted in the question will be seen below with answers

2.Tyler paid $177 for minor repairs to the fence at a rental house he owned

Answer: Deductible for AGI $177

Deductible from AGI $0

Not deductible $0

-Deduction for AGI

And Rental expense.

3)Timmy paid $585 for health insurance premiums this year (not through an exchange). Timmy is employed full-time and his employer paid the remaining premiums as a qualified fringe benefit.

. Answer---

Deductible for AGI $0

Deductible from AGI $585

Not deductible $0

The health insurance premium is from AGI,

Health itemized deduction which is also subjected to an AGI floor limitation.

4)Tess paid $2,090 of state income taxes on her consulting income. (W-2)

Answer---Deductible for AGI $0

Deductible from AGI $2,090

Not deductible $0

--The state income taxes are deductible from AGI which is an itemized deduction.

4 0
3 years ago
Which one of the following statements is true?
Alecsey [184]

Answer:

b. A manufacturing company will normally have raw materials, work in process, and finished goods as inventory account classifications.

Explanation:

A manufacturing unit will generally follow, three step completion of goods while manufacturing, as in primary state the company requires raw material for processing it and making it finished good.

After that the goods are processed and as all goods require some further time to process, some goods remain in between some stage called, work in process, where some processing is done, and some is left.

The last stage is to become a finished good, once the goods are completed, it is called finished goods and then goods are aimed to be sold.

Therefore, correct statement is statement B.

6 0
3 years ago
Neve Commercial Bank is the only bank in the town of York, Pennsylvania. On a typical Friday, an average of 10 customers per hou
Leya [2.2K]

Answer:

subject?

Explanation:

6 0
3 years ago
Other questions:
  • A customer who lives in New York has an account with a broker-dealer and sales representative that are both registered in State
    15·1 answer
  • What is the primary task of the Federal Reserve​
    9·2 answers
  • What are factors of production?1/ all the human efforts involved in the production process2/ all the resources used to produce a
    12·2 answers
  • Suppose there is a simple two good economy that produces fish and cars. When the economy increases its production of fish from 0
    13·1 answer
  • Following is partial information for the income statement of Audio Solutions Company under three different inventory costing met
    9·1 answer
  • 1. Matthew is working in the sales and service pathway providing new transportation options to his customers. Based on this, wha
    10·1 answer
  • In the far off kingdom of Viracien there is a healthy sized population of citizens over 16 years old. The last census indicated
    8·1 answer
  • Death benefit proceeds from a life insurance policy are included in a decedent's gross estate in which of the following circumst
    14·1 answer
  • Your portfolio has grown from $2500 to $3800 what is the percent of the growth rate
    13·1 answer
  • a homeowner has just made the final payment on her home mortgage to her lender. there will still be a lien on her property until
    7·1 answer
Add answer
Login
Not registered? Fast signup
Signup
Login Signup
Ask question!