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2 years ago

Identify the accounting assumption, principle, or constraint that describes each situation. do not use an answer more than once.

Business

1 answer:

san4es73 [151]2 years ago

7 0

These are the accounting assumption:

Expense recognition principle: Charges are allocated to revenues at the appropriate time.
Measurement principle: Changes in fair value that occur after purchase are not reported in the accounting.
Full disclosure principle: Requires the reporting of all important financial information.
Going concern assumption: Justification for not reporting plant assets at their liquidation value.
Economic entity assumption: Recommends that personal and professional records be kept separate.
Periodicity assumption: Divides financial data into time periods for reporting reasons.
Monetary unit assumption: reported using the dollar as the "measuring stick," according to the monetary unit assumption.

Accounting assumptions are a set of guidelines that guarantee an organization's business operations are carried out effectively and in accordance with the standards established by the FASB (Financial Accounting Standards Board), laying the foundation for reliable, consistent, and valuable financial reporting.

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econ301 2. What advantages do franchise business offer nonprofit that seek side business to generate revenues to support their c

Solnce55 [7]

Explanation:

A franchise business is one that allows another business (or non-profit) to carry out certain commercial activities, in a sense acting as an agent for the company.

Consider the following advantages:

1. Capital

The franchisor (the company that grants permission) may provide all the capital required to open and operate the non-profit.

2. Better-quality management. The years of experience accumulated by the franchisor may be of benefit to the non-profit. Thus, improving the quality of operations.

Other benefits include;

increase their speed of Growth
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4 years ago

1. Identify each account as an asset (A), liability (L), or equity (E).

Novosadov [1.4K]

Answer:

Interest Revenue: Income, Credit balance, credit increases the balance, debit reduces such balance

Accounts Payable: Liability, Credit balance, credit increases the balance, debit reduces such balance

Calhoun Capital: Equity, Credit balance, Credit increases the balance, debit reduces such balance

Office Supplies: Asset, Debit balance, Debit increases the balance, credit reduce such balance

Advertising Expense: Expense, Debit balance, debit increases the balance, credit reduces such balance

Unearned Revenue: Liability, Credit balance, credit increases the balance, debit reduces such balance

Prepaid Rent: Asset, Debit balance, Debit increases the balance, credit reduces such balance

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3 years ago

You have 2500 square feet for selling space. You want to reserve at least 125 square feet for each product category you will car

stira [4]

You first need to find out how much usable floor space you will have.

You have 2500 feet of total space, but 30% of the space is unusable because the aisle. So you would multiply 2500 X 70%

Then you would need to figure out how many categories you can have so you would take the number of usable feet you just calculated divided by 125 (the amount of square feet each product category requires.)

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4 years ago

Exercise 11-1 Compute the Return on Investment (ROI) [LO11-1] Alyeska Services Company, a division of a major oil company, provi

vaieri [72.5K]

Answer:

1. Margin = 0.32 or 32%

2. Turnover = $19,000,000 or Operating Asset Turnover = 0.52 or 52%

3. Return on Investment = 0.17 or 17%

Explanation:

Firstly, list out the parameters we were given:

Sales = $19,000,000, Net Operating Income = $6,100,000,

Average Operating Assets = $36,500,000

1. Operating Margin = Net Operating Income / Sales

Operating Margin = 6,100,000 ÷ 19,000,000 = 0.32

Operating Margin = 0.32 (to 2 decimal places)

Operating Margin = 32%

2. Turnover refers to sales or revenue made during a particular period. In which case turnover is $19,000,000

However, if the turnover referred to is the Operating Asset Turnover, that is calculated below:

Operating Asset Turnover = Sales / Average Operating Assets

Operating Asset Turnover = 19,000,000 ÷ 36,500,000

Operating Asset Turnover = 0.52 (to 2 decimal places)

Operating Asset Turnover = 52%

3. Return on Investment (ROI) = Net Operating Income / Average Operating Assets

Return on Investment (ROI) = 6,100,000 ÷ 36,500,000

Return on Investment (ROI) = 0.17 (to 2 decimal places)

Return on Investment (ROI) = 17%

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3 years ago

Labor-augmenting (improving) technology causes which of the following? (i) The marginal productivity of labor increases. (ii) Th

OleMash [197]

Answer:

Answer to this is both option (i) and option (iii).

Explanation:

Change in technology generally affects the change in productivity as well as the change in labor demand. In the case of Labor-augmenting (improving) technology, it is found that the positive change in technology leads to the increasing marginal productivity of labor. This increase of marginal productivity of labor shifts the labor-demand curve towards right. Thus, Labor-augmenting (improving) technology causes marginal productivity of labor to increase which further leads to shifting of the labor-demand curve towards right.

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3 years ago