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Lilit [14]
3 years ago
8

Differentiate between cash-basis accounting and accrual-basis accounting. Why is accrual-basis accounting the preferred method f

or most businesses? The Internal Revenue Service requires all companies with sales over $5,000,000 to use the accrual-basis of accounting for income tax reporting purposes. Why
Business
1 answer:
Umnica [9.8K]3 years ago
8 0

Answer:

Reason : To ensure constant flow of cash

Explanation:

<u>Accrual Basis of accounting</u> records transactions when they meet definition and recognition criteria of Assets, Liabilities,Equity, Expense and Incomes.

This is different from<u> cash-basis accounting</u> which records transactions at the receipt or payment of cash.

Because of <em>timing</em> difference, the cash transactions (cash basis) can happen a late than the day of recognition of the elements (accrual basis).

Hence Revenue services demand that income tax be calculated on accrual basis to ensure a constant flow of cash whenever an entity transact.

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According to the Level-5 leadership pyramid, managers can become executives who are capable of building lasting greatness into t
notsponge [240]

Answer:

Level 5

Explanation:

pyramid organizational structure is structure usually from 1 to 5 having , one leader at the top, along with

small executive leadership team which is at below level with tiers of managers that have their leading down to the bottom level of team of employees.

Level 5 leaders always shows

powerful mixture of personal humility as well as indomitable will. These set of people that fall under this heirachy are incredibly ambitious, though

their ambition comes as first and foremost as regards the cause, for the organization as well as its purpose and not themselves. It should be noted that According to the Level-5 leadership pyramid, managers can become executives who are capable of building lasting greatness into the organization through a combination of willpower and humility. This occur At

level 5 of the pyramid.

7 0
3 years ago
Read 2 more answers
A replacement analysis is most objectively conducted from the viewpoint of:
mixer [17]
From the viewpoint of an outsider, an non-owner and an consultant which is a replacement analysis is most objectively conducted. When you are conducting a replacement analysis the most objectively conducted is from the view point of the three which is from an outsider, an consultant and an non-owner.
6 0
3 years ago
You do an internet search and the results list includes the Web site www.FDIC.gov. This information is?
MAVERICK [17]
The answer is b
Hope I got it right
7 0
4 years ago
Read 2 more answers
A bank asks customers to evaluate the drive-thru service as good, average, or poor. Which level of measurement is this classific
Lelechka [254]

Answer:

B. Ordinal

Explanation:

Ordinal scales  of measurement is the second level of measurement that measures non numeric concepts like happiness, comfort, discomfort, etc

ordinal scale identifies rank of variables with orders like good, very good, excellent etc. An example of ordinal scale of measurement is the Likert scale with measures data with orders like strongly agreed, agreed, , disagreed, strongly disagreed .

In ordinal scale of measurement, it is the order that matters. Therefore a bank that allows  its customers to evaluates its drive - thru service  as good, average or poor is using the ordinal scale of measurement

7 0
3 years ago
Comparative advantage is Question 13 options: the ability to produce all goods at lower costs than anyone else can. the ability
svet-max [94.6K]

Answer: the ability to produce a good at a lower opportunity cost than other producers

Explanation: In other to clearly understand or grasp the definition or meaning of comparative advantage, the term opportunity cost should be understood. Opportunity cost simply means the benefit which one forfeits or losses when one chooses a certain option over the other. Comparative advantage is possessed by a certain seller or economy who is capable of selling his goods at a lower opportunity cost than its competitors. Thus, the comparative advantages weighs the size or amount of benefit forfeited or lost by sellers as a result of selling at a lower price. Thus the lower the opportunity cost, the better the comparative advantage.

4 0
3 years ago
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