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3 years ago

When does accrual basis accounting record a transaction?

2 answers:

7 0

The main difference between accrual and cash basis accounting is the timing of when revenue and expenses are recognized.

serg [7]3 years ago

5 0

When does accrual basis accounting record a transaction? When under new ownership.

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To what degree a country's legal system is based on the rule of law matters little in international business.

marissa [1.9K]

Rule of law is very important in case of country’s legal system

This means that no one can be regarded to be above the law in a society where the rule of law exists. In a parliamentary democracy, the rule of law places a duty on all citizens to uphold the law, and in order to do so, the legislation must be just and not arbitrary. The goal of the rule of law, like other constitutional concepts, is to advance peoples' freedom and basic rights.

People and corporations must abide by the regulations set forth by the rule of law in order to avoid penalties. The rule of law establishes norms for businesses so that they, too, know what is required of them in their transactions and enables people to comprehend what is expected of them in their personal capacities.

Learn more about rule of law at

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3 0

1 year ago

Which statement of cash flow method would require the disclosure of the noncash transaction of acquiring a factory financed enti

Pie

Answer: Direct and indirect statement of cash flows

Explanation: statement of cash flows shows the overall computed inflow and outflow of cash that took place in an organization over a given period of time. It shows how well an organization managed it's cash which is used to settle it's debts and make profit.

The direct method only considers the cash inflow and outflow into account and produces the cash flow from it's operations.

The indirect method considers the net income as the starting point and prepare the inflow and outflow using adjustments.

3 0

3 years ago

On October 1, 20X1, a company purchased a piece of land by agreeing to pay the seller $450,000 in two years. If the company had

erma4kov [3.2K]

Answer:

$378,756

Explanation;

The net present value of land will be =$450,000/1.09^2=$378,756

The land will be recorded in net present value of land by discounting the cost of land with interest rate of buying from the bank.

4 0

3 years ago

Clabber Company has bonds outstanding with a par value of $123,000 and a carrying value of $111,100. If the company calls these

White raven [17]

Answer:

The gain on retirement = $4,600

Explanation:

The gain or loss on retirement = Carrying Value of the Bonds - Call price of the Bonds

The gain or loss on retirement = $111,100 - $106,500

The gain on retirement = $4,600

Note: Par value will not be taken for the calculation of the above

4 0

3 years ago

Oriole Co. reports net income of $59,000. Partner salary allowances are Pitts $15,000, Filbert $5,000, and Witten $6,000. Indica

loris [4]

Answer:

Oriole Co

Division of net income to each partner:

Pitts Filbert Witten Total

Total income $33,480 $13,580 $11,940 $59,000

Explanation:

a) Data and Calculations:

Net income = $59,000

Salary allowances = $26,000

Remaining shareable income = $33,000

Allocation of net income to each partner:

Pitts Filbert Witten

Income sharing ratio 56 : 26 : 18

Salary Allowances $15,000 $5,000 $6,000

Shareable income 18,480 8,580 5,940

Total income $33,480 $13,580 $11,940

b) Calculation of shareable income:

Pitts = $33,000 * 56% = $18,480

Filbert = $33,000 * 26% = $8,580

Witten = $33,000 * 18% = $5,940

6 0

3 years ago