Answer:
see below
Explanation:
A balance sheet is prepared following the accounting principles of assets equal to liabilities plus equity. Assets are left side while equity and liabilities on the other.
Assets are valuable that a business owns. Liabilities refer to the debts or loans of the business. It is what the business owes others. Equity is the owner's contribution to the business.
In this balance sheet, Emily has confused assets and liabilities.
The column labeled as liabilities represents assets. She should change that. This column should be the topmost column. She has interchanged the labels for liabilities and assets. The difference between assets and liabilities should be equity.
Answer:
a. Accounted for prospectively
Explanation:
Warranty cost is an expense i.e. to be incurred for the repair or replacement of the goods comes under the warranty given by the company.
Here if there is a change in the rate i.e. used for determining the warranty cost so it would be accounted in prospectively manner i.e. it would be changed in the current period and also the amount should be estimated or predicted
Hence, the correct option is a.
Answer:
D
Explanation:
I got this answer due to how the costumer preference had nothing to due with the price
Answer:
Preferred stock is advantageous in that it:
(1) has priority over common stock when dividends are declared.
(3) has priority over common stock at liquidation.
Explanation:
2 and 4 are not correct.
(2) in the case of liquidation, priority of payment is made according to seniority ranking. Creditors is ranked higher than preferred shareholders, so they will recieve payments first.
(4) a company is not obligated to pay dividends to shareholders as with interest payment to creditors. So, the creditors would recieve their interest payments first.
