Answer:
TRUE
Explanation:
It is true that under the all-events test, in addition to specifying that all events to establish the liability must have occurred, the test also provides that the business must be able to determine the amount of the liability with reasonable accuracy
Under Sec. 461(h), a three-prongall-events test is met when
(1) all events have occurred that establish the fact of the liability;
(2) <u>the amount of the liability can be determined with reasonable accuracy</u>; and
(3) economic performance has occurred.
Answer:
The correct answer is letter "C": Spreading risk by investing your money in a variety of funds and investment options.
Explanation:
Portfolios are <em>pools of different assets that aim lowering the risk inherent in investments</em>. Portfolios tend to be managed by professional who work on behalf of investors an can provide suggestions on what assets to buy and sell according to the fluctuations of the market.
Answer:
Risk Control
Explanation:
The statement, "You are more likely to control risks when they are identified earlier rather than later" is associated with the Risk Control Management principle.
Risk control is more effective when risk identification is undertaken early enough so that control measures are put in place to mitigate such risks, otherwise there will be a shift from 'risk control' to 'damage control' once any of those risks materializes.
Answer:
Non Banking Institutions (Investment Bank)
Explanation:
Non Banking Institutions (Investment Bank) do not have a full banking licence and are not usually supervised by a national or international banking regulatory agency.
NBIs facilitate investment, market brokerage, contractual savings and risk pooling.
Non Bank Institutions provide avenues for transforming an economy's savings to capital investment.
One way they do this is by underwriting new issues of securities for corporations, states, and municipalities needed to raise money in the capital markets.
Answer:
The depreciation is $52,500
Explanation:
The formula to compute the depreciation under the straight-line method is shown below:
= 
= 
= $52,500
Under the straight-line method, the depreciation expense should be the same for the remaining useful life. Life of the equipment or machine should always be expressed in years, not in hours.
So, these usage of hours should be ignored.
