Answer: See explanation
Explanation:
a. This is not a loss contingency. A loss contingency occurs when the value of an asset is reduced because of an occurence on the future. This isn't the case here as a separate sales transaction occured.
b. To account for it, we have to defer the revenue as a liability and then we will use the straight line basis to calculate the warranty expense.
2. Dr Cash $412,000
Cr Unearned revenue - extended warranties $ 412,000
(To record the sale of extended warranty)
Dr Unearned revenue - extended warranties. $57937.50
Cr. Revenue - Extended Warranties $57937.50
(To record revenue earned on extended warranty)
Answer:
- b. costs charged to departments.
- c. cost assignment and reconciliation.
- d. equivalent units of production
Explanation:
In Process costing, the company involved is producing a large amount of goods and services that are exactly the same. In order to assign costs therefore, the company will assign costs to all the products instead of individually.
Costs would be charged to various departments because they produce the goods so the entire department cost has to be assigned and reconciled with with the department that produce the goods. When the company only managed to partially complete the production of a good, they will still have to assign costs and so use equivalent units of production to do so.
Answer:
Increase revenue
Explanation:
Cost benefit analysis involves comparism between the cost incurred by doing an activity and the benefit to be derived. For example if the cost of buying a machine is $100 and the revenue I can realise from it is $500 then the benefits outweighs the cost.
In this instance the software package permits an organization to offer its customers expanded services, therefore there is an opportunity to increase revenue.
Answer:
<u>Executed</u>
Explanation:
Ratification of a contract refers to formally approving a contractual obligation. To dis-affirm refers to back out of a contract wherein the parties to it return the consideration.
A minor, an individual below the age of eighteen years does not have capacity to a valid contract. A minor may void a contract before attaining majority.
When a contract has been signed by both the parties to it, with transaction closed, the contract shall be termed as executed.
In the given case, Luke a minor entered a contract to buy movies. Later upon attaining majority, Luke decides to disaffirm i.e not honor it. The contract in such a scenario shall be considered as formally approved i.e ratified by both parties if it was executed.
In such a case, Luke will have to honor the contract since the disaffirmation period i.e before his attaining majority has lapsed.
Answer:
The correct answer is Different.
Explanation:
The ineffective assistance of a lawyer is also known as legal aid, and refers to the rights that the defendant has before his lawyer, that is, to a fair defense of his interests, so if he is found to be exercising his functions The person who represents him damages the process, it is required that he offer himself to a person who gives him better guarantees and defends in a coherent way and in full exercise of the right.
