Answer:
C. when they are incurred, whether or not cash is paid.
Explanation:
In accrual accounting, expenses are recorded in the moment they are incurred, even if they have not been paid for.
In fact, the term "accrued expense" means an expense that has been incurred, but not yet paid.
One common example of an accrued expense is accrued wages:
Suppose that a firm hires a worker on March 1, for a wage of $1,000 dollars per month, that is due to be paid at the end of the month (March 31). This worker is earning $33 per day. By March 4, the firm should have recorded accrued wages for $132 ($33 x 4 days) even if no payments will be made until March 31.
The 2018 journal entries for Milani<span> related to its investment in </span>Seida<span> are its share in net income and share in dividends. The investment in considered as investment in associate since there is already the significant influence in </span>Seida. These are the journal entries:
<span>Investment in </span>Seida 12,0000
<span> Share in net income of </span>Seida<span> ($30,000 x 40%) 12,000</span>
#
Cash ($110,000 x 40%) 44,000
<span> Investment in </span>Seida 44,000<span> </span>
<span> #</span>
Answer:
advanced math skills
knowledge of finance laws
research skills
critical thinking skills
Answer:
A)Interest-rate effect
B)Real-balances effect
Explanation:
✓The interest rate effect can be regarded as change in borrowing as well as spending behaviors as a consequence or result of adjustment of interest rate. As a general rule, interest are been set by central bank of the nation, then consumer banks will then extend similar interest rates across their customers. For instance
As a result of an increase in the price level, the cost of borrowing increases, which causes people to buy fewer cars.
✓ In economics, real balance effect can be regarded as "Pigou effect" which can be regarded as stimulation of output as well as employment which is been caused as a result of increased consumption through a rise in real balances of wealth, especially during time of deflation. Instance of this is
When the price level decreases, restaurants become busier as more people purchase restaurant meals.
Answer:
d.) discretionary expenses
Explanation:
We can explain going further into what is each item.
<u>A and B are your income </u>(for this question don’t sweat about the difference between gross and realized). They will constitute all the money you have in that period (the period will depend on the regularity of your income, it could be weekly, monthly, etc.).
Your fixed expenses are the things you will expend money on which, no matter what happens, will not change (it could be your rent, tax, health insurance, etc.).
Discretionary expenses, however, are costs that are things that you WANT, not NEED. It could go anywhere from a new shoe to a new boat (if you´re feeling rich, that is lol). That kind of expense will impact your available money (hey, nothing is free) but is not part of your budget as it is not a planned cost.
However, is important to note that if you wanna be super Monica Geller with your money you should forecast your discretionary expenses. Using your history as a base for calculating will eliminate most of the margin error.
