Answer: the question is: How do you measure whether both the policy and the right processes were followed?
Explanation:
"Bouncing a check
When a check is deposited in a bank, or when it is written out to a store teller to ultimately deposit in the store bank, the funds are tracing back from an origin bank account. When the check bounces a fee is then charges by both the bank out of which the check is written (for non-sufficient funds) and by the payee. If the payee is a store they will often charge fees that are charged back to them by their bank of deposit."
Answer:
The balance in right-of-use asset after two years using straight-line method is $428,571.
Explanation:
Right-of-use asset is simply the lessee's right to the use of leased asset under the agreed terms. The term came into being as a result of IFRS 16 Leases, which replaced IAS 17.
Using straight-line method, depreciation expense is calculated as (Cost - Residual Value) / No of useful life
The economic life of the asset is what we would use as the useful life and not the lease term since that approximates the useful life of the asset.
Therefore, depreciation = ($600,000 - 0) / 7 years = $85,714 yearly
Accumulated depreciation for 2 years is $85,714 x 2 = $171,429 approximately
Therefore, the balance (net book value) in the right-of-use asset after two years will be $600,000 - $171,429 = $428,571
These are examples of D. documentation
Hope this helps!
