Answer: (B) Subtract beginning unearned service revenue.
Explanation: The difference between cash-basis and accrual-basis accounting is the timing of when revenue and expenses are recognised. While cash-basis accounting recognises revenue when actual cash is received or when cash is paid for expenses, accrual-basis accounting recognises revenue when it is earned and when expenses are incurred.
To treat cash receipt from customers on service revenue using accrual-basis accounting, the cash receipt would be warehoused in unearned service revenue account, when the service is rendered or depending on the timing of the service (how long the service takes), the unearned service revenue would be unwound to revenue.
Answer:
Have a growth mindset, practice discipline, learn to follow other, set situational awareness
Answer and explanation:
"Mixing and Matching" financial institutions are those that take their customers' money and link different investment vehicles with the customer's expectations, diversifying risk compared to having the money in only one asset. <em>The benefit of using financial institutions as middlemen relies on the cost of accessing the securities since they are much lower for individual investors. Besides, customers receive an assessment from professionals on what to invest in but sometimes this implies paying an additional fee.</em>
Answer:
a. 4 days reduced
Explanation:
Calculation for How much is the change in the ACP
First step is to calculate New Collection Period
New Collection Period =( 60% * 15 Days) + (40% * 30 Days )
New Collection Period=9 Days+12 Days
New Collection Period= 21 Days
Last step is to calculate Change in ACP using this formula
Change in ACP =Current Average Collection Period -New Collection Period
Let plug in the formula
Change in ACP = 25 Days - 21 Days
Change in ACP= 4 Days (Reduced)
Therefore the change in the ACP will reduced by 4 days