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3 years ago

How is "Value" assigned to assets

1 answer:

3 0

They use The Economic Analysis Method to assign an monetary value, because it is often difficult to assign a value. This approach ( The Economic Analysis Method) states that, the patents value is the replacement cost, or at least the right amount to replace the protection right on the invention.

I hope this answered your question! :^)

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Martha was promised a 10% raise if she wins a contract with the city government. Martha could use the money to pay off some debt

Vlad1618 [11]

Answer:

The answer is expectancy.

Explanation:

Expectancy theory is a concept developed by Victor H. Vroom in 1964, where he postulated, that the strength an individual has in terms of his or her motivation to do an action, would appear when three components are satisfied to a certain value: expectancy, instrumentality, and valence. The question above is relevant to the expectancy component, which is detailed as the belief that an individual has regarding their efforts would result in the individual choosing to perform an action. In the case of Martha, she wasn’t sure that her efforts in trying to win the contract would lead to her 10% raise (outcome, a component of instrumentality), and thus, she decided not to try.

3 0

2 years ago

"why waste your money looking up your family tree? just go into politics, and your opponents will do it for you."

ipn [44]

That is one way to approach the bull.

6 0

3 years ago

An aging of a company's accounts receivable indicates that $4,500 are estimated to be uncollectible. If Allowance for Doubtful A

lyudmila [28]

Answer:

a. debit to bad Debt expense for $3,300

Explanation:

The Journal entry is shown below:-

Bad debt expenses Dr, $3,300

To Allowance for doubtful accounts $3,300

(Being bad debts expenses is recorded)

Therefore to record the bad debt for the period we simply debited the bad debt expenses as it increase the expenses and on the other hand we credited the allowance for doubtful accounts as decrease the assets.

So, the right answer is a. debit to bad Debt expense for $3,300 option.

Working Note:-

Bad debt expenses = Estimated uncollectible - Credit balance

= $4,500 - $1,200

= $3,300

4 0

2 years ago

Faith Busby and Jeremy Beatty started the B&B partnership on January 1, Year 1. The business acquired $44,000 cash from Busb

Brums [2.3K]

If Faith Busby and Jeremy Beatty started the B&B partnership on January 1, Year. The income statement, capital statement, balance sheet, and statement of cash flows for B&B’s 2016 fiscal year are:

Income statement $23,600

Capital statement: Busby $51,440, Beatty $77,660

Balance sheet : Total Assets $129,100, Total Liabilities and Equity $129,100

Statement of cash flows for B&B’s $129,100

a. Income Statement

Income Statement for the year ended December 31, 2016

Cash Revenues $42,000

Less: Cash Expenses ($18,400)

Net Income $23,600

($42,000-$18,400)

b. Capital statement

Capital Statement for the year ended December 31, 2016

Busby Beatty

Beginning Capital Balance $44,000 $66,000

Less:- Withdrawal ($2,000) ($2,500)

Add:- Net Income $9,440 $14,160

[$44,000/($44,000+$66,000)×$23,600=$9,440]

[$66,000/($44,000+$66,000)×$23,600=$14,160]

Ending Capital Balance $51,440 $77,660

c. Balance Sheet

Balance Sheet As of December 31, 2016

Assets

Cash $129,100

($51,440+$77,660)

Total Assets $129,100

Liabilities

Equity

Busby $51,440

Beatty $77,660

Total Liabilities and Equity $129,100

d. Cash Flow Statement

Cash Flow Statement for the year ended December 31, 2016

Cash Flows from Operating Activities:

Revenue from Operations $42,000

Operating Expenses ($18,400)

Net Cash flow from operating activities $23,600

($42,000-$18,400)

Net Cash flow from Investing activities $0

Cash Flows from Financing Activities

Proceeds from Partners $110,000

($44,000+$66,000)

Withdrawal by Partners ($4,500)

($2,000+$2,500)

Net cash flow from financing activities $105,500

($110,000-$4,500)

Net cash change $129,100

($23,600+$0+$105,500)

Opening cash balance $0

Ending Cash Balance $129,100

Learn more here:

brainly.com/question/16751431

4 0

2 years ago

The principle of opportunity cost is that:a. in a market economy, taking advantage of profitable opportunities involves some mon

romanna [79]

Answer:

Option B

Explanation:

The opportunity cost refers to the situation when an option is selected from alternatives and is the "cost" borne by not having the gain associated with the best value choice.

Simply put, the cost of opportunity is the gain not earned because the next best option is not chosen. Opportunity costs are an important economic notion and are defined as conveying "the fundamental engagement between shortages and selection." The notion of cost of opportunity plays an important role in efforts to make productive use of limited resources.

7 0

2 years ago