Answer:
The following applies:
1. expenses when incurred to generate revenue.
2. expenses even when cash has not yet been paid
3. revenue even when cash has not been collected
4. revenue when earned
Explanation:
Accrual basis is an accounting concept that recognizes revenue when earned when if the collection of cash will be done later.
It also recognizes expenses when incurred even though the cash has not been spent.
Accrual basis matches a transaction with when it happened.
It is different from cash basis which recognizes revenues only when the cash is received and expenses only when the cash has been spent.
Answer:
$2322,000
Explanation:
The computation of amount credited to additional paid-in capital is shown below:-
Amount credited to additional paid-in capital = Issued per share × Number of shares) - (Number if shares × Preferred stock shares converted into three shares × Par value of common stock
= ($102 × 86,000) - (86,000 × 3 × $25)
= $8,772,000 - $6,450,000
= $2322,000
So, for computing the amount credited to additional paid-in capital we simply applied the above formula.
Answer:
C) Yes, because the direct rates differ in all markets
Explanation:
₤1 buys €1.50 in NY, Tokyo, and London -> ₤1 = €1.50
₤1 buys ¥150 in NY, Tokyo, and London -> ₤1 = ¥150
⇔ €1.50 = ¥150
⇔ ¥100 = €1.50/1,5 = €1
$1 buys ¥100 in NY, Tokyo, and London - > $1 = ¥100
Tt clearly that €1 is different with $1.0 (as Reuter quoted today, $1.00 = €0.9030), so there’re opportunity for two-point arbitrage
.
Answer:
C. upward sloping.
Explanation:
Diseconomies of scale is what is called in micro-economics the cost of producing or increasing the production of a certain product, or increasing the offer on a certain service by a business, if this is happening it occurs a upward slopin in the average cost curve, since the cost of production is increasing as more products and services are offered.