Answer:
At the end of March, Paul’s Painting hired five temporary employees to work on a project that began on April 5 and ended on April 28. Paul’s received 100% of the total payment for the project on May 3. In this situation, both cash basis accounting and GAAP require that Paul’s recognize the employees’ total salary expense in April.
Explanation:
A collection of accounting rules and standards usually followed, for financial reporting is known as GAAP (generally accepted accounting principles) .
For businesses, GAAP needs accrual accounting.
Accrual accounting operates on the basis of matching both revenue and expenses. Revenues and the related expenses occur concurrently, though the cash transaction concerning thereto might happen in some other period.
In the situation given in the question, the revenue from the project is earned in April, subsequently, the salary expense related to that work should also be recognized in the same period due to an accrual basis.
Answer:
The correct answer is option B.
Explanation:
Average Total cost refers to the average cost it takes to produce one unit of the product.
It is arrived at by:
1) Determining all the costs ( variable and fixed costs) and summing them all.
Total Costs= Variable costs + Fixed Costs
2) Determining the total number of the units produced.
Therefore to establish the total average cost you will have to divide the total cost( Variable and Fixed) with the total number of units produced.
Total Average Costs = Total cost ( variable+ fixed)/ Total units of output.
Its D because 73% of Japan is covered by mountains
Explanation:
A maximum price occurs when a government sets a legal limit on the price of a good or service – with the aim of reducing prices below the market equilibrium price. ... If the maximum price is set below the equilibrium price, it will cause a shortage – demand will be greater than supply