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juin [17]
4 years ago
15

Under ASC 606, the transaction price generally should be adjusted for the effect of the time value of money when

Business
1 answer:
luda_lava [24]4 years ago
6 0

Answer:

B. The selling price of the product and the consideration promised in the contract differ significantly.

Explanation:

"While determining the transaction price, an entity shall adjust the amount of consideration with respect to the time value of money, if the timing of payment to be made by customer under the contract provides some significant benefit of financing to the customer or the entity for the transfer of goods or services to the customer. The Significant financing benefit could be explicit or implicit in the contract.

The idea behind the significant financing component is that entity should consider the revenue based on the price that a customer would have paid at the time of transferring the goods or services to the customer by the entity i.e. Cash Selling Price (If the payment was made immediately)."

Reference: Prasenjit. “ASC 606: Step 3 – Determining the Transaction Price.” RevGurus, 25 Mar. 2019

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Agent joh rogers is planning a formal marketing/sales event and has decided to place an adbertisment in the locla paper. what di
Nina [5.8K]

If Agent John Rogers has decided to run an ad in the neighborhood paper in advertisement with a formal marketing/sales event. Then he must specify that attendees without enrollment obligations may contact 555-555-1234 TTY to request accommodations for those with special needs at sales sessions.

The strategies and actions utilized in advertising are those that aim to draw attention to certain goods, services, viewpoints, or causes with the intention of influencing the public to act in a particular way. The majority of advertising promotes a product that is available for purchase, but comparable techniques are also employed to persuade people, among many other things, to drive defensively, donate to charity, or cast ballots for particular candidates.

The most significant source of revenue for the media outlets through which it is carried out is often advertising (such as newspapers, magazines, or television stations). Advertising has grown to be a significant and significant service industry in the noncommunist world.

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7 0
2 years ago
Do you believe that managers today are using more boss- or subordinate-centered leadership styles?
Elan Coil [88]

Answer:

Today's managers are using more subordinate-centered leadership styles to get the best out of them.

Why: Reasons

Why today's managers are more titled toward the subordinate-centered leadership styles, following are few of the reasons:

(1) In today's world, businesses have become much more complicated as ever before, competition has changed the face of any businesses, therefore, managers want to have new and creative ideas, and this is only possible when employees are given free hand in choosing their work environment, thus, it is only possible when manager are having supportive behavior towards their subordinates.

(2) Human resource departments are so efficient now-a-days that they are always in searching of exciting talent. They do the head-hunting on the continuous basis, where they hire employees from other organisations, therefore, if you don't treat your employees well, then they will have more chances to switch the organisation and avail the better available chances.

(3) Employee enjoy working in an environment where they have freedom, bosses and employees work together like Google and SEMCO. In both of these organisations, the organisational structure help employees in participation towards the decision making in the organisation. Employees feel more productive and loyal to the organisation, therefore, employees-centered leadership approaches are more valid now-a-days.

4 0
3 years ago
The city of spartan's fiscal year ends on december 31. on october 1, 2017, the city issued $1,000,000 of 6%, 10-year term bonds
Semenov [28]

Answer: There was $0 in 2017 and $60,000 in 2018.

Explanation: The amount of interest that it is paying for each year on the bonds needs to be recognized in the debt service fund. In 2017 there was not payment made on the bond interest, because they were issued on October 1.

In 2018 there were two bond payments made. The annual interest is 6%, so the total interest to be recorded as an expenditure for the year is .06 x $1,000,000 = $60,000.

7 0
3 years ago
If the natural rate of unemployment was 5 percent, the current unemployment rate was 6 percent, and potential GDP was $4,000 bil
Georgia [21]

Answer:

$80 billion

Explanation:

Okun law equation: GDP gap = Actual GDP * ((Unemployment rate - Natural rate)/100)*2)

GDP gap = $4,000 * ((6-5)/100*2)

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Therefore, $80 billion in an output level thus, would be what the economy would have sacrificed.

7 0
3 years ago
Ryan sends Michael a letter of intent for the purchase of a tract of land. The letter of intent outlines the purchase price, the
Diano4ka-milaya [45]

Answer:

The correct answer is b. The letter of intent is an invitation to negotiate, which is not an offer.

Explanation:

The letter of intent is a document that is written as a pre-agreement between two people or two entities that have the commitment and the intention to proceed further and formalize a contract. They resemble a contract, but unlike these, it is not binding.

We may think that the fact that the letter of intent is not binding makes it lose its value or its usefulness as a practical tool. But the reality is that it serves as proof of will, and such proof may be sufficient proof for other clients or other participants to decide to withdraw.

In addition, the letter of intent itself implies the existence of a negotiation, where those easier questions usually appear, by mutual agreement. Leaving for the real contract, those more complex issues that require more negotiation.

6 0
3 years ago
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