A company should immediately recognize ANY LOSS WHEN IT IGNORANTLY PAYS TOO MUCH FOR AN ASSET ORIGINALLY. Acquisition of company's assets has to be planned carefully to ensure that only needed equipment are acquired at the right cost or minimum cost possible. When too much is paid for any asset it must immediately be recognized as a loss.
Answer: has offered an exchange
Explanation: In the given case, the radio station has been organizing a contest, thus, whoever win such contest will receive something in return. Thus, we can conclude that the registration formalities fixed by the radio station is an offer for exchange.
As in an offer of exchange process, both the parties on different ends receive something.
Answer:
D
Explanation:
I'm sure the question was geared toward teaching you the difference between elastic and inelastic.
If your demand for a product does not change even if the price goes up, then the demand is considered to be inelastic.
However, the question posed to get this teaching point across made the answer almost impossible. A drug addict's demand can drastically change from day to day depending on how readily that person can get hold of the money needed. One day money may not be a problem so the expenditure will increase because their demand is price-inelastic. The very next day the person may not be able to find any money at all. Therefore, the expenditure will decrease because their demand is price-elastic
Answer:
The statement which is false is D) .
Explanation:
Income statement helps in assessing the current and past performance of the company, it also helps in predicting the future performance and in assessing the risk present in future in obtaining cash flows. Income statement are prepared through two methods either single step format ( which is used by sole proprietor and partnership firms ) or multi step format ( used by corporations ) .
In the single step format , all the income items are group together and are subtracted from the total cost, while in multi step format , a company breaks all the sources from where the revenues and cost have come, it is used to take out various measures like gross profit, operating profit etc.
A common size statement is one of the type of income statement where each account item is represented as a percentage of total sales value.
Option D is false because discounted operations and extraordinary transactions appear on both the single step and multi step format , these transactions are written as written as footnote below the statement.
