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3 years ago

11

Which accounting principle dictates whether the cost of a repair should be expensed?

1 answer:

vodomira [7]3 years ago

8 0

Which accounting principle dictates whether the cost of a repair should be expensed?

d. matching

As per matching concept, All revenues have to be recorded along with expenses incurred to earn those revenues. Thus, revenues need to be accounted.

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Ratio analysis of two competing not-for-profit hospitals revealed the following values:

Vinvika [58]

Answer:

The correct option is b. Based on Liabilities to Fund Balance, Southwest Hospital is more solvent than Milestone Hospital.

Explanation:

Note: There is a mistake in the options given in the question as the names of the hospitals in the options are different from the ones in the data provided. The correct options are therefore provided before answering the question as follows:

Based on these data, which of the following is an accurate conclusion?

a. Based on Liabilities to Fund Balance, Milestone Hospital is more solvent than Southwest Hospital.

b. Based on Liabilities to Fund Balance, Southwest Hospital is more solvent than Milestone Hospital.

c. Based on the Current Ratio, Milestone Hospital is more solvent than Southwest Hospital.

d. Based on the Current Ratio, Southwest Hospital is more solvent than Milestone Hospital

Explanation of the answer is now given as follows:

First is that a current ratio is a liquidity ratio not a solvency ratio. Therefore, options c and d are NOT correct.

Solvency ratio measures the extent which the fund balance can pay the liabilities of a not-for-profit organization.

The lower the Liabilities to Fund Balance, the more solvent a not-for-profit organization is.

Since the 1,78 Liabilities to Fund Balance of Southwest Hospital is lower than 2.45 Liabilities to Fund Balance of Milestone Hospital, it therefore implies that the correct option is b. Based on Liabilities to Fund Balance, Southwest Hospital is more solvent than Milestone Hospital.

7 0

3 years ago

At year end, Tangshan China Company balance sheet showed total assets of $60 million, total liabilities (including preferred sto

Vaselesa [24]

Answer:

The correct answer is $22.5

Explanation:

According to the scenario, computation of the given data are as follows:

We can calculate the price of stock by using following formula:

Price of stock = (Net Income ÷ No of Shares) × PE Ratio

By putting the value in the formula, we get

Price of stock = ( $1,500,000 ÷ $1,000,000) × 15

= $1.5 × 15

= $22.5

6 0

4 years ago

_____ is the process of planning and executing the conception pricing promotion and distribution of ideas goods and services to

Lady bird [3.3K]

The answer is Marketing

4 0

3 years ago

Erpetual Inventory Using Weighted Average

crimeas [40]

The weighted average unit cost is $10.61.

The cost of goods sold on October 29 is $2,122.39.

The inventory on October 21 is $3138.

<h3>What is the average weighted cost?
</h3>

The weighted cost of goods sold = [(310 x 9) + ($12 x 360)] / (360 + 310)

(2790 +4320) / 670

7,110 / 670 = $10.61

Cost of the goods sold on October 29 = average unit cost x number of goods sold

$10.61 x 200 = $2,122.39

Inventory on October 21 = ending inventory x average cost

ending inventory = total inventory - total inventory sold

total inventory = 310 + 360 = 670 units
total inventory sold = 170 + 200 = 370 units
ending inventory = 670 - 370 = 300 units

Inventory on October 21 = 300 units x 10.61 = $3,183

To learn more about average weighted cost, please check: brainly.com/question/15231142

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7 0

2 years ago

What does homeowner's insurance pay for in case of damage to your house and its contents? apex?

patriot [66]

<span>Homeowner's insurance will pay for your home that is damaged, plus the belongings that are inside of the home. Most of the policies include the repair of your home if they are damaged in a fire. The insurer can even pay for you to have a place to stay, such as a hotel.</span>

5 0

3 years ago