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Zarrin [17]
3 years ago
11

An architecture firm earned earned $1520 for architecture services provided with the fee to be paid in the future. No entry was

made at the time the service was provided. If the fee has not been paid by the end of the accounting period and no adjusting entry is made, this would cause:
Business
1 answer:
GaryK [48]3 years ago
8 0

Answer:

Revenue is understated by $1520

Profit is understated by $1520

Accounts receivable is understated by $1520

Retained earnings is understated by $1520

Explanation:

The guideline on recognition of revenue is accrual basis of accounting, which is that revenue is recognized when it has been earned, in other words when the business has discharged its obligation to the other party by a way of delivering goods or services to clients.

Specifically,by not recording an adjusting for the $1520 revenue earned but not yet received,the revenue for the period would be understated by $1520 as well as profit for the year.

Also,asset,accounts receivable would also be understated by $1520 including retained earnings at the end of the year

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Eliminating modification anomalies is a(n) ________ of normalization.Immersive Reader (2 Points) advantage disadvantage either a
noname [10]

Answer:

The correct answer is the first option: Advantage.

Explanation:

To begin with, the name of<em> "Normalization"</em> refers to the process of structuring a relational database alongside with normal forms with the purpose to reduce the amount of data redundancy and increase and improve the amount of data integrity. Most of the cases, the normalization concludes when the relational database meets the third normal form, that is considered to be free of insertion, updated and free of anomalies due to the fact that it deletes them. That is why that the elimination of modificating anomalies is an advantage of normalization.

4 0
3 years ago
Rashad meets with his company’s accountant to discuss the budget of anticipated and actual expenses for each segment of the orga
attashe74 [19]

The expense budget can be said to be the type of budget that Rashad would have to discuss with the company’s accountant

<h3>What is the expense budget?</h3>

This is what is also called the expenditure budget that an organization or a government have, This is the type of budget that shows the revenue and the capital that they have.

It tries to explain in details the various reasons why there may be a difference between the types of expenditure and the variations that may be seen in the estimates of the budget.

Read more on budget here: brainly.com/question/6663636

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8 0
1 year ago
In the Month of March, Chester Corporation received orders of 154 units at a price of $15.00 for their product Clack. Chester us
julsineya [31]

Answer:

March revenue:

102 units x 15 dollar each = 1,530

April revenue

51 units x 15 dollars each =   765

Explanation:

We recognize based on the delivery of the goods which is the point at which the trasnfer of ownership occurs. Once the good are delvierired; the customer is the owner of them and can use them as see fit, is responsabile for their condition and wellbeing.

8 0
3 years ago
In a Cournot market with two firms, the inverse market demand curve is P = 20 – 0.5Q, where Q = q1 + q2. (Firm 1's output = q1;
Ksenya-84 [330]

Answer:

MR = 10 – 1q1.

Explanation:

Demand function, P = 20 – 0.5Q

Q = q1 + q2

Now insert Q in the P = 20 – 0.5Q.

P = 20 – 0.5 (q1 + q2)

We have the value of q2 = 20.

P = 20 – 0.5 (q1 + q2)

P = 20 – 0.5 (q1 + 20)

P = 20 – 0.5q1 – 10

P = 10 – 0.5q1

Total revenue of firm 1, TR = Pq1

TR = 10q1 – (0.5q1)^2

Now MR is the differentiation of TR. So the MR after differentiation if TR of firm 1 is:

MR = 10 – 1q1

4 0
3 years ago
Dave and his friend Stewart each owns 50 percent of KBS. During the year, Dave receives $75,000
qaws [65]

Answer: $12717

Explanation:

1. The amount of FICA and/or self-employment tax that Dave is required to pay on his compensation and his

share of the KBS income if KBS is formed as a C corporation, will be:

= 7.65% × $75000

= 7.65/100 × $75000

= 0.0765 × $75000

= $5738

2. As an S Corporation will be:

= 7.65% × $75000

= 7.65/100 × $75000

= 0.0765 × $75000

= $5738

3. As a limited liability company will be:

Dave's compensation = 75,000

Dave's portion of income will be calculated as:

= 50% × $30,000

= 0.5 × $30,000

= $15,000

Total will then be:

= $75000 + $15000 = $90000

We then calculate the net earnings which will be:

= 92.35% × $90000

= 0.9235 × $90000

= $83115

The FICA and/or self-employment tax that Dave is required to pay will then be:

= 15.3% × $83115

= 0.153 × $83115

= $12717

8 0
2 years ago
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