Answer:
The correct option is C. Recognize $9 million Gross Profit in 2016.
Explanation:
IFRS-15 states that a 4-step approach should be followed when the performance obligation is satisfied over a period of Time. In-this case, the performance obligation will be satisfied within three years from 2016 to 2018.
4-step Approach:
1) First of all you have to calculate the over gain/loss of the project, and the result will decide the entries to be made. In this case, the contract price is $150m and the total costs (Costs incurred + Expected Costs) are $120m. This gives us a Profit of $30m.
2) In the second step, we have to determine the progress of the contract, It means that how much work have we done so far. There are two methods to calculate the progress: Input Method and the Output Method. Based on the data available, we will go for Input Method. To calculate progress under this method, simply divide the costs incurred by the total costs and multiply the result with 100 to get the percentage. 30% is the progress of the contract.
3) Revenue (150 * 30%) = $45m
COS (120 * 30%) = $36m
Gross Profit = $9m
* 120 is the Total Cost.
4) The last step involves determining Contract Assets and Liabilities. I won't go in to the detail because this step is not concerned with your question. You are open to ask questions regarding this step if you need.
Thanks.
Answer: Answers to both questions follow in the explanation below.
Explanation: One issue the marketing managers can look at can be abuse of alcohol or underage drinking on university or college campuses.
To address this issue the manager's can respond by introducing low - alcoholic or non -alcoholic alternatives. This can reduce the alcohol consumption by students when they're at social events or even be offered to students who are designated drivers. To further mitigate this issue the managers can advertise responsible drinking by placing them at the bottom of advertisements.
Using only trees and grasses that are naturally pest resistant
Answer:
The correct answer is the option B: assess sponsor capability.
Explanation:
To begin with, the project managers must take care of every step necessary in order to obtain the best results as possible that the team is looking for, therefore that in order to do that task, the project manager must undertake the activities of assess the individual and team capability of the project and due to the fact that certain standards must been followed then obviously there is the need of establishing a team ground rules (team charter). In the other side, the project manager can assess the capability of the sponsor but if the company can not change of sponsor then there is nothing that he can do, therefore that that activity is not completely necessary.
Answer:
option (A) excess
Explanation:
Excess reserves are the capital reserves which are held by the bank or any financial institution which is in excess to the capital required by creditors, regulators, or internal controls.
For the commercial banks, it is measured against standard reserve requirement.
The central banking authorities sets the amount of the standard reserve requirement.
hence, The answer is option (A) excess
