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MissTica
3 years ago
15

Adjusting entries are Select one: a. usually required before financial statements are prepared b. not necessary if the accountin

g system is operating properly c. made to balance sheet accounts only d. made whenever management desires to change an account balance
Business
1 answer:
Flauer [41]3 years ago
4 0

Answer:

Correct option is (a)

Explanation:

Adjusting journal entries are passed before financial statements are prepared to so as to confirm if revenue recognition and matching principles are complied with. Adjusting entries are required to be passed if transactions is spread over multiple financial periods. For example, adjusting entry is passed if goods are received this year but payment will be made next year.

Before income statement and balance sheet is prepared, these entries are passed. Thereafter, adjusting trial balance is prepared and finally financial statements are prepared.

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Answer:

The incremental revenue of the proposed change = $ 50,000

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3 years ago
Read 2 more answers
Select the correct statement regarding break-even point analysis.
svetoff [14.1K]

Answer:

Option B is true.

Explanation:

Giving the following information:

The break-even point in units formula is:

Break-even point= fixed costs/ contribution margin

What changes the break-even point:

A variation in fixed costs.

A variation on the selling price.

A variation in the unitary variable cost.

<u>The higher the fixed costs, the higher the number of units. Lower the contribution margin, the higher the number of units.</u>

Therefore:

a. An increase in contribution margin per unit causes the break-even point in units to increase. False, is the opposite.

b. An increase in fixed costs causes the break-even point to increase. True, now the organization needs to sell more units to cover the fixed costs.

c. The break-even point in sales dollars equals total fixed costs divided by contribution margin per unit. False, in dollars you need to divide it for the contribution margin ratio (contribution margin / selling price).

d. A decrease in the variable cost per unit causes the break-even point in units to increase. False, is the opposite.

3 0
4 years ago
What’s the purpose of balancing or monitoring your checking account?
Trava [24]
Making sure you have enough money in your account so as to not bounce a check, also see where and what was paid
4 0
4 years ago
Your portfolio is 100 shares of Sunny Morning, Inc. The stock currently sells for $98.64 per share. The company has announced a
garik1379 [7]

worth of shares = 100×(98.64+3.72)

=10236

3 0
3 years ago
The monopolist's level of output is not at the minimum point of ______, meaning it will not be productively efficient.
Llana [10]

When a monopolist's level of output is not at the minimum point of <u>average total cost</u>, this means it will not be productively efficient.

<h3>What is an average total cost?</h3>

An average total cost refers to a cost derived from total fixed and variable costs divided by total units produced.

In conclusion, this cost is used to evaluate how the total per-unit cost change as a result of output

Read more about average total cost

<em>brainly.com/question/25109150</em>

3 0
2 years ago
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