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Lera25 [3.4K]
4 years ago
10

Which of the following statements about contingent liabilities is incorrect?

Business
1 answer:
Schach [20]4 years ago
5 0

Answer: D - A disclosure note is required when the loss is remote and the amount can be reasonably estimated

Explanation:

A contingent liability is an obligation that might arise from an event that would occur in the future.

A contingent liability isn't disclosed when payment is remote.

A contingent liability is recorded when:

1. it is probable the event would occur.

2. there is a reasonable estimate the amount of the loss.

I hope my answer helps.

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A customer sells short 100 shares of DEF stock at $82 per share. The stock falls to $71, at which point the customer writes 1 DE
Hatshy [7]

Answer:

16 points

Explanation:

Customer sold stock short for $82 per share

Then, customer sold Sept 70 at $4

If short put is then exercised, the customer is obligated to buy the shares back at $70.

Net cost of the customer is $66 per share for the stock, therefore

Customer gains = 82 sale proceeds - 66 cost basis = 16 points.

3 0
4 years ago
The fundamental purpose of an organization's mission statement is to: create a good human relations climate in the organization.
leva [86]

Answer: define the organization's purpose in society.

               

Explanation: In simple words, it refers to a short statement which defines why an organisation exist in the society. It illustrates what are the goals of the organisation, its primary customers, the commodities they are going to offer and so on.

The mission statement lays a foundation for the overall planning of the organisation.

Hence the correct answer is last statement.

4 0
3 years ago
briefly explain what you consider an entrepreneur to be and describe the three most important attributes you need to develop to
expeople1 [14]

Answer:

An entrepreneur is a person who finds an economic opportunity in the market, and exploits it for his own benefit and the benefit of his employees and constomers by setting up a firm.

Explanation:

Three characteristic of an entrepreneur:

Opportunity seeking: entrepreneurs "scan" the market, seeking for market niches that have not been exploited.

Work-ethic: entrepreneurship is a difficult task, especially during the first years of the company. It demands very long work hours, and the entrepreneur must be willing to do that in order to be successful.

Risk-taking: entrepreneurs should evaluate risk when taking decisions, but they should not be the most risk-averse indidivuals. They have to take risks in certain situations because otherwise, they would not be able to become entrepreneurs at all.

3 0
3 years ago
If the federal reserve sells securities on the open market, how are the purchases of u.s. financial assets by foreigners and the
Ne4ueva [31]
<span>If the federal reserve sells securities on the open market, purchases of US financial assets by foreigneres will increase which will increase interest rate and appreciate international value of dollar. So my answer would be : increase / increase</span>
3 0
3 years ago
if average demand for invenrory item is 200 units per day lead time is three days and safety stock is 1-- units the reorder poin
Ronch [10]

please do you mean 1 unit for safety stock or 100 units, will solve for both

Answer:when safety stock =1, Reorder point= 601 units

when safety stock =100,  Reorder point= 700 units

Explanation:

Reorder Point (ROP), also called  reorder level, is the point  of inventoryset by a busness  in which it replenishes its stock of items.

given:

Average demand= 200

lead time = 3

when safety stock =1

Reorder point= (Average demand X Delivery lead time ) + Safety stock

                = (200 x 3 ) +1 = 601 units

when safety stock = 100

   Reorder point= (Average demand X Delivery lead time ) + Safety stock

                = (200 x 3 ) +100 = 700 units              

6 0
3 years ago
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