1answer.
Ask question
Login Signup
Ask question
All categories
  • English
  • Mathematics
  • Social Studies
  • Business
  • History
  • Health
  • Geography
  • Biology
  • Physics
  • Chemistry
  • Computers and Technology
  • Arts
  • World Languages
  • Spanish
  • French
  • German
  • Advanced Placement (AP)
  • SAT
  • Medicine
  • Law
  • Engineering
yuradex [85]
3 years ago
7

Mueller Company estimates that it is unlikely that a particular executive will achieve a specific performance target. Mueller al

ready recognized compensation expense related to this performance plan. Mueller must the related expense.
Business
2 answers:
Nastasia [14]3 years ago
5 0

Answer:

Reverse the related expense.

Explanation:

In this scenario Muller has already realised the compensation expense for achievement of the particular target. In accrual accounting only the expenses that we have already incurred or are certainly going to incur will be recognised and recorded.

Muller has concluded that the executive will not meet the target and therefore will not the eligible for the compensation. Muller should reverse the related expense as it is unlikely it will incur it.

Anton [14]3 years ago
3 0

Answer:

reverse

Explanation:

Unlike regular employees, executives are paid on different compensation components, e.g. salary, annual incentives, long-term incentives, benefits, severance agreements, etc.

Usually only the executive's salary is guaranteed, the other components depend on their performance. If their performance isn't satisfactory or didn't meet the expectations, then the company can decide not to pay it. E.g. a lot of executives brag that their salary is only $1 a year, but their compensation package totals $50 million. Of course that pay is based on performance.

In this case, since Mueller's executive failed to achieve his/her performance target, then the company can decide not to pay their compensation package. Since the compensation package was already recognized as a liability, this must be adjusted by reversing the entry.

You might be interested in
Yolanda has osteoarthritis of the left knee for which she is receiving acetaminophen 1000mg every six hours. She rates her pain
cupoosta [38]

Answer:

The correct answer is True.

Explanation:

Osteoarthritis is the most common form of arthritis and affects millions of people worldwide. It occurs when the protective cartilage that cushions the ends of the bones wears out over time.

Although osteoarthritis can damage any joint, the disorder most commonly affects the joints of the hands, knees, hips and spine.

The symptoms of osteoarthritis can usually be controlled, although joint damage cannot be reversed. Staying active, maintaining a healthy weight and some treatments can delay the progression of the disease and help improve pain and joint function.

8 0
3 years ago
Novak Corp. has 7400 shares of 6%, $50 par value, cumulative preferred stock and 148000 shares of $1 par value common stock outs
wlad13 [49]

Answer:

The dividends received by the preferred stockholders in 2020 are $30400.

Explanation:

The cumulative preferred stock is the form of preferred stock that accumulates or accrues dividends in case the company does not pay or partially pay dividends to preferred stock in a particular year. This means that the dividends are accrued and the company will need to pay these dividends first in the future whenever it declares dividends.

The total dividends per year on preferred stock is,

Preferred Stock dividends = 50 * 0.06 * 7400 = $22200 per year

The preferred stock dividend that was accrued at the end of 2019 after the dividend payment of $14000 is,

Accrued dividends - Preferred stock = 22200 - 14000 = $8200

In 2020 the company will need to pay this accrued dividend along with the dividend for 2020 on preferred stock. Thus, in 2020 the preferred stock holders will receive dividends of,

Preferred stock dividend to be paid in 2020 = 8200  +  22200  = $30400

8 0
3 years ago
Jill just made a purchase online. The store that she bought from gave her the option to pay with a check, money order, or credit
Readme [11.4K]

Answer:

The credit card is the most effective method of payment.

Explanation:

The store will not ship the item until the payment is accredited to their account. Because of this, Jill needs to pick the payment  method that have the fastest clear time.

The Check: usually takes about two business days for a deposited check to clear.

Money Order: It depends on the bank. Some banks allow for money orders to be cleared and deposited almost immediately, and some require at least one business day for it to clear.

Credit Card: almost all the time payments can take place immediately.

The obvious choice is Credit Card payment for the instant clear of the funds in the store account.

6 0
3 years ago
Ken Young and Kim Sherwood organized Reader Direct as a corporation; each contributed $55,000 cash to start the business and rec
Talja [164]

Answer:

The ending retained earning would be $2,400

Explanation:

For computing the ending retained earnings balance, we have to use the formula which is shown below:

Even in the question, the formula is given so we use it

Ending retained earnings = Beginning retained earnings + net income - dividend

Ending retained earnings = 0 + $6,000 - $3,600

In the question, the beginning retained earnings balance is not given so we assume zero balance

So, the ending retained earnings would be $2,400

7 0
3 years ago
Sally and Andy are partners in Just Hats, LLC. Andy works in the business for an agreed salary draw of $4,000 per month. Sally h
den301095 [7]

Answer:

Net income allocated to sally is $112000

Explanation:

Sally invested $200000 and Andy invested $100000, which means Andy's  investment is half of Sally's investment. So he will receive the half of what Sally will get.

Let

Sally's pay be x

Andy's pay be x/2

Total Net income is 168000 dollars.

So, putting it in an equation, we get

(x+x/2)=168000

x(1+0.5)=168000

x(1.5)=168000

x= 168000/1.5

x=112000

So Sally's share will be $112000

Andy's share will be x/2

=112000/2

=56000

So Andy share will be $56000

4 0
3 years ago
Other questions:
  • When arnie was sent to afghanistan for military duty, he was issued a special camouflage uniform so that he would not be as read
    6·1 answer
  • Compile a job advertisement for a receptionist vacancy.Advertisement should include the name of the business and the title of th
    7·1 answer
  • It costs $60 of variable and $40 of fixed costs to produce rocking chair which normally sells for $150. A wholesaler offers to p
    13·1 answer
  • Phoenix Pump and Filter projects that the cost of steel bodies for Model R910 valves will increase by $2.50 every 3 months. If t
    8·1 answer
  •  Explain why eight feet is the maximum distance that should be between two pieces of seating in a room.
    8·1 answer
  • The first step in creating a cash flow statement is which of the following?
    14·1 answer
  • A $5 tax levied on the buyers of pants will cause the_______
    5·1 answer
  • Which of the following is NOT one the responsibilities of the the Federal Reserve
    11·2 answers
  • Kelly received a $60,000 salary during 2017. Her federal income tax withholding rate was 20%, and the Social Security base amoun
    14·1 answer
  • Amy and Hobbes are married and file a joint return. Their three children are 7, 9, and 18 years old. Their modified AGI is $58,0
    12·1 answer
Add answer
Login
Not registered? Fast signup
Signup
Login Signup
Ask question!