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
Nadusha1986 [10]
3 years ago
7

Unified Airlines is being sued by Northeast Airlines for $5,000,000. At the end of the year, Unified feels it is probable that i

t will pay $5,000,000 at some point in the following year. What should Unified and Northeast record at the end of the year concerning the lawsuit?
Business
1 answer:
alexgriva [62]3 years ago
4 0

Answer:

Unified records $5,000,000 contingent loss; Northeast does not record any contingent gain

Explanation:

CONTIGENT LOSS can be defined as a liability or loss which is often dependent upon unforeseen circumstances which may occur in the future and may not occur and may be incurred by the entity based on the result of the future event. which is why it is often recorded only in a situation where it can be estimated if not, then it should not be disclosed.

CONTINGENT GAIN can be defined as an asset which are yet to occurred in which when it occured it will lead to increase in asset which is why it is not often recognized in the financial statements of a business, company or organisation until the transaction has been settled fully.

Therefore CONTINGENT ASSET leads to potential gain.

Concerning the law suit:

UNIFIED records $5,000,000 contingent loss; NORTHEAST does not record any contingent gain.

You might be interested in
Porter Company uses standard costs for its manufacturing division. Standards specify 0.1 direct labor hours per unit of product.
kkurt [141]

Answer:

1,370.85 Unfavorable

Explanation:

Standard rate :

= Budgeted variable overhead costs ÷ Budgeted direct labor hours

= $13500 ÷ 640

Direct labor hours = $21.09 per direct labor hour

Standard time to produce goods :

= Budgeted direct labor hours  ÷ Production volume

= 640 ÷ 6,400

= 0.10 hours

VOH Efficiency Variance

= ( SH − AH ) × SR

where,

SH are standard direct labor hours allowed

AH are the actual direct labor hours

SR is the standard variable overhead rate

(SH − AH ) × SR

= [(4,200 × 0.10) - 485] × $21.09

= (420 - 485) × $21.09

= 1,370.85 Unfavorable

5 0
3 years ago
During an interview, Garrett makes sure to keep his palms facing upward. What does this suggest to the interviewer?
kodGreya [7K]
I think its A. That he is Honest
5 0
2 years ago
Read 2 more answers
. _________________ results when an economy experiences high unemployment and high inflation at the same time
telo118 [61]

high prices of goods and the change of currency

Explanation:

the the government loses a huge amount of money the currency demands a high exchanging rate

6 0
1 year ago
Fuchsia provided services to​ 1,600 clients in the month of March and generated​ $23,500 as revenue. How much is the cost per​ s
pshichka [43]

Answer:

$10.72

Explanation:

Calculation for How much is the cost per​ service

First step is to calculate the Total costs

Building Rent Expense $5,200

DepreciationExpense—Equipment 1,600

Supplies Expense 8,000

Utilities Expense 2,350

Total costs $17,150

Now let calculate the Cost per service using this formula

Cost per service = Total costs / Services

Let plug in the formula

Cost per service = $17,150 / 1,600

Cost per service = $10.72

Therefore the cost per​ service is $10.72

3 0
3 years ago
Dave's firm had grown steadily and the products and systems had become more and more complicated. He had been a star representat
Y_Kistochka [10]

Answer:

d. junior sales reps

Explanation:

Having developed the majority of the accounts and experiencing vast growth at the moment, Dave's firm has gone through the hard moments of building up an account base.

Significantly simpler task (but not negligible) is the task regarding the maintenance and customer care of established accounts (order getting, order taking, or sales support). Having that in mind, it is evident that those duties can be taken care of by junior sales representatives.

These representatives are innovative and responsible when it comes to maintaining existing accounts. They know how to perform proper analyses that would help them establish a strong sales connection with a particular account. Also, they can handle diverse account groups, while it is better to keep the customer acquisition process for senior sales reps.

7 0
2 years ago
Other questions:
  • PromptMichael and Johnny are sitting at a bar having a few beers. Michael is a product engineer and Johnny is an electrical engi
    11·1 answer
  • Fill in the missing word to complete the following statement based on the information in this lesson.
    7·2 answers
  • Suppose that a 10 percent increase in the physical capital stock increases GDP by 10 percent. Nowconsider an additional 10 perce
    10·1 answer
  • One suggestion for effective teamwork is to resolve disputes _____.
    9·2 answers
  • Which methods of paying for college do not require repayment? Check all that apply.
    5·2 answers
  • Britt raises money from wealthy individuals and institutional investors, and invests them in a variety of promising new companie
    13·1 answer
  • WILL GIVE HIGHEST RATING!!!!
    14·1 answer
  • Other things the same, a decrease in the price level causes real wealth to a. fall, interest rates to fall, and the dollar to ap
    13·1 answer
  • Rusty sells his home for $330,000. He must pay a 6% brokerage fee which will be split evenly between the selling broker and list
    11·1 answer
  • If a company incorrectly records cash received for services to be provided in the future with a debit to cash and a credit to sa
    7·1 answer
Add answer
Login
Not registered? Fast signup
Signup
Login Signup
Ask question!