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3 years ago

The concept of materiality:

Business

1 answer:

ryzh [129]3 years ago

6 0

Answer:

The correct answer is letter "C": Justifies ignoring the matching principle or the realization principle in certain circumstances.

Explanation:

The materiality accounting principle states that some of the Generally Accepted Accounting Principles can be omitted in the entry of an item while record-keeping a company's transactions only in the case the entry does not have any influence on the Financial Statements. Those principles could imply matching or realization principles.

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Why is the cyclically adjusted budget balance a better measure of the long-run sustainability of government policies than the ac

irina1246 [14]

Answer:

because In the long run, real GDP tends to potential output.

Explanation:

Since actual GDP continues to increase economic output in the longer term, the seasonally adjusted annual budget balance is a better predictor of public policies ' long-term sustainability. ... Economic GDP dropped in recessions.

This means that incomes for consumers, business investment and profits for producers also fall.

The cyclically adjusted expenditure balance plays an important role in the EU budgetary framework, which still provides a better picture of fiscal policy focus.

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3 years ago

_____ power derives from a position of authority inside the organization and is sometimes referred to as formal authority.

julsineya [31]

The appropriate response is legitimate power. Legitimate power will be the power you get from your formal position or office held in the association's progressive system of an expert. For instance, the leader of a company has certain forces in view of the workplace he holds in the enterprise.

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3 years ago

Why do people hold bonds rather than larger savings or checking accounts

svp [43]

Under what circumstances might they change their portfolios, moving their funds out of bonds into bank accounts? In general, people place their funds in those investments which provide them the highest returns.

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3 years ago

The costs of direct materials are classified as: Conversion cost Manufacturing cost Prime cost A) Yes Yes Yes B) No No No C) Yes

WARRIOR [948]

Answer:

D) No Yes Yes

Explanation:

As we know that

The conversion cost includes the direct labor cost and the manufacturing overhead cost

And, the manufacturing cost records the

= Cost of direct material cost + Direct labor cost + Manufacturing Overhead cost

And, the prime cost includes the direct material cost and the direct labor cost that is directly related to the production process of the product.

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3 years ago

Read 2 more answers

The Quick Buck Company is an all-equity firm that has been in existence for the past three years. Company management expects tha

Vika [28.1K]

Answer and Explanation:

a. The computation of the current price per share is shown below:

Current price per share = Value of Firm ÷ Number of stock outstanding

where,

Value of Firm is

= $800,000 ÷ 1.13 + $1,250,000 ÷ 1.13^2

= $1,686,897.96

And, the number of outstanding shares is 35,000 shares

So, the current share price is

= $1,686,897.96 ÷ 35,000 shares

= $48.20

c. The computation of the shares of stock sold is shown below:

No of shares of stock must be sold is

= ($910,000 - $800,000) ÷ 48.20

= $2,282.16

c. The computation of the new price per share of stock is shown below:

Current price per share = Value of Firm ÷ Number of stock outstanding

where,

Value of Firm is

= $910,000 ÷ 1.13 + $1,250,000 ÷ 1.13^2

= $1,784,243.09

And, the number of outstanding shares is 35,000 shares and $2,282.16

So, the current share price is

= $1,784,243.09 ÷ 35,000 shares + $2,282.16

= $47.86

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3 years ago