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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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Westwick Inc. is an advertising agency. Its employees are allowed to take decisions and work in ways that will help maximize the

Anna35 [415]

Answer:

<em>C) Organizational plurality </em>

Explanation:

Organizational plurality is a working environment in which all representatives are encouraged to collaborate in a way that promotes the gains for the company, clients and themselves.

As with the advertising agency, the employees are given chances to follow their decisions and maximize their experience.

5 0

3 years ago

The following stockholders' equity accounts arranged alphabetically are in the ledger of Wildhorse Co. at December 31, 2020.

Andrei [34K]

Answer:

Wildhorse Co.

The stockholders' equity section of the Balance Sheet at December 31, 2020

Preferred Stock (8%, $101 par, noncumulative) 414,100

Paid-in Capital in Excess of Par-Preferred Stock 48,700

Common Stock ($12 stated value) 1,776,000

Paid-in Capital in Excess of Stated Value-Common Stock 659,000

Treasury Stock-Common (7,900 shares) (96,000)

Retained Earnings 782,000

Total stockholders' equity $3,583,800

Explanation:

a) Data:

Preferred Stock (8%, $101 par, noncumulative) 414,100

Paid-in Capital in Excess of Par-Preferred Stock 48,700

Common Stock ($12 stated value) 1,776,000

Paid-in Capital in Excess of Stated Value-Common Stock 659,000

Treasury Stock-Common (7,900 shares) (96,000)

Retained Earnings 782,000

Total stockholders' equity $3,583,800

b) The major components of the stockholders' equity include the stock accounts, paid-in capital, retained earnings, and the treasury stock. The stockholders' equity represents the difference between the assets and the liabilities of Wildhorse Co. The equity section shows the capital contributions of Wildhorse stockholders and the accumulated retained profits.

5 0

3 years ago

Every year, 7 Days, a large retail chain, organizes a large annual function in which it gives an "Employee of the Year" award to

Simora [160]

Answer:

E) ceremonies

Explanation:

In an organization's culture, ceremonies are extremely important for what they represent, not necessarily for the monetary amount of a price. A ceremony is a formal event and in this case it occurs in front of almost all the employers of the retail chain. The employee that is awarded the prize is not only given money, he/she is also being recognized for being the employee of the year in front of everyone else.

5 0

3 years ago

Read 2 more answers

A quality control activity analysis indicated the following four activity costs of an administrative department:

Doss [256]

Answer:

total sales are the internal failure costs is 2%

Explanation:

given data

form to reduce errors = $15,000

customer complaints = 75,000

Verifying = 30,000

Correcting errors = 60,000

Total = $180,000

sales = $3,000,000

to find out

total sales are the internal failure costs

solution

we know here that internal failture cost is express as

internal failture cost = correcting error in form ...........1

internal failture cost = $60000

and

internal failture cost as % of total cost is here as

internal failture cost to sale = $\frac{internal\ failture\ cost}{sales}$ .......2

internal failture cost to sale = $\frac{60000}{3000000}$

internal failture cost to sale = 2%

so total sales are the internal failure costs is 2%

3 0

3 years ago

Depreciation of noncurrent operating assets is an accounting process for the purpose of?

klasskru [66]

Noncurrent Operating Asset Depreciation is a procedure used in accounting to reflect declining asset values on the balance sheet.

A tangible item's cost can be spread out over the period of its useful life using the accounting approach of depreciation. Depreciation indicates how much of an asset's worth has been expended. It makes it possible for companies to buy assets over a predetermined period of time and profit from those assets. The immediate cost of ownership is greatly lowered because businesses do not have to fully account for them in the year the assets are purchased. A company's profits can be significantly impacted by not accounting for depreciation. Long-term assets can also be depreciated by businesses for tax and accounting reasons.

Learn more about Depreciation here.

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3 0

2 years ago