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Mnenie [13.5K]
4 years ago
13

Porite Company recognizes revenue in the period in which it records an asset for the related account receivable, rather than in

the period in which the account receivable is collected in cash. Porite's practice is an example of:
a) Cash basis accounting
b) Accrual accounting
c) The matching principle
d) Economic entity
Business
1 answer:
lianna [129]4 years ago
3 0

Answer: Accrual accounting

Explanation: Under the accrual method of accounting, the entity records the revenues and expenses in the period of their occurrence, regardless when the cash is exchanged.

In the given case, Porite is recognizing revenues in the same period for the account receivable of asset from which that revenue is generated. Hence, the receiving of revenue is not taken into consideration.

Hence, from the above we can conclude that the practice of Porite is an example of accrual accounting.

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You are considering two independent projects. Project A has an initial cost of $125,000 and cash inflows of $46,000, $79,000, an
Tamiku [17]

Answer:

B) Accept Project A and reject Project B.

Explanation:

We use excel or a spreadsheet to calculate this ratio.

See document attached.

Cash flow will solve this problem.

At moment 0 we have the investment cost or initial cost, in this case $125,000 or $135,000. From period 1 to period 3, we have different  incomes. Then, we calculate the Net cash flow that is the difference between benefits and cost.

We use all the result (positive and negative) in Net cash flow to get the IRR.  

<u>Project A</u>

Internal Rate of Return (IRR) 18,86%

<u>Project B</u>

Internal Rate of Return (IRR) 13,78%

So we should accept Project A and reject Project B,  because in project A the IRR is bigger of required return ( 16%),  we reject project B because the IRR is smaller.  

7 0
3 years ago
Shen is skilled at making both necklaces and earrings. Shen has no preference between making necklaces or earrings since he earn
7nadin3 [17]

Answer:

decrease and more and shift to the right side

Explanation:

  • If the selling price of bracelets decreases and all suppliers of earring and bracelets are like Shen
  • Shen's opportunity cost of making necklaces decrease and making necklaces is now more profitable than making earrings
  • If all suppliers decide to make more earrings, then the total supply increases, which appears to shift to the right side of the supply curve (in the demand and supply graph) (the quantity supplied is greater for each price).
3 0
3 years ago
To evaluate _____, a systems analyst needs information about projected future volume for all outputs, inputs, and processes.
pentagon [3]

To evaluate Scalability, a systems analyst needs information about projected future volume for all outputs, inputs, and processes.

Systems analyst uses analysis and design techniques in order to solve business problems using information technology. Apart from that they identify what improvements the organization they work for needs, and so they design systems to implement those changes.

System analysts also evaluate Scalability. Scalability is referred to as the measure of a system's ability to increase or decrease in performance and cost in response to changes in application and system processing demands.

Hence, in order to evaluate scalability, a systems analyst requires information about projected future volume for all outputs, inputs, and processes.

To learn more about scalability here:

brainly.com/question/13260501

#SPJ4

8 0
2 years ago
_ is concerned with determining what activities should be performed and assessing how well they are performed. a.Operational con
Cloud [144]

Answer:

The correct answer is letter "A": Operational control.

Explanation:

Operational control comprises the steps companies take to determine how the firm will conduct its operations. Operational control is the handbook for operations managers where the procedure for each activity in the company is explained in detail so, in front of malpractices, managers will have a clear idea on how to make assessments.

8 0
3 years ago
Carla Vista Co.’s trial balance at December 31 shows Supplies $8,780 and Supplies Expense $0. On December 31, there are $2,120 o
kolbaska11 [484]

Answer:

Explanation:

The adjusting entry is shown below:

On December 31

Supplies expense A/c Dr $6,660

        To Supplies A/c $6,660

(Being supplies account is adjusted)  

The supplies expense is computed by  

= Supplies balance - supplies on hand  

= $8,780 - $2,120

= $6,660

We simply debited the supplies expense account and credited the supplies account for $6,660

6 0
4 years ago
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