Answer:
The correct option is C. Recognize $9 million Gross Profit in 2016.
Explanation:
IFRS-15 states that a 4-step approach should be followed when the performance obligation is satisfied over a period of Time. In-this case, the performance obligation will be satisfied within three years from 2016 to 2018.
4-step Approach:
1) First of all you have to calculate the over gain/loss of the project, and the result will decide the entries to be made. In this case, the contract price is $150m and the total costs (Costs incurred + Expected Costs) are $120m. This gives us a Profit of $30m.
2) In the second step, we have to determine the progress of the contract, It means that how much work have we done so far. There are two methods to calculate the progress: Input Method and the Output Method. Based on the data available, we will go for Input Method. To calculate progress under this method, simply divide the costs incurred by the total costs and multiply the result with 100 to get the percentage. 30% is the progress of the contract.
3) Revenue (150 * 30%) = $45m
COS (120 * 30%) = $36m
Gross Profit = $9m
* 120 is the Total Cost.
4) The last step involves determining Contract Assets and Liabilities. I won't go in to the detail because this step is not concerned with your question. You are open to ask questions regarding this step if you need.
Thanks.
Answer:
In kind benefits are goods and services provided for free or at greatly reduced prices
Explanation:
The benefits in kind are the advantages given to an employee or a customer such as credit cards, company cars, concert tickets and so on. Usually these benefits are called "perks" and are part of the compensation plan offered at each enterprise.
The benefits are also offered to clients, which will be awarded with a gift from the company when reaching certain number of purchases.
Answer:
PV of annuities =$3,021.53
Explanation:
<em>The present value of the annuity would be as follows;</em>
First annuity of $1000:
PV = A × (1- (1+r)^(-n)/r
PV = Present Value , r- rate of return, n-number of years
PV = 1000× (1- (1.06)^(-2)
PV= $1,833.39
The second annuity
PV = 1,500 x (1-1.06^(-2)× 1.06^(-2)= 1,188.140
PV = $1,188.140
PV of the annuities = $1,833.39 + $1,188.140 =$3,021.53
PV of annuities =$3,021.53
From what you are saying, you are asking the pros and cons of having internet in a medical office and not using the internet for medical advice. But here are really the only reasons that I can think of:
Pros:
1. The internet can help people stay connected. Having internet allows the office to contact others such as other medical offices or simply customers.
2. Being connected to the internet allows the office to store/connect to public storages/databases such as a cloud which provides for organization and space int he office.
Cons:
1. The internet can be used as a distraction which would allow employees to go on the internet for personal use such as computer games or social media.
2. Being connected to the internet brings about a much larger risk of being hacked since medical offices are connected to databases which contains consumer information, it will be a target for hackers. If you look up "Medical record hacks" you will find articles explaining this problem.
This is about all the information that I can give. If there is anything else that I can do, ring me up :)
An operating activity includes those transactions and events that determine net income, including the purchase of merchandise, the sale of goods and services to customers, and expenditures to operate the business.
A business operates through certain actions that manage and keep the business alive. Such operating activities may include more than a couple of processes that help the business stay afloat.
- The operating activities of a business include all the things that a company does to provide an ongoing flow of products and services to the market.
- Such activities may include setting a strategy, keeping accounts of the transactions like purchasing of merchandise, the sale of goods and services to customers, and the expenditures incurred to operate the business.
- Operating activities are important as they control the cash flow of the business and maybe the sole source of ensuring the business stays alive.
- It is directly linked to the deep-end workings of the company, like the production, sale, distribution, etc. of the company.
Thus, operating activities such as the determination of the incomes, purchase of merchandise, sale of goods and services, etc. all play a huge part in the successful running of the company. It's actions such as these that determine the success or failure of the company.
Learn more about cash flow activities here:
brainly.com/question/14122060
