Answer:
A) By product pricing
Explanation:
If you are able to sell your companies by products it is a great way to make more money and to reduce costs. Imagine if the cheese factories needed to throw away all that brine. They would need to develop some waste disposal facility which obviously costs money to build and operate. Instead they are lowering their costs by selling it and at the same time are getting more money. They would probably even give it away for free if no one was willing to pay for it.
Answer:
Stock is valued at lower of : cost or market price [prudence principle]
Explanation :
Prudence or Conservatism is an accounting principle : anticipating for all possible losses & expenditures, not anticipating for possible profits & gains. This makes business better prepared to face all contingent expenditures/ losses.
This concept's implication is that : Stock or Inventory is valued at the value whichever is lesser between 'cost of inventory' & sale price. This makes inventory valuation as per the above explained Prudence/ Conservatism principle.
Answer:
$14,837
Explanation:
Calculation for what The adjusted cash balance should be
Bank balance$14,237
Add Deposit in transit$4,500
Less Outstanding checks ($3,900)
Adjusted bank balance$14,837
($14,237+$4,500-$3,900)
Book balance$13,162
Less Bank service fees ($50)
Add Note collected $1,725
Adjusted book balance$14,837
($13,162-$50+$1,725)
Therefore The adjusted cash balance should be:
$14,837
Because of supply and demand. More demand for a product makes the price go and and the supplier gives more because they get more
