Answer:
Licensing example
Explanation:
A licensing integration occurs when a firm under contractual terms allows another firm or group of firms to use it's intellectual property usually for an agreed amount.
For example, in this case, Hiku Inc. innovative technology– which enabled multiple users to operate the screen of a tablet at the same time, was licensed out to Broadway Technologies which gave them the freedom to use the technology for five years.
Answer:
as part of other income.
Explanation:
A bond's interest income is obtained by multiplying the carrying amount and the market interest rate. Bonds pay interest to the bondholder and when the security is mature it pays off the principal invested. Interest payments are not fixed but rather vary with level of earnings of the company.
Interest revenue on bonds is considered as part of other income because it is income realised from non operating activities, so it cannot be classified as operating income.
Answer:
is made if it is more likely than not that the liability has been incurred.
Explanation:
When contingent liability is recorded it is recorded by debiting income statement and creating a liability in balance sheet, also it is not accounted for until the amount of liability is pretty certain as without being clear about its occurrence and the amount involved the liability cannot be recorded.
There is no such loss account, there exists only income statement.
Therefore, with the above we can conclude that contingent liability is recorded only if:
is made if it is more likely than not that the liability has been incurred.
Given a positive externality, the marginal social benefits curve lies to the right of the demand curve, with the market output below the socially optimal output
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Explanation:</u></h3>
The marginal benefits can be represented by the demand curve. Assume a condition where the consumers are the only persons who gets benefits from the commodity. In this scenario, the demand curve will be the marginal benefit curve. When the society gets benefits by consuming an additional unit of a commodity production, then it is the marginal society benefits.
The marginal benefit curve and the demand curve will be same as long as you are willing to pay a next unit of a good. When you are willing to pay for an additional unit of good, it give rise to the marginal benefit curve. In the positive externality, the marginal benefits curve will be lying to the right of the demand curve, having the market output below the socially optimal output.
Answer:
option D
Explanation:
In financial statements In balance sheet short term investment available for sale of securities should be reported on fair value of investment and unrealized gain or loss should be included in stockholder's equity.
so in this question 660,000 should be reported as asset investment in marketable securities and (660000-600000) = 60000 unrealized gain should be reported in stockholder's equity.
The asset Investments in Marketable Securities at $660,000, and a $60,000 Unrealized Holding Gain included in total stockholders' equity