Answer:
The answer is Yes
Explanation:
Contingent liability is the type of liability that is dependent on some uncertain future events or occurrences. The 90-day warranty gives rise to contingent liability. This liability should be recognized when it can be reasonably estimated. For example, The estimation of contingent liability is 6percent of the sales of computers.
Therefore, contingent liability should be recognized.
Answer:
The interest on notes is calculated as follows
Interest payable = Face value of bonds * Interest rate * (Time of maturity / 12 months)
= $695,000 * 6% * 9/12
=$31,275
Cullumber company will pay the face value of the notes as the notes are payable at par, along with interest rate of 6% for the period of 9 months. This will result in outflow of cash, thereby crediting cash account. The liability on account of notes payable and interest payable will be settles, thereby debiting the payable account
General Entry
Date Account Title and Explanation Debit Credit
30 Sep. Notes payable $695,000
Interest payable $31,275
Cash $726,275
(To record the amount to be paid at maturity)
Based on business sales strategy, marketing intermediaries add <u>time utility</u> to products by having them available when consumers want them.
This is because the <u>time utility</u> allows the business firms and marketers to make the products available to the consumers whenever they need them.
<u>Time utility</u> is a marketing tool used by the business firms like retails to add value to products and to bridge the gap between the products and consumers.
Hence, in this case, it is concluded that the correct answer is "<u>time utility</u>."
Learn more here: brainly.com/question/12514869
Mhm I would say false but just wait for someone else to answer I’m not sure.
