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3 years ago

Which of the following is not true of generally accepted accounting principles?

Business

1 answer:

andrey2020 [161]3 years ago

8 0

Answer:

(A) GAAP does not have substantial authoritative support.

Explanation:

Choices B to C are true about GAAP.

Now, Choice A is not true since GAAP also includes detailed procedures and practices that provide a standard and not only broad guidelines of general application and this will imply that GAAP has a substantial authoritative support.

Also it is called "Generally Accepted Accounting Principles" for this reason.

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In what sort of pricing strategy does the team apply different price scales based on factors such as opponent, event, time of se

Len [333]

Answer:

variable pricing

Explanation:

A variable pricing strategy refers to selling a same product or service at a different price depending on the sales location, date, or other factors. This type of strategy is used to try to maximize revenue by adjusting price to the different categories of our points of sale or our customers.

In case of sports teams, they will price their seats based on other factors like who is the opponent (current champion v. bad teams), day of the week (weekends v. weekdays) or the time of the season (middle of the season v. near playoffs), etc.

7 0

3 years ago

JCPenney Company is expected to pay a dividend in year 1 of $1.65, a dividend in year 2 of $1.97, and a dividend in year 3 of $2

arlik [135]

Answer:

c = $71.80.

Explanation:

So, from the question above, it is given that the dividend in the first year = $1.65, the dividend in the second year = $2.54, the dividend for the third year grows at the rate of 8% and the appropriate required return for the stock = 11%.

The first thing to do here is to determine the terminal value. The terminal value can be calculated as below as;

Terminal value = [ 2.54 × ( 1 + 8/100) ÷ (11/100 - 8/100) ] = 91.44

The value of the stock today can be calculate as be as:

The value of the stock today = 1.65 / (1 + 11/100 )¹ + 1.97 / (1 + 11/100)² + 2.54 / (1 + 11/100)³ + 91.44 / (1 + 11%)³ = $71.80.

Therefore, stock should be worth $71.80 today.

7 0

3 years ago

Use the following balance sheet and cash flow statement information to answer the questions below. Liquid assets: $10,000; home

Ilya [14]

Answer:

(a) Liquidity ratio for individuals

basic liquidity ratio = cash assets / monthly expenses = $10,000 / $6,000 = 1.67

Depending on the maturity of the investment assets, the liquidity ratio could increase, but since the information is limited, we can only consider liquid assets. E.g. if the investment assets include bonds that mature in a very short term they should be included in this formula, but if they include bonds that mature in x number of years, then they aren't included.

(b) Asset-to-debt ratio :

generally the formula is debt to asset ratio = $175,500 / $330,000 = 0.53

but here we are asked to find asset to debt = $330,000 / $175,500 = 1.88

debt service to income ratio = monthly payments / gross income = ($250 + $2,100) / $9,000 = $2,350 / $9,000 = 0.26

(d) Debt payments-to-disposable income ratio

debt payments to disposable income ratio = monthly payments / disposable income = ($250 + $2,100) / $6,800 = $2,350 / $6,800 = 0.35

4 0

3 years ago

Which of the following describes a positive organizational culture? ANSWER Unselected Expresses the core values that a majority

aliina [53]

Answer:

Unselected Emphasizes building on employee strengths, rewards more than it punishes, and emphasizes individual vitality and growth.

Explanation:

The organization's culture means the behavior in an organization. It includes the benefits that are shared among people, the values that are created by the leaders and the same is being communciated via different methods

So as per the given situation, the positive organization structure represent the strength of the employees, rewards, growth of an individual

Therefore the above represent the answer

5 0

3 years ago

If the lessor meets any one of the five Group I criteria, then the lessor classifies the lease as a(n) ________. If the lessor m

DENIUS [597]

Answer:

Sales type lease, direct financing lease, operating lease

Explanation:

A lease is a contractual agreement whereby the lessor(landlord) is paid for the use of his or her assets/properties by the lease(tenant). The assets that are usually leased are vehicles, buildings etc where payment is made for a specified period.

Sales type lease. Here, the dealer(landlord) earn interest revenue accrued plus the profit on the sale of asset. Whereas the profit is arrived at by deducting the selling price from the actual sales price . Profit is also earned and recognized at the beginning of the lease period.

Direct financing lease. The only benefit earned on this type of lease is the interest by the lessor-landlord. There is no profit or loss in the lease transaction. The actual value of leased asset is the same as the purchased value of the asset.

Operating lease is the combination of both sales type lease and direct financing lease. Here, the benefit of asset leased like yearly depreciation is claimed by the lessee-tenant . The ownership of leased asset must be transferred to the lessor at the end of agreed term subject to lessee having bargaining option. The lesse may however purchase the asset at a much reduced price say seventy five percent of the market value.

7 0

3 years ago