Answer:
<u><em>accrual; no cash payment; do not</em></u>
<u><em>Explanation:</em></u>
Indeed, accrual accounting uses adjusting entries to reflect economic reality, that is, it tells the actual financial position of the company such that even when there is no cash payment involved in the transaction.
Thus, profits may not necessarily equal cash over a period.
Answer: the correct ianswer is B. Income is a flow variable; wealth is a stock variable.
Explanation:
A stock is measured at one specific time, and represents a quantity existing at that point in time (say, December 31, 2004), which may have accumulated in the past. A flow variable is measured over an interval of time. Therefore, a flow would be measured per unit of time (say a year).
Answer:
The answer is: Not for Profit Corporation
Explanation:
Not for profit corporations are a type of Non Profit Organizations (NPO) and are included under Section 501(c)(3) of the Internal Revenue Code. They include charities, religious organizations, other organizations with educational, literary or scientific purposes, that were not created in order to generate profit for its shareholders.
A NPO can make money with its activities (e.g. have a charity ball). They can also do business and make a profit. What they can't do, is distribute that profit with its shareholders.
Answer: Because the issuer official no longer holds elected office, the contribution limits of Rule G-37 do not apply.
Explanation:
Rule G-37 is a way to ensure that Municipal Issuers are not unduly influenced by those who donated to their campaigns to get into a position to become Municipal Issuers.
It prohibites for 2 years, Municipal Finance Professionals (MFP) amongst others from engaging in municipal securities business with a Municipal issuer.
An exception however, is that if the MFP is entitled to a vote for the Official in question, they can donate no more than $250 per election.
Seeing as the Municipal Issuer Officer has lost her position, the MFP need not worry about this $250 limit as it no longer applies to her. The MFP is free to donate $500 to the "clean-up" campaign.
