Answer:
False
Explanation:
The revenue principle and the matching principles are two principles that help in the determination of the period in which expenses and revenues are recognized. In line with the principle, as long as any revenue is realizable, then such expenses or revenues are recognized. As long as services are rendered or goods transferred, regardless of the time in which the cash is received, revenue is recognized. However, accrued revenue is that which is recognized before receiving cash, while deferred revenue is the revenue recorded or realized after receiving cash.
Answer:
Letter a. is correct. <u>TRUE.</u>
Explanation:
This statement is correct because a supply chain is part of the macroenvironment, and operational risk can be defined as different results than expected due to internal or external events.
The current economic scenario appears to be unstable, as political, economic, technological, social and other changes are occurring all the time, which can represent significant external risks in a supply chain, where there is no control by the buyer or supplier.
Some examples of uncontrollable operational risks are:
- Fraud and misconduct;
- Systemic failure;
- Safety;
- Human error.
For this reason, the importance of risk management, which includes planning, identification, qualitative and quantitative analysis, response planning and monitoring and control processes, which together will provide subsidies for less vulnerability in the supply chain and less risk.
Answer:
$800,000
Explanation:
The total amount received by Ms. Jones (A) is given by the following expression:
Where 'I' is Ms. Jones initial investment, 'D' are cash distributions previously received and 'S' is the cash flow from sales.
The amount received by Ms. Jones is:
She would receive $800,000.
Answer:
It would be better to buy the car.
Nominal 26,446.81 (break even resale price)
Explanation:
We solve the present value of the salvage value at 6% APR
Maturity $28,000.0000
time 36.00
rate 0.00500
PV 23,398.0577
Net present worth:
23,398.06 - 43,000 = 19,601.94
Lease option
PV of the monthly payment:
C 505.00
time 36
rate 0.005
PV $16,599.8632
plus the 4,300 downpayment
present worth: -20.899,86
As the option from the purcahse gives a lower present worth it is preferable over the option to lease the vehicle
X - 43,000 = -20,899.86
X = 22,100.14
We have to look at which resale price the present value is equal to 22,100.14
Principal 22,100.14
time 36.00
rate 0.00500
Nominal 26,446.81
Answer:
Economic costs include both explicit costs and implicit costs.
Explanation:
- In economics, costs can be in the form of explicit and implicit as implicit costs are opportunity costs and are opportunities for engaging in business. While the explicit costs are accounting costs which are involved in the production of raw matter, wages etc.
