Answer:
The correct answer is (c)
Explanation:
A controlling account is an adjustment account for which a subsidiary ledger is generally created. It helps to further track the transactions in detail. A controlling account is an account in the general ledger that is entitled as accounts receivable. This account includes a separate account for every single customer who makes a credit purchase.
Answer:
Net realizable value less a normal profit margin.
Explanation:
Lower of cost or market rule of inventory states that cost of inventory recorded must be that at which cost is lower, and the original cost is the current market price.
This occurs when the inventory has become obsolete, market price has declined, or inventory has deteriorated
Net realisable value is defined as selling price minus estimated cost of completion.
So the market value should not be less than net realizable value less a normal profit margin.
Answer:
Larry spends half his time on each activity, while Moe only washes cars and Curly only mows lawns. Then lawns will be mowed and cars will be washed
Explanation:
In a hour :
Larry can ; wash 1 car or mow 1 lawn
Moe can ; mow 1 lawn or wash 2 cars
Curly can ; mow 2 lawns or wash 1 car
The inefficient scenario is Larry spends half his time on each activity, while Moe only washes cars and Curly only mows lawns. Then lawns will be mowed and cars will be washed. this is because Larry can either wash 1 car or mow 1 lawn every hour and if Moe only washes cars and Curly only mows Lawns there will still be Cars and Lawns left to be washed and Mowed since Larry does not work at full capacity like Moe and Curly who could wash 2 cars or mow 2 lawns every hour
Answer:
Option B Change in accounting principle; retrospectively; required.
Explanation:
The reason is that the change is policies are considered in the international accounting standard IAS-8 Accounting policies, estimates and correction of errors. The standard says that the change in depreciation method is considered as a change in accounting policy which must be treated as retrospectively which means that the adjustments must be made to all the previous years using the same depreciation and must reflect the change in Changes in Wquity statement. This change in accounting policy as per the requirement s of the standard, must be disclosed in the notes to financial statements. Furthermore the changes in equity must only be opted if it increases the truth and fairness of the financial statement.
Answer:
a) 2.40 dollars
b) 0.60 dollars
c) 2.40 dollars
Explanation:
$30 dollars x 8% = $2.40
quarterly dividend:_ $2.40 / 4 = $ 0.60
When the dividends ar cummulative, they will keep at arrear until the company declares cash dividend. The firm will not be able to pay common stock unless there are no arrear dividends to preferred stock.
Only once all the preferred dividends in arrear and current period dividends are paid, the ocvmany can distribute among their common stock.
