<span>If these are the missing choices:
</span>A : the Securities and Exchange Commission, income principle
<span>B : GAAP, revenue recognition principle
C : GAAP, expense recognition principle
D : the IRS, tax principle </span><span>
My answer is: </span><span>B : GAAP, revenue recognition principle
</span><span>
The cash-basis is not in accordance with GAAP, and mahogany is in violation of the REVENUE RECOGNITION PRINCIPLE.
GAAP refers to Generally Accepted Accounting Principle.
It is stated that income must be recognized when it is earned not when cash is received. Because the company is using cash-basis, they will only report income earned on July 12 when they received the money not when they earned it which is before their fiscal year ending June 30.
They should recognized receivables from customers before closing the books for the fiscal year. </span>
Answer:
PV = $78.46153 rounded off to $78.46
Explanation:
A perpetuity is an unlimited series of cash flows that are of constant amount and occur after equal intervals of time. As they are unlimited in number, we say that they are perpetual. A perpetual preferred stock can also be said to be in form of a perpetuity as it pays a constant dividend after equal intervals of time. To calculate the price of the preferred stock, we use the present value of perpetuity formula which is,
PV = Cash flow / r
Where,
- r is the required rate of return
PV = 5.1 / 0.065
PV = $78.46153 rounded off to $78.46
Answer:
The company should accept the idea because profit will increase by $24,000.
Explanation:
A company is currently selling 10,000 units of product monthly for $40 per unit.
The unit contribution margin is $27.
The company believes that spending $50,000 per month on advertising will allow them to increase the selling price to $45 and that sales will increase by 750 units per month.
The unit contribution margin is the difference between selling price and variable cost per unit.
An increase in the selling price of $5 will cause the contribution margin to increase by $5, from $27 to $32.
Profits is the product of contribution margin and number of output.
At initial price, the profit was
= 
= $270,000
At the new price the profit will be
= 
- $50,000
= $344,000 - $50,000
= $294,000
The increase in profit
= $294,000 - $270,000
= $24,000
<span>A bear market is distinguished by a declining stock market and decreasing investor confidence. A bear market is when security prices fall and the stock market starts to take a downward turn. The market tries to become self-sustaining so investors start to sell off their stocks and securities. </span>
Answer:
Employees whose values match the values of the organization they work for generally SHOW MORE COMMITMENT TO THEIR JOBS than employees whose values don't match the organization.
Explanation:
Workplace values are the guiding principles that are most integral to the way a company works. Simply put, company's values, and the culture they create can spell the difference between success and failure.
The way people behave is deeply rooted in their values, when employees share their company's values, they make more informed decisions and are more committed to their jobs.
Sharing same values with the organization one works with increases the rate of productivity as one tends to be more motivated and dedicated to the job.
Therefore, the answer that best suits the question is that employees whose values match the values of the organization SHOW MORE COMMITMENT TO THEIR JOBS than employees whose values don't match the organization.
