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3 years ago

Determine which of the following statements are correct regarding damaged or obsolete goods. (Check all that apply.)

Business

1 answer:

fenix001 [56]3 years ago

8 0

Answer:

1.  Damaged or obsolete goods are not counted in inventory if they cannot be sold.

2.  If these can be sold… Cost should be reduced to Net Realizable Value

Explanation:

The law relating to the valuation of inventory is that ''inventory should be valued at lower of 'Cost' and 'Net Realizable Value'.

Therefore in the case of damaged or obsolete goods, they have to be eliminated from inventory, otherwise it will lead to overvaluation.

However in the case where these can be sold, They have to be valued at lower of 'cost' or 'salable value', implying that 'Cost' should be reduced to 'Net Realizable Value'

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You deposit $1,100 at the end of each year into an account paying 9.1 percent interest.

vlabodo [156]

Answer:

The money that we will have in account is $51156.41

The money that we will have in account is $318808.31

Explanation:

The deposits made in the account represent an annuity pattern as the deposits made are of a constant amount, are made after equal interval of time and are for a defined time period. Thus, to calculate the value of money that we will have after 19 years, we will use the formula for the future value of annuity.

The formula for the future value of annuity is attached.

FV = 1100 * [ (1+0.091)^19 - 1 / 0.091 ]

FV = $51156.41178

The same formula for the future value of annuity will be used and we will change n from 19 to 38.

FV = 1100 * [ (1+0.091)^38 - 1 / 0.091 ]

FV = $318808.3149

5 0

3 years ago

Presented below are three revenue recognition situations. (a) Groupo sells goods to MTN for $901,000, payment due at delivery. (

LekaFEV [45]

Answer:

Groupo

Transaction Price When Revenue should be recognized

a. $901,000 the delivery date

b. $879,000 the sales date

c. $443,000 the sales date

c. $37,000 in the period interest is earned.

Explanation:

1) Data and Analysis:

a. Delivery date: Cash $901,000 Sales Revenue (MTN) $901,000

b. Sales date: Accounts receivable (Grifols) $879,000 Sales Revenue $879,000

c. Sales date: Accounts receivable (Magnus) $480,000 Sales Revenue $443,000 Deferred Interest Revenue $37,000

2) According to the IFRS 15 and ASC 606, Revenue from Contracts with Customers, revenue should be recognized when performance obligations have been met.

8 0

3 years ago

Give an example of a specialist external agency that a café could use to advertise for an accountant in their head office.

vesna_86 [32]

Answer:

A finance reporting accountant prepares periodic financial statements required for external reporting. They collect and analyze financial data, ensuring that all reporting complies with SEC and GAAP reporting regulations and guidelines. They also prepare internal reports as required.

Explanation:

Please mark Brainliest!

6 0

2 years ago

Two foreign companies want to trade shares of their stock on u.s. stock exchanges. one company follows ifrs but the other compan

Svetach [21]

Answer;

-A foreign company that wants to have their shares traded on U.S. stock exchanges who uses accounting practices that comply with IFRS

Explanation;

Financial Accounting Standards Board (FASB) is the primary accounting standard-setting body in the United States. Generally accepted accounting principles (GAAP) is a set of accounting standards that have substantial authoritative support and which guide accounting professionals.

-FASB goal is to provide leadership for public companies in establishing and improving the accounting methods used to prepare financial statements. The FASB has the authority to set, but not enforce, accounting standards. Enforcement falls under the jurisdiction of the SEC. The FASB takes recommendations from the SEC and the AIPA when devising or improving standards; however, it is not required to.

3 0

3 years ago

Rockwood International needs to make risky decisions on a daily basis. Therefore, its managers are likely to

gizmo_the_mogwai [7]

Answer:

Centralize decision making

Explanation:

From the question we are informed about Rockwood International who needs to make risky decisions on a daily basis. Therefore, its managers are likely to Centralize decision making.

Centralization can be regarded as setup whereby decision-making powers are been concentrated or given to few leaders that are on top of the organizational structure. Decisions making are been carried out at the top then communicated to lower-level managers so that implementation can take place.

5 0

3 years ago