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LenKa [72]
3 years ago
11

What is meant by market in the lower-of-cost-or-market rule?

Business
1 answer:
Pavel [41]3 years ago
7 0

Answer:

Stock is valued at lower of : cost or market price [prudence principle]

Explanation :

Prudence or Conservatism is an accounting principle : anticipating for all possible losses & expenditures, not anticipating for possible profits & gains. This makes business better prepared to face all contingent expenditures/ losses.

This concept's implication is that : Stock or Inventory is valued at the value whichever is lesser between 'cost of inventory' & sale price. This makes inventory valuation as per the above explained Prudence/ Conservatism principle.

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Which are employed by a service firm and assigned to work at a business or an organization
Shkiper50 [21]

Answer: Leased employee

Explanation:

Leased employee are employed by a service firm and assigned to work at a business or an organization.

They are contractual employee and paid on the basis of what is deemed in contract.

6 0
3 years ago
The law of diminishing marginal utility:_______a) allows us to make interpersonal utility comparisons. b) tells us that an addit
Reika [66]

Answer:

A) allows us to make interpersonal utility comparisons.

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3 years ago
Read 2 more answers
John owns a second home in Palm Springs, California. During the year he rented the home for $4,000 for 36 days and used the hous
tekilochka [14]

Answer:

Option (C) is correct.

Explanation:

Total expenses:

= mortgage interest + property tax + utilities and maintenance + Depreciation expense

= $5,000 + $600 +  $900 + $3,500

= $10,000

Proportionate rental expenses = Total expenses × \frac{36\ days}{(36 + 14) days}

Proportionate rental expenses = 10,000 × \frac{36\ days}{(36 + 14) days}

= $7,200

Rental Loss = Rental Income - Proportionate rental expenses

                   = $4,000 - $7,200

                   = -($3,200)

7 0
3 years ago
The study of economics focuses most on...
-Dominant- [34]
A, all of above because they are all the study of economics
5 0
3 years ago
Prox Inc. is a U.S.-based manufacturer of consumer electronics. It decides to export to Mexico and wants to protect its goods ag
Alina [70]

Prox Inc. is a U.S.-based manufacturer of consumer electronics. It decides to export to Mexico and wants to protect its goods against damage, loss, and pilferage. The document which is applicable here is an A. <u>insurance certificate.</u>

<u />

Explanation:

  • A certificate of insurance is a document used to provide information on specific insurance coverage.
  • The certificate provides verification of the insurance and usually contains information on types and limits of coverage, insurance company, policy number, named insured, and the policies' effective periods
  • Certificate of Insurance is a summary document usually issued by an agent on behalf of an insurer that says a policy has been issued to an insured for a general type of risk.
  • The Certificate is usually issued to a third party who wants some evidence or assurance that a policy has been issued.
  • A certificate of insurance is requested when liability and large losses are a concern.
  • Most commercial leases require the tenant to provide certificates of insurance or other evidence of insurance. Certificates of insurance are typically issued by an agent or broker for the named insured and set forth the coverages written for the insured
5 0
3 years ago
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