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Gennadij [26K]
3 years ago
15

Generally accepted accounting principles (GAAP) requires the expenses incurred to generate revenues be matched in the same perio

d.
True/False
Business
1 answer:
spin [16.1K]3 years ago
8 0

Answer:

The statement is: True.

Explanation:

The matching principle of the Generally Accepted Accounting Principles (<em>GAAP</em>) states that the expenses a company incurs during a period must match with the revenues those expenses were incurred during the same period. This principle is usually implemented with the accrual accounting method leaving in clear that expenses are incurred to generate profit.

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In a decision to either sell as is or process a product further, __________costs are considered irrelevant and _____________cost
MrRa [10]

In a decision to either sell as is or process a product further, joint costs are considered irrelevant and process further costs are considered relevant.

The decision of whether to sell the product right away or wait to sell it in order to earn more money. Although we think that growing the business's income is great, we also need to make sure that the costs associated with the growth will be met. We must contrast the profit margin between selling now and selling later because additional processes will demand more resources and expenses.

Additionally, we need to make an effort to maximise the return on our investment. Additional processes might need more money spent on equipment. These factors require us to apply the sell or process further technique in order to choose the best course of action.

Typically, this scenario occurs in a joint product where one or more outputs can be generated and produce additional revenue. The joint products are produced at the same cost up until the point where they are divided and further sold or processed. Although the products can be sold at the split point, there are instances when continuing developing them is more profitable.

Learn more about joint cost here brainly.com/question/14988439

#SPJ4

6 0
1 year ago
A fall in real GDP that results in a decrease in personal income tax receipts is an example of​ ______.
lyudmila [28]

Answer:

c. automatic fiscal policy 

Explanation:

Automatic fiscal policy are policies triggered automatically due to the state of the economy which causes either government spending or taxes to increase or decrease.

For example, if the economy is undergoing a downturn and real GDP falls, the amount paid as taxes would fall.

If the economy is booming and the real GDP rises, the amount paid as taxes would rise.

These are examples of automatic fiscal policies.

Discretionary fiscal policy is when the government purposely increases or reduces either its spending or taxes in response to the economic conditions.

I hope my answer helps you.

5 0
3 years ago
Mulally's use of "the way forward," which involved closing and modernizing plants, implementing data
murzikaleks [220]

The actions of Mulally in doing the above can be said to be part of his <u>Strategy </u>for <u>Ford</u>.

<h3>Actions by John Mulally.</h3>
  • Were done to turn Ford Motors around so that it would be successful again.
  • Involved closing down plants and increasing labor productivity.

John Mulally was the CEO of Ford Motors and when he took over, Ford needed a turnaround in their fortunes. He engineered a series of changes to ensure that Ford would be competitive again.

In conclusion, this was his strategy.

Find out more on labor productivity at brainly.com/question/6430277.

4 0
2 years ago
Kaiser Industries has bonds on the market making annual payments, with 14 years to maturity, a par value of $1,000, and selling
9966 [12]

Answer:

The Coupon rate is 11.66%

Explanation:

Yield to maturity is the annual rate of return that an investor receives if a bond bond is held until the maturity.

Face value = F = $1,000

Selling price = P = $1,382.01

Number of payment = n = 14 years

Bond Yield = 7.5%

The coupon rate can be calculated using following formula

Yield to maturity = [ C + ( F - P ) / n ] / [ (F + P ) / 2 ]

7.5% = [ C + ( $1,000 - 1,382.01 ) / 14 ] / [ ( $1,000 + $1,382.01 ) / 2 ]

7.5% = [ C - $27.29 ] / $1,191

7.5% x $1,191 = C - $27.29

$89.33 = C - $27.29

C = $89.33 + $27.29 = $116.62

Coupon rate = $116.62 / $1,000 = 0.11662 = 11.66%

4 0
3 years ago
Zino Company determines that a customer balance of $200,from Hollis Co. is uncollectible. Zino uses the allowance method to acco
Natalka [10]

Answer:

The correct answer is A

Explanation:

The journal entry to be posted to write off the balance of uncollectible is as:

Allowance for Doubtful Accounts A/c..........................Dr   $200

              Accounts Receivable A/c.......................................Cr  $200

As the allowance method is used so the accounts receivable account will be credited and the allowance for doubtful accounts is debited with the amount which is recovered that is $200.

Allowance method is generally refer to one of the ways for reporting the uncollectible or bad debt expense which results from a company selling the goods on credit.

3 0
3 years ago
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