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3 years ago

An emphasis is placed on proper income statement item recognition under what approach under US GAAP?

Business

1 answer:

Over [174]3 years ago

3 0

Answer:

Revenue /expense approach

Explanation:

As we know that the income statement recognized only the revenues and the expenses and if the revenue is more than the expenses so the company is earning profit else it would suffered loss

So for proper income statement, the item recognized under US GAAP should be placed in revenue and expense approach as it comes under the income statement and the same is to be considered

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What kinda of block can result from poor language skills

lesantik [10]

Answer:

Lack of communication can cause minunderstanding and confusion with both parties

Explanation:

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3 years ago

All sales are made on credit. Based on past experience, the company estimates 1% of credit sales to be uncollectible. What adjus

fenix001 [56]

Answer:

Debit : Bad Debts account : $2000 (appearing in the income statement)

Credit : Provision for doubtful debts account : $2000 (appearing in the balance sheet)

Explanation:

This is an example of provision for doubtful debts. Provision for doubtful debts is an estimated amount of bad debts from accounts receivables that has been issues but not yet collected. This is done under the accrual accounting concept where an expense is identified as soon as invoices have been issued rather than waiting long periods to find out which invoice is irrecoverable. It is typically an estimate based on past experience.

In this question, the sales value has not been provided, hence an assumption is made:

Sales : $200,000

If provision for doubtful debts is 1% of sales and all sales is on credit, then the provision for doubtful debts amount is = 1% x $200,000 = $2000

Provision for doubtful debts is an accounts receivable contra account and thus has a credit balance and is recorded in the balance sheet, listed directly under accounts receivables.

The entry is recorded as:

Debit : Bad Debts account : $2000 (appearing in the income statement)

Credit : Provision for doubtful debts account : $2000 (appearing in the balance sheet)

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3 years ago

Topik is a product that is sprayed on thinning hair and makes the hair appear thicker. The manufacturer considers its potential

Alik [6]

Answer:

Explanation:

The group of people for which a product is designed and aimed to is the product's target market. In this case, Topik is a product that aims to sell to blue-collar workers who earn less than $30,000 per year, are divorced, and who like to think of themselves as weekend athletes, which is the product's target market.

The answer is (C).

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3 years ago

A company's product is very complex, and there is value in having employees develop deep expertise in each aspect of the product

Drupady [299]

The organizational structure that would allow for deep, specialized knowledge to be fostered is a<u> functional structure. </u>

<h3>What is a functional organization structure?</h3>

This refers to a practice of many companies where people who have different expertise are put into different departments that complement their skills.

This ensures that the employees will develop deep expertise in their field because they will focus on it by being in a department that is based on their expertise.

Find out more on functional organizational structures at brainly.com/question/14700402.

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2 years ago

A firm knows that Seneca's income elasticity of demand for hair ties is 5; for Janelle, it is 0.2. A firm can reason thatla hair

Lilit [14]

Answer: E. luxury; necessity

Explanation:

Income elasticity of demand is a measure of how the demand for a good or service change when people's income changes. It the ratio of the percentage change in quantity demanded to the percentage change in income.

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