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dedylja [7]
3 years ago
8

In a recent annual report, Apple Computer reported the following in one of its disclosure notes: "Warranty Expense: The Company

provides currently for the estimated cost for product warranties at the time the related revenue is recognized." This note exemplifies Apple's use of:
1) Conservatism
2) Matching
3) Realization principle
4) Economic entity
Business
1 answer:
IrinaVladis [17]3 years ago
6 0

Answer:

2) Matching

Explanation:

The matching principle refers to that principle at which the revenues that are recognized in the particular year should be matched with the expenses that are incurred in that particular year

According to the given scenario, it talks about the matching principle at which the expenses are to be reported when the related revenue is recognized

Therefore, it follows the matching principle.

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What happens if you perm your hair after washing it?
natali 33 [55]
Its almost the same except your heir will be cleaner and fresher. somethimes it depends on your hair type and texture.
5 0
3 years ago
The owner of Shady Grove Company has the bookkeeper write company checks to pay for his personal items. This violates __________
Rainbow [258]

Answer:

The separate-entity assumption

Explanation:

The separate-entity assumption is a principal in accounting according to which the financial transactions of a business and the personal expenses of the owners is to kept separate from each other. The expenses derived solely for the business is only to be counted under the expenses of the company. Inclusion of any personal expenses of the owner or any partner of the business is prohibited under this principal.  

In the given excerpt, the owner of Shady Grove Company had violated the separate-entity assumption by including the expenses of his personal items under the name of the Company.

7 0
3 years ago
Bali Inc. reported $605,800 net income before tax on this year’s financial statements prepared in accordance with GAAP. The co
kodGreya [7K]

Answer:

$669,950

Explanation:

Computation of taxable income

Bali’s net book income before tax$605,800 Excess of book over tax depreciation25,600

Book gain on equipment sale$(23,000)

(53,000-27,400)

Tax gain on equipment sale38,000 15,000

(23,000-38,000=15,000)

Nondeductible loss on sale to related party 23,550

(75,000-51,450)

Taxable income$669,950

(605,800+25,600+15,000+23,550)

Therefore the taxable income will be $669,950

4 0
3 years ago
Complete the below table to calculate the price of a 1.7 million bond issue under each of the following independent assumptions:
Ilya [14]

Full question attached

Answer and Explanation:

Answer and explanation attached

5 0
3 years ago
Your friend wants to open a clothing shop. A necessary capital resource is a
saw5 [17]

Answer: Your friend wants to open a clothing shop. A necessary capital resource is a <u>place to open the shop.</u>

Explanation: Capital is the element constituted by money and infrastructure, which are needed to take advantage of human and natural resources in the productive process, considered as essential by the capitalists, since without money and other economic resources, companies cannot settle and industries, because they need it to have facilities, furniture, machinery, buy raw materials, pay staff, and so on.

6 0
3 years ago
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