Answer: Option D
Explanation: In simple words, temporary workers refers to an arrangement under which an individual is hired to perform a job for a specified period of time as per the needs of the employing organisation.
Hence in the given case, tax preparation company is a suitable form for temporary employees as they have few business clients and that too handled individually.
If some of the clients shifts to another firm then the subject firm can delpoy the temporary worker who was handling such client.
Thus, the correct option is D.
Answer:
B) losses you avoided by not buying a stock that has since decreased in price
Explanation:
If a stock has not been bought, there has not been a transaction involving that particular stock. Even though, in theory, you may have avoided losses by not buying a stock that has decreased in price, there hasn't been any actual gain or loss on investment related to that stock since there was no investment.
Since all other alternatives present valid parameters when calculating return on investment, the answer is B).
Answer:
The correct answer here would be D) Diversification.
Explanation:
According to the efficient market hypothesis , it assumes that prices of stock reflects all the information ( of the past data ) and these information are available to general public , and here it is almost impossible to earn high returns from the stock ( but can only be achieved when low valued or under performing stocks are bought ) .
Passive investment approach is that type of approach where investor wants to earn higher return but with minimum number buying and selling trades. So in these given situations a portfolio manager should look to diversify the investors investment, so that by investing in various asset classes risk can be diversified and low costing could be maintained.
Answer:
Explanation:
The journal entry for closing the laundry service revenue is shown below:
Laundry service revenue A/c Dr $4,940
To Income summary $4,940
(Being service revenue account closed)
We credit the income summary account because the service revenue is added while preparing the income statement. If there is a net income, so the revenue is excess than its expenses and if there is a net loss, so the expenses are excess than its income.
Answer:
Faithful representation
Explanation:
Financial reports represent economic phenomena in words and numbers. To be useful, financial information not only must represent relevant phenomena, but it also must faithfully represent the phenomena that it purports to represent. To be a perfectly faithful representation, a representation would have three characteristics; It would be complete, neutral, and free from error.
A complete representation includes all information necessary for a user to
understand the phenomenon being represented, including all necessary descriptions and explanations.
A neutral representation is without bias in the selection or presentation of financial information.
Free from error means there are no errors or omissions in the description of the phenomenon, and the process used to produce the reported information has
been selected and applied with no errors in the process.
