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3 years ago

Prior period adjustments are reported as

Business

1 answer:

matrenka [14]3 years ago

6 0

Answer:

c. An addition to (or a deduction from) the beginning balance of retained earnings

Explanation:

A prior period adjustment is the correction of an accounting error that occurred in the past and was reported on a prior year's financial statement, net of income taxes. Prior period adjustment are reported in the statement of retained earnings as an increase or a decrease in the beginning retained earnings. Therefore, the adjusted beginning retained earnings balance is the amount that retained earnings would have been if the error had not been made.

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Miller and Sons' static budget for 9,800 units of production includes $35,800 for direct materials, $54,600 for direct labor, va

Nikolay [14]

Answer:

The correct answer is D.

Explanation:

Giving the following information:

Miller and Sons' static budget for 9,800 units of production includes:

Direct material= $35,800 (35800/9800=3.653)

Direct labor= $54,600 (54600/9800= 5.5714)

Variable utilities of $6,800 (6800/9800=0.694)

Supervisor salaries of $14,100.

Units= 12900

Direct material: 3.653*12,900= 47,124

Direct labor= 5.5714*12,900= 71,871

Variable utilities= 0.694*12,900= 8,953

Supervisor salaries of $14,100.

The supervisor salary is a fixed cost.

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3 years ago

The development costs were incurred after technological and commercial feasibility was established and after the future economic

Anarel [89]

Complete Question:

Pribuss Engineering prepares its financial statements according to International Financial Reporting Standards. During 2018, the company incurred the following costs related to a new product design:

Research for New Design $2.4M

DVMPT of New Product $1.3M

Patent Filing Fees $52K

The development costs were incurred after technological and commercial feasibility was established and after the future economic benefits were deemed probable. The project was successfully completed and the new product was patented before the end of the 2018 fiscal year. What amount should Pribuss expense in its 2018 income statement related to the above expenditures?

Answer:

The Research expenses of $2.4M that are written as expense in the Income statement and the Development costs of $1.3M and patent legal fees of $53k are capitalized.

Explanation:

The reason is that the International Standard IAS 38 Intangible Assets says that the expenditure incurred on the research that hasn't entered development phase must be written as expense in the year and the expenditure incurred on the development phase of the research outcomes must be capitalized to the extent it is ready for use. In this case $1.3M is clearly a development cost and patent legal fees of $53k is the expenditure that will prepare the asset and making it ready for use, so it must also be capitalized.

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3 years ago

The main advantage of diversification as an investment policy is that it

Lera25 [3.4K]

Answer:

Minimising risk of loss

Explanation:

One of the most significant values of investment is to guarantee that you have a extended portfolio. The key advantage of constructing a portfolio is that it helps in Limiting danger of misfortune. If one venture performs ineffectively over a specific period, different speculations may perform better over that equivalent period, decreasing the potential misfortunes of your venture portfolio from concentrating all your capital under one kind of speculation.

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3 years ago

One ethical dilemma that multinational firms must face is

Oksi-84 [34.3K]

Answer:

Bribery

Explanation:

they must decide whether to pay bribes or find alternative sources of supplies

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3 years ago

A business process consists of one or moreâ _______, many of which are supported by information systems.

Pani-rosa [81]

The answer is A operations

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4 years ago