Answer:
Jasmine recognize $1,940 this year if she uses the accrual method of accounting.
Explanation:
The Accrual or Matching Concept in accounting requires revenues and expenses to be recorded in the period i which they occur or incur.
The entry to record the receipt of payment is :
Cash $15,520 (debit)
Unearned Rental Income $15,520 (credit)
By the end of the year on 31 December, 4 months rent income starting September will have been earned and entries are as follows :
Unearned Rental Income $1,940 (debit)
Rental Income $1,940 (credit)
Rental Income calculation = $15,520 × 4 / 32
= $1,940
Answer:
. E. combined ratio after dividends minus the investment yield
Explanation:
The operating ratio for a PC insurer
can be regarded as the comparison of total expenses of a company compared to net sales generated or the generated revenue. The operating ratio gives the measurement of a overall operational profitability of a firm from both underwriting as well as investment activities. It can be calculated by finding the ratio of
(property's operating expense after substraction of depreciation) and ( the gross operating income). It should be noted that The operating ratio for a PC insurer equals combined ratio after dividends minus the investment yield.
The increase of the new SUV from $24,000 to $26,000 after the agreement illustrates a low-balling technique.
<h3>What is a low-balling technique?</h3>
This is a tactics used when the persuader gets a person to commit to a low offer that they have no intention of keeping and then, the price is suddenly increased.
Hence, the increase of the new SUV from $24,000 to $26,000 after the agreement illustrates a low-balling technique.
Read more about low-balling technique
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Answer:
$13.5 million
Explanation:
Fractional Banking System- This is banking system where banks are required by the central banking authority to keep a certain percentage of their total deposit as the minimum reserve which they cannot lend out.
The idea behind this requirement is to help manage liquidity risk- a situation where a bank does not have enough cash to meet its deposit customers demand.
Required-reserve ratio: The minimum percentage that banks are required to keep as reserve is known as the required-reserve ratio. In this question, it is given as 10%. Multiply this ratio by the total deposit and you will get the required reserve in dollar amount.
Therefore the required reserve for this bank = 10% ×$15 million= $1.5 million
Excess reserve; Excess reserve is the balance of the total deposit over and above the required reserve. The bank can lend and create loan asset from this balance.
It is calculated as = Total deposit - Required reserve
So we apply this to our question
Excess reserve = $15 million - (10% × $15 million)
= $15 million - $1.5 million
= $13.5 million