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2 years ago

According to generally accepted accounting principles (GAAP), revenue is recognized as income when:

Business

1 answer:

bogdanovich [222]2 years ago

4 0

Answer:

the transaction is complete and the goods or services are delivered.

Explanation:

According to generally accepted accounting principles (GAAP), the revenue should be recognized when the goods or services are delivered and the transaction is completed in all respects.

The revenue recognition principle applies when the revenue is realized or earned whether cash is received or not plus it also follows the accrual basis of accounting. Here, realizable means that customer received the product but the payment is made at the later date

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Jen bought 100 shares of ABC stock at $15 a share on July 14, 2017. On August 7, 2018, she noticed that the stock had increased

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Answer:

The revenue from the sale treated as a long term capital gain on her 2018 income tax return

Explanation:

capital gain = (100*20) - (100*15)

= $500

tax rate on long term capital gain for 22% = 15%

tax on capital gain = $500*15%

= $75

Therefore, The revenue from the sale treated as a long term capital gain on her 2018 income tax return

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2 years ago

Alonso, the union steward at Selzar Inc., is attempting to persuade members of management to make certain revisions to the compa

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Answer:

C. negotiating contracts

Explanation:

Discussing and Compromising on contract term in order to reach out final agreement between the company management and union at Selzar Inc.

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2 years ago

Judy asked if she could create a new way of helping customers find the products they wanted. This shows ______.

FinnZ [79.3K]

D. she shows initiative

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2 years ago

Read 2 more answers

an annual bond selld for $865 with par value $1,000 and coupoin rate 8% what is bond yeild to maturity for 10 years

lisov135 [29]

Answer:

1.4484 %

Explanation:

The formula for Yield to Maturity =

[C + (FP - MP) /n]/FP + MP/2

Where

C = Coupon rate = 8% = 0.08

MP = Market value or price = $865

FP = Face or Par value = $1000

n = number of years = 10

Yield to Maturity =[ 0.08 +(1000 - 865) /10]/ 1000 + 865/2

Yield to Maturity = 1.4484 %

5 0

2 years ago

) when originally issued, an investment in bonds of Flushing Dough, Inc., promised to provide an annual coupon of 7.50%. The bon

galina1969 [7]

Answer:

The likely yield to maturity on the bonds is 10.23%.

Explanation:

The likely yield to maturity on the bonds can be calculated using the following RATE function in Excel:

YTM = RATE(nper,pmt,-pv,fv) .............(1)

Where;

YTM = likely yield to maturity on the bonds = ?

nper = number of periods = number of years until maturity = 4

pmt = annual coupon payment = annual coupon rate * Face value = 7.50% * $1,000 = $75 = 75

pv = present value = market price = $735 = 735

fv = face value or par value of the bond = 1000

Substituting the values into equation (1), we have:

YTM = RATE(40,75,-735,1000) ............ (2)

Inputting =RATE(40,75,-735,1000) into a cell in an excel (Note: as done in the attached excel file), the YTM is obtained as 10.23%.

Therefore, the likely yield to maturity on the bonds is 10.23%.

Download xlsx

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2 years ago