1answer.
Ask question
Login Signup
Ask question
All categories
  • English
  • Mathematics
  • Social Studies
  • Business
  • History
  • Health
  • Geography
  • Biology
  • Physics
  • Chemistry
  • Computers and Technology
  • Arts
  • World Languages
  • Spanish
  • French
  • German
  • Advanced Placement (AP)
  • SAT
  • Medicine
  • Law
  • Engineering
LekaFEV [45]
3 years ago
5

Peace of mind provides​ house-sitting for people while they are away on vacation. Some of its customers pay immediately after th

e job is finished. Some customers ask that the business send them a bill. As of the end of the​ year, Peace of Mind has collected $900 from​ cash-paying customers. Peace of MindPeace of Mind​'s remaining customers owe the business $1,200.
How much service revenue would Peace of MindPeace of Mind have for the year under the

a. cash​ basis?

b. accrual​ basis?

A. under the cash basis, Peace of mind will record $_______ of service revenue for the year.

B. Under the accrual basis, Peace of mind will record $_______ of service revenue for the year.
Business
1 answer:
Svet_ta [14]3 years ago
4 0

Answer:

a. Cash basis - Service revenue is $900

b. Accrual basis - Service revenue is $2,100 (which is $1200 + $900)

Explanation:

In accounting, there are 2 basis for recognizing transactions; these are cash basis and accrual basis.

In cash basis, sales and expenses are not recorded unless cash has been collected and paid respectively. In the accrual basis of accounting, expenses and sales are recorded when incurred and earned respectively.

Revenue earned under the accrual basis would therefore include the revenue for which cash has been collected and those for which cash is yet to be collected.

You might be interested in
Which one of the following statements concerning interest rates is correct?
DIA [1.3K]
Where is the statements or answer choices?
6 0
3 years ago
Assume the following: The variable portion of the predetermined overhead rate is $3.00 per direct labor-hour. The standard labor
Artemon [7]

Answer:

Variable overhead efficiency variance= $3,000 favorable

Explanation:

<u>To calculate the variable overhead efficiency variance, we need to use the following formula:</u>

Variable overhead efficiency variance= (Standard Quantity - Actual Quantity)*Standard rate

Standard quantity= 3*15,000= 45,000 hours

Actual quantity= 44,000 hours

Standard rate= $3 per hour

Variable overhead efficiency variance= (45,000 - 44,000)*3

Variable overhead efficiency variance= $3,000 favorable

4 0
3 years ago
Which of these are loans to businesses or governments?
Yanka [14]
<span>Bonds are actually a type of borrowing or loans most businesses and governments use. They represents an alternative to the common bank loans, however they enable loan of higher amounts of money, that governments need but ordinary banks are not able to provide.</span>
5 0
3 years ago
Read 2 more answers
What statement below best defines "exporting pollution"? When a country decreases its exports, resulting in a lower level of dom
tamaranim1 [39]

Answer:

"Exporting pollution" occurs when a country reduces its domestic pollution, but increases imports that cause pollution in other countries.

Explanation:

Exporting pollution is a commercial and environmental process through which the most developed countries send their most polluting companies to produce their goods to underdeveloped countries. These companies, generally industrial, transfer their production of carbon dioxide and other polluting gases to these countries, which receive large employers and economic benefits but in turn accept higher rates of contamination in their territories.

4 0
4 years ago
Suppose that XYZ2 shop Company recorded as a purchase certain goods that it purchased account, with the term FOB shipping point
xxMikexx [17]

Answer:

77

Explanation:

76

3 0
3 years ago
Other questions:
  • Product J is one of the many products manufactured and sold by Oceanside Company. An income statement by product line for the pa
    8·1 answer
  • If a country has a trade surplus, we can conclude that it also has:
    10·1 answer
  • Semiotics refers to a field of study in marketing linguistics that identifies the connotative meanings behind words in order to
    5·1 answer
  • According to a summary of the payroll of Guthrie Co., $560,000 was subject to the 6.0% social security tax and the 1.5% Medicare
    6·1 answer
  • Advertisements for CL brake products, True spark plugs, AM chassis parts, and Stone wheels featured in Tire Review, a journal fo
    9·1 answer
  • In an auction, potential buyers compete for a good by submitting bids. Adam Galinsky, a social psychologist at Northwestern Univ
    5·1 answer
  • Marketing by a service firm to effectively train and motivate its customer-contact employees and all the supporting service peop
    5·1 answer
  • R. E. Lee recently took his company public through an initial public offering. He is expanding the business quickly to take adva
    14·1 answer
  • Suppose 2 athletes sign 10-year contracts for $80 million. In one case, we're told that the $80 million will be paid in 10 equal
    15·1 answer
  • Drag and drop each of the following targeting strategies against their corresponding examples where such strategies can be emplo
    11·1 answer
Add answer
Login
Not registered? Fast signup
Signup
Login Signup
Ask question!