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Naddik [55]
3 years ago
11

The cost-recovery method of recognizing profit for accounting purposes is permitted if a. collections in the year of sale do not

exceed 30% of the total sales price. b. an unrealized profit account is credited. c. there is no reasonable basis for estimating collectibility. d. the method is consistently used for all sales of similar merchandise.
Business
1 answer:
kramer3 years ago
6 0

Answer:

Correct Answer:

c. there is no reasonable basis for estimating collectibility.

Explanation:

The cost recovery method of revenue recognition is a concept in accounting that refers to a method in which a business does not recognize income related to a sale until the cash collected exceeds the cost of the good or service sold. <em>When a situation present itself where there is no reasonable basis for estimating collectibility, it justifies the use of the cost recovery method of revenue and profit recognition.</em>

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The best way to research an expensive product is to? A. Visit multiple company websites B. Watch many television commercials C.
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Read 2 more answers
John withdraws $100 from his checking account and deposits it in his saving account. What will be the effect of this transaction
Amanda [17]

Answer:

C is Currency in circulation

M1 is Coins, Currency, money is checking account, travelers checks etc. This basically include all units of money which are highly liquid and can be used at an instant.

M2 includes M1 and certain units of money which are less liquid e.g. savings, time deposits, term deposits etc.

Here, John is withdrawing $100 from his checking account and depositing in savings account hence this will decrease the M1 since M1 does not include savings account. There will not be any change in M2 since both checking and savings account are a part of that.

Since this transaction does not include currency in circulation, there will be no impact on C.

Explanation:

6 0
3 years ago
When writing a check, you complete all of these steps except for _____.
drek231 [11]

Answer:

SIGNING THE BACK OF THE CHECK

6 0
3 years ago
To meet projected annual sales, Bluegill Manufacturers, Inc. needs to produce 75,000 machines for the year. The estimated Januar
Neko [114]

Answer: 70,000 units

Explanation:

You can use the formula for the ending inventory to get this:

Ending inventory = Opening inventory + Production for the year - Projected sales

12,000 = 7,000 + 75,000 - Projected sales

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Projected sales = 82,000 - 12,000

Projected sales = 70,000 units

4 0
3 years ago
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