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3 years ago

Which of the following is true of accounting for changes in estimates?

Business

1 answer:

GenaCL600 [577]3 years ago

7 0

Answer:

c. A company accounts for changes in estimates only in the period of change, even though it affects the future periods

Explanation:

A change in the accounting assessment is an adjustment of the carrying amount or related cost of an asset or liability resulting from ensuring the future benefits and liabilities of the asset or liability. Some examples include bad debts and changes in the useful life of a property.
The Company’s fiscal years end at the end of the year. As with any change in accounting assessment, it can be done in the current or future period.
Changes in accounting estimates are not considered accounting errors or exceptional items

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Merchandise inventory is Select one: a. None of the above b. Reported under the classification of Property, Plant and Equipment

Elden [556K]

Answer:

d. Reported as a current asset on the balance sheet

Explanation:

Merchant inventory refers to st finished goods available for sale at any given time. Merchant inventory is commonly referred to as inventory. It is recorded as a current asset in the balance sheet.

Merchant inventory is acquired through purchasing by retailers, wholesalers, and distributors to be sold to customers. Merchant inventory will specifically refer to the unsold goods at the end of a period. It is recorded at its acquisition cost. i.e., the cost which the trader paid to obtain the merchandise.

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4 years ago

What is ROI and why does it matter?

Stels [109]

ROI stands for Return On Investment. This is very important when you are making an investment whether it is in terms of training, capital or equipment

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3 years ago

Read 2 more answers

Lunchco Inc. produces picnic tables in a two-step process. Pretreated wood is cut in the Cutting Department and then the lumber

babunello [35]

Answer: company’s direct labor budget = $320000

Explanation:

Given that,

Standard hourly labor rate in the Cutting Department = $12

It takes 30 minutes of direct labor time to cut the lumber

Tables take one hour to assemble

Standard hourly rate in the Assembly Department = $10

Lunchco’s production budget = 20,000

Cutting Department = production budget × direct labor time × Standard hourly labor rate

= 20000 × 0.5 hours/unit × $12/unit

= $120000

Assembly Department = production budget × Tables take one hour to assemble × Standard hourly labor rate

= 20000 × 1 hour/unit × $10/unit

= $200000

Therefore,

company’s direct labor budget = Assembly Department + Cutting Department

= 200000 + 120000

= $320000

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3 years ago

The publicity bureau opened for business in 1900 "to do a general press agent business for as many clients as possible for as go

nikdorinn [45]

Standard Oil
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3 years ago

You start work at 7:30 am and take a half an hour unpaid lunch at 11:30 AM and then start work at 5:30 PM. How much hours will y

scoray [572]

The number of hours worked for which I will the receive the payment is 7 hours.

Explanation:

Considering the working hour is from 7:30 am to 8:30 pm

Initial work hours = 7:30 to 11:30am

number of hours = 4

If I start working at 5:30 pm and work till 8:30 pm then the number of hours would be 3

Thus,

total number of hours worked = 4 + 3

= 7

Therefore, number of hours worked for which I will the receive the payment is 7 hours.

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3 years ago