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Fantom [35]
3 years ago
6

In a recent annual report, Apple Computer reported the following in one of its disclosure notes: "Warranty Expense: The Company

provides currently for the estimated cost for product warranties at the time the related revenue is recognized."
This note exemplifies Apple's use of:(A) Conservatism.(B) Matching.(C) Realization principle.(D) Economic entity.
Business
1 answer:
saul85 [17]3 years ago
6 0

Answer: The matching principle (B)

Explanation:

Matching principle states that all expenses must be recorded in the same period as the revenue that was earned

You might be interested in
A company receives $290, of which $15 is for sales tax. The journal entry to record the sale would include a
Inga [223]

Answer:

Explanation:

Cash.         290

     Revenue.             275

     Sales tax payable.  15

5 0
3 years ago
Patty Corporation holds 75 percent of Slider Corporation's voting common stock, acquired at book value. The fair value of the no
Marina86 [1]

Answer:

1) d. $175,000

2) b. $156,250

Explanation:

1. The computation of net income for 20X9 under the treasury stock method is shown below:-

Net income for 20X9 under the treasury stock method = Janet Operating income + Slider operating income

= $100,000 + $75,000

= $175,000

2. The computation of income assigned to the controlling interest for 20X9 is shown below:-

income assigned to the controlling interest for 20X9 = Janet Operating income + (Slider operating income × Remaining percentage)

= $100,000 + ($75,000 × 75%)

= $100,000 + $56,250

= $156,250

Therefore we have applied the above formulas.

5 0
3 years ago
Last year, Richmon Company produced 10,000 units and sold 6,000 units at a price of $20. Costs for the last year were as follows
Goshia [24]

Answer:

The correct answer is B: $46,400

Explanation:

The difference between absorption and variable costing is that the first one includes fixed manufacturing overhead in the manufacturing cost.

Giving the following information:

Absorption costing:

Direct materials= 30,000

Direct labor= 38,000

Variable factory overhead= 8,000

Fixed factory overhead= 40,000

Total= $116,000

Unitary cost= 116000/10000= $11.6

Ending finished inventory= 4000*11.6= $46,400

5 0
3 years ago
Ivanhoe Company purchased a new machine on October 1, 2017, at a cost of $77,980. The company estimated that the machine has a s
Marysya12 [62]

Answer:

Depreciation for

2017 = $2,540

2018 = $10,160

Explanation:

Provided, Total cost of the machine = $77,980

Estimated salvage value = $6,860

Therefore, value to be depreciated = $77,980 - $6,860 = $71,120

Total life of asset = 7 years

Depreciation for the year 2017 = October to December = 3 months

\frac{71,120}{7} \times \frac{3}{12} = $2,540

Depreciation for the year 2018 = \frac{71,120}{7} = $10,160

Under straight line method depreciation is fixed for each year, but in the given case in 2017 the asset is used only for 3 months, thus depreciation will be charged for 3 months only.

Final Answer

Depreciation for

2017 = $2,540

2018 = $10,160

7 0
3 years ago
Simone has worked as an editorial assistant at a magazine publisher for the last six months. Her boss is impressed with her dedi
pochemuha

Answer:

​job enlargement

Explanation:

Job enlargement refers to the increase in duties and responsibilities related to the job. It combined all other activities with the same level in the organization

Since in the question it is mentioned that Simone boss is impressed by her dedication and her hard work so he assigner her more task for freelancer writers

Therefore this situation represents the job enlargement

5 0
3 years ago
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