Answer:
In simple words, When it comes to conserving money, the most crucial factor to remember is the protection principle. When you save enough money beyond what you'll need for short-term objectives and emergencies, you'll have money to invest. Professionals advise saving one to two years' worth of account value in a contingency savings.
Thus, protecting principal is the core focus of the managers in savings plan.
Answer:
2. True
Bank charges are the various fees account holders are charged in respect of maintenance of the account along with any other charges incurred in respect of specific transactions (e.g. cheque clearance charges, fund transfer charges, collection charges, etc). Bank charges are charged directly to the customer account thereby reducing the bank balance shown in the bank statement. These charges are usually not recorded by the business until the bank provides the bank statement at the end of a month which is why balance as per bank statement may be lower than the cash book balance.
The role of accounting is to provide you and any other stakeholders with financial information about the company, such as sales revenue, the cost of benefits and the amount you owe your suppliers. Without the information from your accountants, you can't make good financial decisions for your business.
Answer:
The correct answer is D.
Explanation:
Giving the following information:
Budgeted production 7,400 units Standard machine-hours per unit 6.6 machine-hours Standard lubricants rate $ 3.50 per machine-hour
Actual production 7,600 units Actual machine-hours (total) 49,840 machine-hours Actual lubricants cost (total) $ 179,821
Manufacturing overhead spending variance= (standard rate - actual rate)* actual quantity
Manufacturing overhead spending variance= (3.5 - 3.607965)*49,840= 5,381 unfavorable
