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3 years ago

The question of when revenue should be recognized on the income statement according to GAAP is addressed by the:

Business

1 answer:

sleet_krkn [62]3 years ago

4 0

Answer:

a. Revenue recognition principle

Explanation:

The revenue recognition principle refers to the principle in which the revenues are recorded when it is realized or earned. It follows the accrual basis of accounting

It is not recorded when the cash is actually received.

When the sale is made, the same is to be shown in the books of accounts

Therefore as per the GAAP, the revenue should be addressed by revenue recognition

hence, the correct option is a.

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A customer of a firm enters a foreign market by setting up a manufacturing facility. It tells its suppliers that they will need

marysya [2.9K]

Answer: Piggy backing

Explanation: Piggy back exporting is done by suppliers of a product and entails them supplying a certain function of the business only and just buying the actual product from local sellers. Another option can be that the supplier works with the local seller, and sells the seller's goods on behalf of seller for a commision. The suppliers are known as the carriers and the local sellers are known as the riders.

The customer entering the foregin market is the rider, and the suppliers supplying the parts ahd customer service is the carrier. The customer does not fully need to produce the product from scratch, and is able to acquire this from the suppliers who already have it. The custoemr, who is the rider, is thus able to "ride" on the back of the "carriers" back and ideas set in motion for their product.

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4 years ago

Money Market Mutual Find Balances held by Businesses $100 Money Market Mutual Fund Balances held by Individuals 220 Currency in

oksian1 [2.3K]

Answer:

Explanation:

M2= 60+70+50+220+80= $480

hence option A is correct

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4 years ago

Read 2 more answers

List the order number and order date for each order placed by the customer named johnson s department store. (hint: to enter an

iris [78.8K]

Answer:

Explanation:

To obtain the needed detail of order table and order date for each order place by customer, has to be filtered with "John's Department Store"

select ORDER_NUM, ORDER_DATE frome orders as o

inner join customer as c on c.CUSTOMER_NUM=o.CUSTOMER_NUM

where c.CUSTOMER_NAME = "Johnson's Department Store"

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3 years ago

Pattison Products, Inc., began operations in October and manufactured 40,000 units during the month with the following unit cost

patriot [66]

Answer:

Following are the responses to the given question:

Explanation:

For question 1:

Calculating the cost per unit:

$\text{Direct material}\ \ \ \ \ \ \ \ \ \ \ \ \ \ \ \ \ \ \ \ \$5\\\\\text{Direct labor} \ \ \ \ \ \ \ \ \ \ \ \ \ \ \ \ \ \ \ \ \ \ \ \ \$3\\\\\text{Variable overhead}\ \ \ \ \ \ \ \ \ \ \ \ \ \ \ \ \ \$1.5\\\\\text{Fixed overhead}\ \ \ \ \ \ \ \ \ \ \ \ \ \ \ \ \ \ \ \ \ \$7\\\\\text{Cost per unit}\ \ \ \ \ \ \ \ \ \ \ \ \ \ \ \ \ \ \ \ \ \ \ \ \$16.5\\\\$

For question 2:

Calculating the ending inventory units:

$= \text{Beginning inventory + units produced - ending inventory}\\\\= 0+40,000-38,400\\\\= 1600\ units\\\\$

Calculating the cost for the Ending inventory:

$=1600\ units \times \$16.5\\\\=\$26,400\\\\$

For question 3:

Calculating the absorption costing for the income statement:

Particular Amount

Sales $(38,400\times \$24)\ \ \ \ \ \ \ \ \ \ \ \ \ \ \ \ \ \ \ \ \ \ \ \$921,600$

-COGS $(38,400\times \$16.5)\ \ \ \ \ \ \ \ \ \ \ \ \ \ \ \ \ \ \ \ \$633,600$

Gross profit $\$288,000$

Cost of variable marketing $(\$1.2\times 38,400)\ \ \ \ \ \ \ \ \ \ \ \ \ \ \ \ \ \ \ \ \ \ \ \ \$46,080$

marketing and administrative costs are fixed $\$130,500$

Net income $\$111,420$

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3 years ago

Sohan started a business with a capital of rs. 80000. After 6 months mohan joined as a partner by investing rs. 65000. After one

Lady bird [3.3K]

Sohan invested Rs 80000 in the beginning of his firm. After six months, Mohan invested Rs. 65,000 to become a partner. Sohan put his money into investments for 12 months, while Mohan made investments for 6 months. They made a total profit of Rs. 20,000 after a year. The portion of Sohan in the profit that he made is 14222.

One way to assess a company's success is through its profit. Its simplest definition is the sum that remains after deducting all expenses from all revenues. The remaining funds, or your profits, can either be retained by the company and reinvested to fund future expansion, or they can be given as a draw or dividends to shareholders.

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2 years ago