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3 years ago

Managerial accounting information is generally prepared for a. shareholders b.creditors c.managers d.regulatory agencies

Business

1 answer:

amm18123 years ago

8 0

Answer:

Correct option is (c)

Explanation:

Managerial accounting reports are prepared for the internal use by managers within different departments in the organization. They may or may not be published for external users like creditors or customers.

These reports need not comply to any established authorities like GAAP or IFRS. They are used by managers for various decision making purposes, so they can be prepared as per the manager's convenience.

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Therapeutic services pays less than most other careers

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The answer to this question would be ; true

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3 years ago

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The rule that requires financial statements to reflect the assumption that the business will continue operating instead of being

nordsb [41]

Answer:

Going concern assumption

Explanation:

The going concern principle is the assumption that an entity will remain in business for the foreseeable future.

This assumption holds in the absence of significant information to the contrary such as inability to meet obligations as they fall due

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3 years ago

Suzanne's Cleaners is considering a project that has the following cash flow data. What is the project's payback?Year 0 1 2 3 4

Ksenya-84 [330]

Answer:

3.52 years

Explanation:

In the payback, we analyze in how many years the invested amount is recovered. The computation is shown below:

In year 0 = $1,100

In year 1 = $300

In year 2 = $310

In year 3 = $320

In year 4 = $330

In year 5 = $340

If we sum the first 3 year cash inflows than it would be $930

Now we deduct the $930 from the $1,100 , so the amount would be $170 as if we added the fourth year cash inflow so the total amount exceed to the initial investment. So, we deduct it

And, the next year cash inflow is $320

So, the payback period equal to

= 3 years + ($170 ÷ $330)

= 3.52 years

In 3.52 years, the invested amount is recovered.

7 0

3 years ago

On December 1, delivery equipment was purchased for $6,144. The delivery equipment has an estimated useful life of four years (4

Akimi4 [234]

Answer and Explanation:

The presentation is shown below;

Depreciation expense

Adjustment $128 ($6,144 ÷ 48 months)

Accumulated depreciation

Adjustment $128

The journal entry is

Depreciation expense $128

To Accumulated depreciation $128

(Being depreciation expense is recorded)

Here the depreciation expense is debited as it increased the expense and credited the accumulated depreciation as it decreased the asset

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3 years ago

Suppose First Main Street Bank, Second Republic Bank, and Third Fidelity Bank all have zero excess reserves. The required reserv

lapo4ka [179]

Answer:

a) First Main Street Bank's T-account (before the bank makes any new loans) will look as follows:

<u> Assets | Liabilities </u>

Reserves $1,800,000 | Deposits $1,800,000

b) The effect of a new deposit on excess and required reserves when the required reserve ratio is 25% are as follows:

Amount Deposited (Dollars) = $1,800,000

Change in Excess Reserves (Dollars) = $1,350,000

Change in Required Reserves (Dollars) = $450,000

Explanation:

a) Complete the following table to reflect any changes in First Main Street Bank's T-account (before the bank makes any new loans)

A deposit of $1,800,000 by Yakov into his checking account at First Main Street Bank will lead to the creation of both an asset and a liability for First Main Street Bank.

The reserves on the asset side of the T-account of First Main Street Bank will therefore increase by $1,800,000. This gives the bank the opportunity to able to give loan to its other customers from the additional reserves.

On the other hand, the deposit of $1,800,000 by Yakov will be recorded as a demand deposit on the liability side of the T-account of First Main Street Bank. This is because it is possible for Yakov to withdraw his deposit at any time.

This transaction will therefore be reflected as follows:

<u> Assets | Liabilities </u>

Reserves $1,800,000 | Deposits $1,800,000

b) Complete the following table to show the effect of a new deposit on excess and required reserves when the required reserve ratio is 25%.

Note: See the attached excel file to see how the table will actually look.

The required reserve ratio of 25% implies that First Main Street Bank is required by law to hold 25% of the new reserves which in this case is the initial deposits from Yakov.

By calculating this, 25% of $1,800,00 is $450,000 and it indicates an increase of $450,000 in the required reserve of First Main Street Bank.

After deducting 25% from 100%, we have 75% left. And 75% of $1,800,000 is $1,350,000. This $1,350,000 is the excess reserves that First Main Street Bank can use to give loans to other customers.

The breakdown is therefore as follows:

Amount Deposited (Dollars) = $1,800,000

Change in Excess Reserves (Dollars) = 75% * $1,800,000 = $1,350,000

Change in Required Reserves (Dollars) = 25% * $1,800,000 = $450,000

Download xlsx

5 0

3 years ago