Answer:
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Explanation:
Answer:
False advertising
Explanation:
False advertising refers to that advertising in which the misleading information is passed to the final consumers so that the company could earn more and more profits as there is one motive i.e. to increase sales as much the company wants
Therefore according to the given situation, the advertising spread around the world quickly due to the false advertising.
Answer:
The average amount invested in the asset that should be used for calculating the accounting rate of return is $348,500
Explanation:
For computing the average amount invested in the assets, following equation should be used which is shown below:
= (Production management cost + Residual value) ÷ 2
= ($630,000 + $67,000) ÷ 2
= $697,000 ÷ 2
= $348,500
In this the question has asked to compute the average so the amount should be divided by 2.
The cost saving should be irrelevant in the computation part because this is used in computing accounting rate of return. Thus, it is not been considered.
Hence, the the average amount invested in the asset that should be used for calculating the accounting rate of return is $348,500
Answer:
Mainline should recognize a revenue of $32 million in 2012.
Explanation:
percentage-of-completion method:
Total Expenses = $60 million
Expenses during the Year 2012 = $24 million
Percentage of complition = 24/60
= 40%
Revenue can be recognised = $80 million*40%
= $32 million
Therefore, Mainline should recognize a revenue of $32 million in 2012.
