Answer:
d. a prior period adjustment.
Explanation:
Correction of the error when discovered in the next year should be treated as a prior period adjustment. This is basically because the error was already recorded in the past financial report. Since these reports are final and cannot be changed, then the correction to this error needs to be implemented in the next year's financial report and would reflect on that year's income taxes. The process of doing this is known in accounting as a prior period adjustment
Answer:
B. False.
Explanation:
The above statement is false in that it asserts that information has not become the lifeblood of every organization. While it's true that an increasing volume of information today has increased and exchanged through the social networks and web2.0 tools like blogs, microblogs and wikisa, this further lends credence to the indispensability of information in this contemporary times.
In contrast, what Frank and Smallwood(2013) preached was that information has now become a lifeblood of every organization. This is an undisputed reality in their study and intellectual intervention. Thus, they went on give a demographic distribution of information through the use of social networks and/or web2.0 tools like blogs, microblogs, and wikisa.
Answer:
Material Cost variance = Standard cost - Actual cost
= 3000*5 - 16192
= 1192 A
Material Rate Variance = (S.R. - A.R.)A.Q
= (5 - 5.06)3200
= 192 A
Material usage variance = (S.Q. - A.Q.)S.R
= (3000 - 3200)5
= 1000 A
Working Notes:
Actual Output = 1500 units
Standard qty of Material for Actual Output = 1500*2
= 3000 pounds
Actual qty. used = 3200 pounds
Actual rate/pound = $16192/3200
= $5.06
Answer:
$6360
Explanation:
Contract value when the trader sold short = 76.98c * 50000 = $38,490
Contract value when he closed out his contract = 64.26c * 50000 = $32,130
Since the trader had sold short, he is speculating that the price of the futures contract will go down. The value of the contract did go down (in the traders favor) so the difference in value when he sold short and when he closed out his contract will be the profit gained in dollars. Please note that the initial futures prices are quoted in cents and would need to be converted to dollars by dividing by 100c i.e. 3,213,000c = $32,130
Therefore the profit made by the trader in dollars is $38,490 - $32.130 = $6360
