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.
The answers are
Savings accounts become less desirable because interest earned is lower than inflation
Individual purchasing power increases, which results in an increase in demand.
Answer:
1.42
Explanation:
The fixed asset turnover is a financial ratio that shows how much sales is generated by management for each $1 invested in fixed asset over the period. It is the ratio of sales to average fixed asset.
Average fixed asset is the sum of the beginning and ending fixed asset divided by 2.
Average fixed assets
= ($4.2 + $6.3)/2 (Amount in millions)
= $5.25 million
The company's fixed asset turnover ratio for 2018
= $7.4/$5.2
= 1.42
It means that the company makes a sales revenue of $1.42 for every $1 invested in fixed assets.
Answer / Explanation:
Before answering this question, let us understand some terms used in the narrative:
Marginal Utility: Utility in itself can be refereed to as the satisfaction derived from the consumption of a particular good or service. However, when we now becomes a marginal utility, it mean we are now paying attention to the level of change in the extra level of satisfaction derived from the particular good and service.
Optimal Consumption: This can be referred to as one of the guiding principle of consumption in an economy, it stipulates that when a consumer maximizes utility or attain maximum satisfaction, the marginal utility per amount spent must be the equal all goods and services in the same class of goods..
In summary it is a state of mind or feeling that people get a certain level of joy utility from consuming goods and service while Marginal utility is the benefit of consuming an extra unit of that product.
Now referring back to the question and answering it,
If Connie is making optimal consumer choices, the ratio of marginal utility to the price should be the same for both goods. Hence, the price of coffee is 3/2 as much and these ratios are equal and the marginal utility of coffee must be = 3/2 as high as that of tea at the quantities she is purchasing them at.
Answer:
A. policy
Explanation:
A deliberate plan or course of action chosen by an individual or a group of people intended to deal with a problem, influence and determine decisions, actions, and other matters is known as policy.
