Answer:
The correct answer is D) No journal entry will be made until expenditures for the authorized purpose occur.
Explanation:
Remember that in accounting the rights and obligations are recognized, so that if the company has acquired a right to claim something in a future time, it must be recognized in the accounting, and also if it has acquired an obligation that a third party can demand In the future, you must recognize it.
The accounting by causation, contrary to the accounting by the cash system, recognizes a fact at the time the obligation arises in front of a third party, or when the enforceable right in favor of the entity is born.
This principle is intimately related to the principle of realization, insofar as it is affirmed that only facts must be caused, and we know that a fact has been realized when the obligation or the law is born, so the principle of causation cannot exist without First there was the principle of realization.
The application of the principle of causation means that the economic facts must be recognized and accounted for in the accounting period in which they occur, that is, in the period in which the good is sold, the service is provided or in which the obligation is legally established or the right.
Andrea won the Miss Illinois beauty pageant the year she graduated from college. Knowing this, the amount of money she will earn over the course of her adult lifetime is most likely to be MORE THAN that of her peers.
Since she has already won a beauty pageant, it is absolutely clear that she will ear more money than her peers. She will be a unique student among her peers. She might be offered modelling or ad films because of her victory.
Understand the needs of your customers; sales, transportation, the whole supply chain. Take function and brand into account. Reduce, minimise and optimise packaging materials. Reduce packaging waste, use recyclable lightweight materials, biodegradable, compostable materials and renewable resources.
Please see options missing from the original question :
A. rent the room because the marginal benefit exceeds the marginal cost.
B. rent the room because the marginal benefit exceeds the average cost.
C. not rent the room because the marginal benefit is less than the marginal cost.
D. not rent the room because the marginal benefit is less than the average cost.
Answer:
A. rent the room because the marginal benefit exceeds the marginal cost.
Explanation:
Although , the original operating cost of a room per night is $100 (($10,000/100), but since there are idle capacity (empty rooms), the company will be better off by an incremental profit of $30 ($60 -$30) per room by offering to sell empty rooms for $60 per room, using a marginal (incremental ) approach.
