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3 years ago

What do you mean by consistency in accounting ?

Business

2 answers:

vfiekz [6]3 years ago

4 0

Answer:

once you adopt an accounting principle or method, continue to follow it consistently in future accounting periods so that the results reported from period to period are comparable.

Explanation:

madreJ [45]3 years ago

4 0

It’s means once you adopt an accounting principle continue to follow it consistently in future accounting period

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Macee Department Store has three departments, and it conducts advertising campaigns that benefit all departments. Advertising co

DerKrebs [107]

Answer:

Results are below.

Explanation:

Giving the following information:

Estimated overhead costs= $130,000

Total sales= 201,000 + 314,900 + 154,100= $670,000

First, we need to calculate the predetermined overhead rate:

Predetermined manufacturing overhead rate= total estimated overhead costs for the period/ total amount of allocation base

Predetermined manufacturing overhead rate= 130,000 / 670,000

Predetermined manufacturing overhead rate= $0.194 per sales dollar

Now, we can allocate overhead:

Allocated MOH= Estimated manufacturing overhead rate* Actual amount of allocation base

1= 201,000*0.194= 38,994

2= 314,900*0.194= 61,090.6

3= 154,100*0.194= 29,895.4

8 0

3 years ago

Discretionary fiscal policy that might occur is ______. Automatic fiscal policy that might occur is ______. A. a decrease in t

qaws [65]

Answer: a decrease in government expenditure and an increase in taxes by a decision of Congress; a decrease in transfer payments and an increase in taxes with no interference by Congress (D)

Explanation:

Discretionary fiscal policy is a government policy that changes government spending or taxes. The purpose of discretionary fiscal policy is to either expand or shrink the economy. It needs approval from the Congress and President. Its examples are increases in spending on bridges, roads, stadiums etc.

Automatic fiscal policy use spending in the form of taxes and transfer payments to automatically steady the economy. An example is when unemployed become eligible for the unemployment benefits after when losing their jobs during a recession.

4 0

3 years ago

Which of the following accounts would not be included in the Acquisition and Payment for Long-Lived Assets Cycle? a. Revenue. b.

velikii [3]

Answer:

The correct answer is A

Explanation:

Acquisition and Payment Cycle, also called as the PPP cycle for which the payments, purchases and payables, is mainly comprise of the two classes of the transaction. This cycle is regarding the payables and to pay off the payables with cash.

Acquisition and payment of the long lived assets, which are those assets, the business retain for at least one year. The revenue will not be included in the cycle because it is related to the payables.

7 0

3 years ago

Swifty Corporation reported net sales of $690000, $730000, and $828000 in the years 2016, 2017, and 2018, respectively. If 2016

Flura [38]

Answer:

120%

Explanation:

Given net sales;

Year 1996 = $690000

Year 1997 = $730000

Year 1998 = $828000

With 1996 as the base year, it means the percentage of any year can be computed by dividing the net sales for that year with the net sales for 1996 and expressing the results as a percentage.

1998 sales as a percentage of the base represents

= $828000/$690000

= 1.2

Expressed as a percentage, this is 120%.

3 0

3 years ago

On April 1, a patent with an estimated useful economic life of 12 years was acquired for $1,500,000. In addition, on December 31

Tasya [4]

Answer:

April 1

Debit : Patent $1,500,000

Credit : Cash $1,500,000

December 31

Debit : Amortization $125,000

Credit : Accumulated Amortization $125,000

December 31

Debit : Impairment loss $6,000,000

Credit : Accumulated Impairment loss $6,000,000

Explanation:

Both the Amortization and Impairment loss reduce the value of assets. They are therefore expenses accounted in Income Statement.

Amortization : is the loss of value of an asset due to passage of time.

Amortization Expense = (Cost - Residual Amount) ÷ Useful Life

= ( $1,500,000 - $ 0) ÷ 12

= $125,000

Impairment loss : is the excess of the Carrying Amount of an Asset over its Recoverable Amount( Higher of Value in Use and Fair Value less Cost to Sell)

6 0

2 years ago