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Hitman42 [59]
3 years ago
14

If a company fails to make an adjusting entry for deferred​ expense, the assets will be overstated. Assume the deferred expense

is initially recorded as an asset.
True / False.
Business
1 answer:
ivann1987 [24]3 years ago
7 0

Answer: True .

Explanation:

In accrual accounting, revenue is entered when it is earned and expenses are entered when they are incurred.

Deferred revenue is money received by a company in advance of having earned it. In other words, deferred revenues are not yet revenues and therefore cannot yet be reported on the income statement.

As a result, the unearned amount must be deferred to the company's balance sheet where it will be reported as a liability.

When your company receives a customer deposit or prepayment on a sale, that payment occurs in advance of the actual sale and is therefore considered unearned revenue. Deferred revenue flows between the balance sheet and the income statement as revenue.

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Today the current EUR to USD exchange rate is 1 EUR = 1.19 USD. According to the Bloomberg consensus estimate, the EUR to USD ex
OlgaM077 [116]

Answer:

1 . b

2. 84.03 euro

3. 135.28 euros

4. 177.22 dollars

5. 0.77

6. 0.154

Explanation:

1. Dollar depreciated

2. 1 Euro = 1.19 dollars

So therefore

1 dollar = 1 euro/1.19

So 100 dollars = 100 * (1/1.19) = 84.03 Euro.

3. A = p * (1 + (r/n))^(nt)

Where p = principal = 84.03

A = accrued amount after maturity

r = rate = 10%

n = number of compounding = yearly = 1

t = time of maturity = 5

So therefore:

A = 84.03 (1 +0.1)^5

A = 135.28 Euro

4. Convert 135.28 euros to dollars after 5 years

Since 1 Euro = 1.31 dollars

So therefore 135.28Euro will be 1358.28 * 1.31 = 177.22 dollars

5 - (final value/initial value) - 1 )

Where final value = 177.22

Initial value = 100

So therefore [ (177.22/100) - 1] = 0.77

6 - average annual return = sum of earning after maturity / time of maturity

So therefore : 0.77/ 5 = 0.154

6 0
2 years ago
Read 2 more answers
Privatization is a way to a. shrink the federal budget by selling government services or property in the private sector. b. incr
kumpel [21]

Answer:

c. reduce government costs by relocating government programs to private groups or corporations.

Explanation:

Privatisation is reducing the share of government ownership & increasing the share of private ownership.

It can be done in two ways : Disinvestment of Public Sector Units (PSUs)  Equity , Transfer of PSU (s) ownership & management to private sector.

Privatisation by either of the two ways reduces the financial burden on government, by liberating them from management of public sector or state owned enterprises. This public private reallocation, hence reduces government costs or expenditure -  by assigning programs unnecessary to be done by public sector - to private groups or corporations.

Eg : When Indian Economy underwent New Economic Policy [Liberalisation, Privatisation, Globalisation] in 1991, it reduced government reserved sectors from 18 to only crucial 3 - Railways, Defence etc.

6 0
3 years ago
A firm currently has a 43 day cash cycle. Assume that the firm changes its operations such that it increases its receivables per
quester [9]

Answer:

41 days

Explanation:

Calculation to determine What will the length of the cash cycle be after these changes

Using this formula

Cash cycle Length=Cash cycle+Increases in receivables period -Decreases in inventory period -Increases in payables period

Let plug in the formula

Cash cycle Length = 43 days+2 days -1 days - 3 days

Cash cycle Length= 41 day

Therefore What will the length of the cash cycle be after these changes is 41 days

8 0
3 years ago
Supply chain management:is based on the concept of just-in-timefocuses on removing scheduling bottlenecks within the companyfocu
Furkat [3]

Answer:

is based on the concept of just-in-time.

Explanation:

Supply chain management can be defined as the effective and efficient management of the flow of goods and services as well as all of the production processes involved in the transformation of raw materials into finished products that meet the insatiable want and need of the consumers.

Generally, the supply chain management involves all the activities associated with planning, execution and supply of finished goods and services from the manufacturers to the consumers.

Additionally, all businesses tend to use supply chain management to eliminate waste and maximize value for growth and development.

Hence, supply chain management is based on the concept of just-in-time (JIT) because it is a management framework that is focused on cutting manufacturing costs while increasing efficiency between suppliers and consumers through the use of a proper inventory system.

8 0
2 years ago
Jim is in the market for a car that will last for the next 10 years and has saved up some money for the porpuse of a car. Whatst
Rzqust [24]
City bus. B hhhdddfggbjjb
8 0
3 years ago
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