Sales returns and allowances are reported on the <u>Income Statement</u>.
<h3>What is the income statement?</h3>
The income statement is a financial statement wherein the sales revenue and cost of goods sold and operating expenses are summarized in order to obtain the net income.
When reporting the sales returns and allowances on the income statement, they are subtracted from the gross sales to arrive at the net sales.
Thus, sales returns and allowances are reported on the <u>Income Statement</u>.
Learn more about the income statement at brainly.com/question/24498019
Answer: Option (A) is correct.
Explanation:
From the given options, the following actions can be an example of signal designed to reduce the impact of asymmetric information: <em>Money-back guarantee.</em>
A money-back guarantee can be referred to as an essential that guarantee, if a consumer/individual is not satisfied with commodity or service, refund to the respective account will be made. Money-back guarantee reduces the impact of asymmetric information between a consumer and seller.
There seems to be an error in your question. Budget deficit is when the government spending exceeds its revenue, yet your question makes no mention of expenses. However, it seems to be referring to something we call the "negative output gap", where actual output is lower than potential output. If this is the case, then the output gap is $100. (I suspect you omitted the million as no country, not even fictional, only produces $500.)
Answer:
Godfrey Corporation
GOLDFREY CORPORATION
Balance Sheet (Partial)
December 31, 2017
Noncurrent assets:
Investments:
Investment In Stock, at fair value $64,100
Stockholders' Equity:
Common stock
Retained earnings
Less :
Unrealized loss $4,900
Explanation:
a) Data and Calculations:
Long-term investment available for sale:
Cost = $69,000
Fair value 64,100
Unrealized loss $4,900
b) The correct entry would have been to reduce the net income by the unrealized loss. However, for simplicity, this is showed as a reduction of the Retained Earnings in the balance sheet.
Answer:
Predicted exchange rate = Country price of Big Mac/ US price of Big Mac
Predicted exchange rate:
Chile = 2,050 / 4.37
= 469.11 Pesos / US dollar
Hungary = 830 / 4.37
= 189.93 Forints / USD
Czech Republic = 70 / 4.37
= 16.01 Korunas / USD
Brazil = 11.25 / 4.37
= 2.57 Real/ USD
Canada = 5.41 / 4.37
= 1.24C$/ US$
<em>According to purchasing power parity, the predicted exchange rate between the Hungarian forint and the Canadian dollar is </em><em><u>153.42 Forint per C$</u></em><em>. However, the actual exchange rate is </em><em><u>217 Forint per Canadian Dollar</u></em><em>.
</em>
Predicted exchange rate = 830 / 5.41 = 153.42 Forint per C$
Actual Exchange rate = 217/1 = 217 Forint per C$
