1answer.
Ask question
Login Signup
Ask question
All categories
  • English
  • Mathematics
  • Social Studies
  • Business
  • History
  • Health
  • Geography
  • Biology
  • Physics
  • Chemistry
  • Computers and Technology
  • Arts
  • World Languages
  • Spanish
  • French
  • German
  • Advanced Placement (AP)
  • SAT
  • Medicine
  • Law
  • Engineering
aev [14]
3 years ago
5

Under the accrual basis of accounting, many of the account balance in the ledger at the end of the accounting period are reporte

d in the financial statement without change. Some accounts require updating, though. When preparing financial statements, the economic life of the business is divided into time periods. The matching principle states that:___________.
1. A purchase made by a business is matched with the actual cost of the item
2. The accounting records and reports are matched with objective evidence
3. The transactions of a business are matched with the transactions of hs owner, creditors and other bussiness
4. The expenses incurred during a period are matched with the reverse that those expenses generated.
Business
1 answer:
Helen [10]3 years ago
4 0

Answer: 4. The expenses incurred during a period are matched with the revenues that those expenses generated.

Explanation:

The accrual basis of accounting works by matching accounting transactions to the period that they occur in. For instance, if revenue is sold in year 1 but the cash for it is only received in year 2, the revenue will be recorded for year 1.

The matching principle falls under the accrual basis and matches the expenses in a period to the revenue that the expenses generated in that same period. This is why the expenses in the income statement are only those that occurred in the current period and expenses for future periods are put in the balance sheet.

You might be interested in
Under what scenario could fiscal policy make a recession even worse?
mr Goodwill [35]

Answer:

The correct answer is letter "A": If tax cuts are not evenly distributed across income groups.

Explanation:

Fiscal policy refers to the combined governmental decisions regarding a country's taxing and spending. The term fiscal policy is associated with British economist John Maynard Keynes (<em>1883-1946</em>) who believed governments should influence macroeconomic productivity levels. Though, it could be a trap if it is <em>not allocated correctly among different income groups</em>. Economies such as Brazil, for instance, have allocated higher taxes for low-income people creating <em>economic disparity</em>.

6 0
3 years ago
The balance of​ Morgan, Capital at the beginning of the year and the end of the year was $ 45,000 and $ 70,000​, respectively. T
Anna35 [415]

Answer:

$48,000

Explanation:

Given that,

Ending owner's equity = $70,000

Beginning owner's equity = $45,000

Owner's withdrawals = $23,000

There were no new capital contributions during the year.

Net income (loss):

= Ending owner's equity - Beginning owner's equity + Owner's withdrawals

= $ 70,000 - $ 45,000 + $ 23,000

= $48,000

Therefore, the net income for the year is $48,000.

6 0
3 years ago
What effect might the government have on​ oligopolies? In​ oligopolies, the government might A. promote competition with a paten
fenix001 [56]

Answer:

C. impose barriers to entry with a​ copyright, which allows only the government to supply a good or service.

Explanation:

  • The oligopolies is a market or industry where there exist small but large sellers and hence form an market competition and hence lead to higher prices to the consumers. As they have their market structures. Entry barriers include high investment and strong consumer liabilities.'
  • Thus governments can set barriers to entry of these firm as to market only those goods and services that the government recommend fit for the sales
3 0
3 years ago
Bramble's Bakery makes a variety of home-style cookies for upscale restaurants in the Atlanta metropolitan area. The company's b
jolli1 [7]

Answer:

$15.51 per Double chocolate almond supreme

Explanation:

Calculate the standard cost for a pound of Mama Fran's double chocolate almond supreme cookies.

1. Standard Material Cost (Ratio Denominator = 10 +  5  + 1 = 16)

Std. Mat Cost = 10 Ounces /16  * $0.80   +   5 Ounces /16* $6  + 1/16* $18

Standard Material Cost = $3.5 per Double chocolate almond supreme

2. Standard Direct Labor Cost

Std. Labor Cost = 1 /60 Hours * $12.7 per Hour + 7/60 Hour * $19 per Hour

Std. Labor Cost = $2.4283 per Double chocolate almond supreme

3. Standard Variable Overhead Cost

Std. Variable OH. Cost = 6/60 Hours * $35.8

Standard Variable overhead cost = $3.58 per Double chocolate almond supreme

4. Standard Fixed Overhead Cost

Std. Fixed Overhead per cake = 6/60 Hours * $60 per Hour

Standard Fixed overhead cost = $6 per Double chocolate almond supreme

Now Standard cost for a pound is calculated as under:

Standard cost for a pound = 2.9375 + 2.4617 + 3.70 + 6

Standard cost for a pound = $15.51 per Double chocolate almond supreme

8 0
3 years ago
The budget process involves doing all of the following except a. periodically comparing actual results with the goals b. establi
Sergio [31]

Answer:

d. dismissing all managers who fail to achieve operational goals specified in the budget

Explanation:

The budget, no matter how well it's done, It's a forecast.

Price can change without the company being able to intervene, the same goes for consumer demand, foreign currency rates changes, and other variables in the budget.

Having that in mind, the accounting can measure the variance and check the efficiency and price influence in the result below expected.

Therefore, dismiss immediately after not achieving a goal is not the purpose of a budget

7 0
3 years ago
Other questions:
  • Suppose that the city of Rentville sets a price ceiling of $800 a month on all apartments, although the market equilibrium rent
    10·1 answer
  • The _______ test asks the question: is the industry profitable or capable of being profitable?
    11·1 answer
  • What are high-risk loans?
    7·2 answers
  • Offshore Oil Exploration Partners (OOEP) has entered into a cooperative strategy with Malay Petroleum. The resulting documents a
    14·1 answer
  • What are some of the reasons businesses fail?
    6·1 answer
  • At the heart of every economic system is:
    5·2 answers
  • Bill is a construction worker who was laid off because the market for new homes has been adversely affected in the recession. bi
    6·1 answer
  • On June 30, 2009, Apricot Co. paid $5,000 cash for management services to be performed over a two-year period. Apricot follows a
    6·1 answer
  • What is the function of the audio tools on the Format contextual tab?
    12·2 answers
  • How does the targeting process in entrepreneurship differ from the targeting process in traditional marketing
    8·1 answer
Add answer
Login
Not registered? Fast signup
Signup
Login Signup
Ask question!