Why is real estate often a great investment?

A company acquires a subsidiary and will prepare consolidated financial statements for external reporting purposes. For internal

NemiM [27]

Answer:

It is a relatively easy method to apply.

Explanation:

When accounting for a subsidiary, equity method is followed, whenever the shareholding percentage is equal or more than 20%.

But here, the parent company uses, initial value method for internal reporting.

Under initial value method the value of investment in subsidiary is recorded at cost, and then adjusted at year end at fair value, this clearly shows the gain or loss at each year end from such investment as per market norms.

There is no statutory requirement to follow such initial value method for internal reporting.

The correct reason therefore, is:

It is a relatively easy method to apply.

7 0

4 years ago

What does it mean to set up an ""automatic deposit"" and why is this a good savings strategy?

Anna71 [15]

Answer:

It is an Eletronic Payment Method

Explanation:

An automatic deposit is a payment processing option where funds are deposited directly into the recipients' bank account. It is an electronic service applied in paychecks, tax refunds, and pensions. Individuals can set up such a service with their banks or employers.

As a saving strategy, an employee instructs the employer to make automatic payments to their savings account. The employee will decide the amount they want to save. The amount is deducted from their pay and send to their savings account. Business people can also instruct their bank to deduct a certain amount from the business account and send it to their savings account.

This strategy is suitable for saving because it's efficient. The amount meant for savings will not be available for other purposes. The automatic deposit system ensures the amount intended for saving is saved.

5 0

3 years ago

Insider trading is when people buy or sell stocks based on

stiv31 [10]

Answer:

B

Explanation:

Insider trading when you trade with non public information (you are an insider) and it can be illegal.

Wiki

Insider trading is the trading of a public company's stock or other securities based on material, nonpublic information about the company. In various countries, some kinds of trading based on insider information is illegal. This is because it is seen as unfair to other investors who do not have access to the information, as the investor with insider information could potentially make larger profits than a typical investor could make.

8 0

3 years ago

Read 2 more answers

Most new jobs in the United States will be in the____.

iVinArrow [24]

C! service producing industries.

3 0

3 years ago

Read 2 more answers

Which has a higher flow rate? 10 customers arriving over two hours or 10 customers arriving over three hours?

Tcecarenko [31]

The one that gives a higher flow rate is: 10 customers over 2 hours. The flow rate is 5 customers per hour.

Flow rate is defined as the number of flow units that pass through the business process per unit time.

The flow unit can be money, customers, products, parts, services, etc.

Example of flow rate is number of customers serviced per hour, number of parts produced per minute, etc.

From the definition, the flow rate can be expressed as:

Flow rate = number of flow unit / time interval

There are 2 scenarios in the given problem.

Scenario 1:

Flow unit = 10 customers

Time interval = 2 hours

Hence, the flow rate in scenario 1 = 10/2 = 5 customers per hour

Scenario 2:

Flow unit = 10 customers

Time interval = 3 hours

Hence, the flow rate in scenario 2 = 10/3 = 3.33 customers per hour

By comparing the above scenarios, the one that gives higher flow rate is scenario 1, 10 customers over 2 hours.