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3 years ago

What is the effect of an accrued expense (such as salaries expense) adjustment on the income statement and the balance sheet?

Business

1 answer:

CaHeK987 [17]3 years ago

7 0

Answer: A. Expenses are increased

B. Net income is reduced

E. A liability (such as salaries payable) will be increased.

Explanation:

An accrued expense is an expense that is witten when it was incurred even before it's eventually paid. e.g wages payable.

The effect of an accrued expense such as salaries expense adjustment on the income statement and the balance sheet is that there'll ba na increase in expense. Also, there'll be an increase in liability such as the salaries payable. Since there is an increase in liability, thus will bring about a reduction in the net income.

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A firm is producing an output such that the benefit from one more unit is more than the cost of producing that additional unit.

Burka [1]

Losing they're investment dollars. calculating the cost of production.

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3 years ago

The cost of sensors used in making digital cameras falls, while a successful ad campaign makes digital cameras more fashionable.

Wewaii [24]

Answer: Indeterminate; Increases

Explanation:

We know that sensors are used as an input in the production of digital cameras. So, if the price of sensors falls, as a result cost of production of digital cameras also falls. This will increase the supply of cameras and shift the supply curve rightwards.

At the same time successful ad campaign will make the digital cameras more fashionable and increases the demand for digital cameras. This will also shift the demand curve rightwards.

Hence, there is an increase in the equilibrium quantity but effect on equilibrium price is indeterminate because it will be depend upon the magnitude of the shift of demand and supply curve.

7 0

3 years ago

Because transit tends to be congested in this country, many people prefer to shop in their local neighborhoods. They tend to go

marta [7]

Answer: A few large flagship stores located in big cities; High-end pricing( Option A and D)

Explanation:

Because the people in this country usually shop close to their home, it would not be wise for a business to opt for few large flagship stores rather than a larger number of the smaller stores.

It would also be unwise for such business to sell mainly high-end products because the shoppers are used to good deals and haggling. Such company would be smart, to sell the products individually, because bulk purchases would make little sense for people that make frequent trips to the store.

Also, in a country with a congested transportation, an easy-to-access store locations will be important and having product experts on the floor who answers the questions of customers’ would appeal to network-oriented local culture.

3 0

3 years ago

Last month, Vern’s Assembly Department had a unit materials cost of $4.00 and a unit conversion cost of $5.00. The department tr

Mamont248 [21]

Answer:

The total cost of the department’s ending work in process inventory is $684,000

Explanation:

The computation of the total cost is shown below:

= Material cost + conversion cost

where,

Material cost = (Transferred units + ending work in progress) × material cost per unit

= (68,000 units + 12,000 units) × $4

= $320,000

Conversion cost = (Transferred units + ending work in progress × percentage of completion) × material cost per unit

= (68,000 units + 12,000 units × 40%) × $5

= $364,000

Now put these values to the above formula

So, the value would equal to

= $32,000 + $364,000

= $684,000

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3 years ago

Just like models constructed in other areas of science, economic models

Alexandra [31]

Answer:

a. Incorporate assumptions that contradict reality

Explanation:

Economics also has assumptions in the models/theories that contradict reality.

7 0

3 years ago