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Kruka [31]
3 years ago
6

There are some liabilities, such as income tax payable, for which the amounts must be estimated. Failure to estimate these amoun

ts and record them would be a violation of the a.practice of consistency. b.concept of historical cost. c.convention of conservation. d.matching principle.
Business
1 answer:
LenaWriter [7]3 years ago
3 0

Answer: D. Matching principle

Explanation:

The matching principle simply states that organizations or businesses should recognize both the revenues that the company makes and their related expenses that are incurred by the company in same accounting period.

The main idea behind the matching concept is so that earnings that are made by a business will not be misstated.

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Answer:

E. He is not accounting for the new consumers who will benefit from being able to consume the product.

Explanation:

With the increase in price of product, Demand equals Supply i.e., no shortage exists in the market. Thus, the equilibrium level is achieved at price of $ 10. Further, The most important advantage of increasing the price in the given question is that shortage which exists earlier no longer remains now which will benefit all the consumers including some new consumers as they will able to get the sufficient number of quantities of product for the consumption now. Financial Head of Firm is ignoring the new consumers who will benefit from able to consume the product.

Therefore, He is not accounting for the new consumers who will benefit from able to consume the product.

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Insert A new field... C.

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4 years ago
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7 0
3 years ago
A common size income statement:_______.
yulyashka [42]

Answer:

The correct answer is letter "B": expresses items as a percentage of net sales.

Explanation:

A Common Size Income Statement reflects a percentage of net sales for each account. Common size income statements are basic tools that a business owner may use to compare the performance of his company to rivals or to compare the company to industry averages. Each line in this type of income statement is displayed as a percentage of revenue or sales and the amounts are compared to past performances which allow to observe the different values easily.

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Suppose Kenji decides to buy 100 shares of NanoSpeck stock.Which of the following statements are correct? A) The price of his sh
Ivahew [28]

Answer:

A) The price of his shares will rise if NanoSpeck issues additional shares of stock.

C) Expectations of a recession that will reduce economy-wide corporate profits will likely cause the value of Kenji's shares to decline.

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