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
monitta
3 years ago
6

A draft, an instrument normally used in international commerce to effect payment, is also known as a letter of credit. True Fals

e
Business
1 answer:
user100 [1]3 years ago
4 0

Answer:

False

Explanation:

A draft is an instrument used in international trade issued by an exporter that instructs an importer to make a payment at a specific time.

It is also called a bill of exchange.

On the other hand a letter of credit is issued by a bank in behalf on an importer.

The letter of credit instructs the bank to make payment to the exporter when he presents relevant documents.

For example if an exporter ships goods the importer raises a letter of credit with terms that funds will be released when the exporter produces an invoice that shows importer has received goods.

So a letter of credit is different from a draft

You might be interested in
Brent must substantiate his travel and entertainment expenses. Which of the following is not required for documentation?A) compa
kotykmax [81]

Answer:

The correct option is A

Explanation:

The documentation for which is not required is the company expense report so Brent need not require to substantiate or provide the proof of the expenses of travel and entertainment in the expense report of the company. As the company expense report need particularly under the rules of the substantiation.

Therefore, the correct answer is that the company expense report is not needed for documentation.

6 0
3 years ago
On November 1, 2021, Taylor signed a one-year contract to provide handyman services on an as-needed basis to King Associates, wi
Blizzard [7]

Answer:

Taylor should recognize revenue in 2021 in the amount of $0.00

Explanation:

IFRS 15 Requires entity to recognise revenue WHEN the transfer of control of goods and services is made to the customer.

It is important to note that Control is transferred on an as-needed basis to King Associates

Tylor has not yet transfered any handyman services during 2021. Therefore no revenue is recognised as transfer of control of goods and services is made to the customer does not exist.

Only when handyman services are provided then the revenue is recognised in the year the servises are provided.

3 0
3 years ago
Read 2 more answers
Assume that in a traditional costing system that all the indirect costs are allocated based on direct materials. Calculate the d
Afina-wow [57]

Answer:

The question is missing the direct and indirect costs, however I will let you know how to calculate.

The costs will be given total for material, labor and overheads, along with this data a ratio in the form of a percentage will also be given for example material used in preparation of fresh bakery goods.

The amount of material will be multiplied by the percentage of material used in preparation of fresh bakery goods, the result amount will be the cost incurred for material used for the preparation of fresh bakery goods.

Explanation:

The question is missing the direct and indirect costs, however I will let you know how to calculate.

The costs will be given total for material, labor and overheads, along with this data a ratio in the form of a percentage will also be given for example material used in preparation of fresh bakery goods.

The amount of material will be multiplied by the percentage of material used in preparation of fresh bakery goods, the result amount will be the cost incurred for material used for the preparation of fresh bakery goods.

Follow this for all the cost heads provided.

6 0
3 years ago
If interest rates increase from 9 percent to 10 percent, a bank with a duration gap of 2 years would experience a decrease in it
Rasek [7]

The duration gap is calculated by subtracting the duration of the liabilities from the duration of the activity of the financial entities. Thus, in this case, the net worth of  1.8 percent of its assets.

<h3>What do you mean by Duration Gap?</h3>

Duration Gap refers to the term used by funds, banks, pensions, or many financial institutions to estimate the risk because of changed interest rates.

Also, if we have a negative duration gap means that the market value of equity will increase when interest rates rise.

Thus, in this case, If interest rates increase from 9 percent to 10 percent, a bank with a duration gap of 2 years would experience a decrease in its net worth of 1.8 percent of its assets.

Learn more about Duration gap here:

brainly.com/question/7276068

#SPJ1

8 0
3 years ago
Panther Pacific uses the net method of accounting for purchases and sales. The net method assumes that discounts are taken when
GalinKa [24]

Answer: The net method assumes that discount are taken when a purchase or sale of inventory is made on account.

Explanation:

An invoice is a document sent by the seller to the buyer showing the description of the goods bought, the quantity, and the price. In invoice prices are sometimes given subject to so much percentage cash discount. The cash discount is a percentage reduction from the quoted prices of goods.It is an allowance given by the seller to the buyer in order to encourage the buyer to pay promptly. The term of sale known as net date with discount is a process whereby goods bought by the buyer are not paid for immediately, but it is paid for at a later date.

The net method of accounting assumes that the buyer will make use of the opportunity provided by the cash discount given by the seller and pays promptly in order to enjoy the cash discount. For example 2/10 net 30, this means that the buyer will be given 2% discount if the buyer pays within ten days, Therefore, the net method assumes that discount are taken when a purchase or sale of inventory is made on account. Also in the net method the recording of purchase is done with the cash discount given to the buyer by the seller, while sales are usually recorded at the net price.

3 0
3 years ago
Other questions:
  • In all business messages, communicators should ideally aim to
    14·1 answer
  • You are selling a product on commission, at the rate of $1,000 per sale. To date, you have spent $800 promoting a particular pro
    11·2 answers
  • High Middle Ages agriculture included all of these features EXCEPT Select one: a. increased output by increasing the amount of l
    13·1 answer
  • Management of Mittel Rhein AG of Köln, Germany, would like to reduce the amount of time between when a customer places an order
    11·1 answer
  • State University sold all of its basketball tickets to its students for 15 home games on September 30 for​ $1,200,000 (basketbal
    7·1 answer
  • How does money make the exchange process easier
    6·1 answer
  • Which market represents a major source of debt financing for the​ world's governments, international​ organizations, and larger​
    11·1 answer
  • The ability of an interval estimate to contain the value of the population parameter is described by the
    12·1 answer
  • Savings accounts can be considered safe because they are _____.
    10·1 answer
  • An employee time ticket is an hour-by-hour summary of the employee’s activities throughout the day. True or false?.
    9·1 answer
Add answer
Login
Not registered? Fast signup
Signup
Login Signup
Ask question!