Answer: 1. D) Assets are understated
2. D) Car dealers
Explanation:
1. The shipping costs to bring Inventory into a business are known as Carriage Inwards. This amount is to be debited with the Inventory as it is considered to be part of the cost of acquiring the inventory. By not putting this cost with the inventory, ABC is undervaluing the inventory account which is an Asset account. The Assets are therefore understated.
2. The Specific Identification Method of inventory valuation is based on each individual unit purchased or sold. It does not group items and tracks each item from the moment it is purchased to the moment it is sold so the cost of the specific inventory is known. This method is used more often by businesses that deal with easily identifiable items such as Jewellers and Car dealers because each car is big enough to be tracked individually.
Answer:
Benford's Law predicts the frequency of leading digits using base-10 logarithms which predict that specific frequencies will decrease from 1 to 9.
It predicts that in a large set of data, the leading digits will be as following:
<u>Leading number</u> <u>Probability of appearance</u>
1 30%
2 18%
3 12%
4 10%
5 8%
6 7%
7 6%
8 5%
9 4%
Benford's Law is used by forensic accountants since people who fabricate data figures tend to distribute the leading digits uniformly. If you compare the distribution of the leading digits of the data sample with the expected distribution using Benford's Law you can detect any anomaly (e.g. if number 3 shows up 30% of the time instead of around 12%).
Mercury hope i helped #im a beast
Answer:
See the explanation section
Explanation:
Organizations calculate various costs with the help of the weighted average cost of capital. It is a significant cost measurement system through which organizations can calculate the cost of debt after tax, cost of new equities, cost of existing equities, and cost of preferred shares. WACC can be a benchmark for the organization. A firm needs to know those costs because it can make sure that whether those projects are running smoothly to continue or running worse to reject.
Another significant cost measurement method is the net present value. With the help of NPV, a business can make sure about a project to accept it or reject it.
Answer:
A business transaction is a financial transaction between two or more parties that involves the exchange of goods, money, or services. Business transactions can be as simple as a cash purchase or as complex as a long-term service contract .
Explanation:
