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
olga nikolaevna [1]
3 years ago
14

Indicate whether the following statements about the conceptual framework are true or false. (a) The fundamental qualitative char

acteristics that make accounting information useful are relevance and verifiability. select an option (b) Relevant information only has predictive value, confirmatory value, or both. select an option (c) Information that is a faithful representation is characterized as having predictive or confirmatory value. select an option (d) Comparability pertains only to the reporting of information in a similar manner for different companies. select an option (e) Verifiability is solely an enhancing characteristic for faithful representation. select an option (f) In preparing financial reports, it is assumed that users of the reports have reasonable knowledge of business and economic activities. select an option
Business
1 answer:
Novosadov [1.4K]3 years ago
6 0

Answer:

True or False Statements about the conceptual framework:

(a) False: The fundamental qualitative characteristics that make accounting information useful are relevance and faithful representation, which suggest materiality and completeness respectively.

(b) False: Relevant information must also be material in a financial statement user's decision, in addition to having predictive and confirmatory values.

(c) False:  It is information that is relevant that is characterized as having predictive or confirmatory value, and not information that shows faithful representation.

(d) False: Comparability also refers to comparisons of a firm over time (which is appropriately described as consistency).  This is in addition to the similar reporting of information by different companies.

(e) False: Enhancing characteristics do not relate only to faithful representation but also to relevance.

(f) True.

Explanation:

Faithful representation implies completeness.  Relevance means that the disclosure will attract important consideration and is material to the matter.  Therefore, users of financial reports base their decisions on relevant information and not irrelevant details.

You might be interested in
A company issues bonds with a $100,000 par value, an 8% annual contract rate, semiannual interest payments, and a five year life
Juli2301 [7.4K]

Answer:

                                          Dr.           Cr.

Cash                            $107,850

Bond Payable                               $100,000

Premium on Bond Payable          $7,850

Explanation:

When the Bond is issued on the price more than its face value, the exptra amount from face value received is called Bond Premium.

Bond Face value = $100,000

Issuance price = $107,850

Premium Paid =$107,850 - $100,000 = $7,850

3 0
3 years ago
Sid Glasses recently paid a dividend of $1.70 per share, is currently expected to grow at a constant rate of 5% and has a requir
Sergeu [11.5K]

Answer:

Sid should buy the company

Explanation:

given data

dividend = $1.70 per share

constant rate = 5%

required return = 11%

growth rate increase = 6.5%

increasing the required return = 12%

solution

we get here intrinsic value of the company in both by use Gordon Growth Model that is here present value

PV = ( Do × (1 + g) ) ÷ (r - g)   .......................1

here Do is current dividend and g is growth rate and r is required rate of return

so here put value in current case

PV = ( 1.7 × (1 + 0.05) ) ÷  (0.11 - 0.05)

solve it we get

PV = $29.75    .............................2

and

now put value for buying company case

so

PV = ( 1.7 × ( 1 + 0.065)) ÷  ( 0.12 - 0.065)

solve it we get

PV = $32.92     ..............................3

so Sid should go ahead buying the company

8 0
3 years ago
On December 31, 2021, Coolwear Inc. had balances in Accounts Receivable and Allowance for Uncollectible Accounts of $47,500 and
olchik [2.2K]

Answer:

Bad debt expense for 2022 would be $2,950.

Explanation:

Bad debt expense for 2022 can be calculated as follows:

Bad debt expense for 2022 = Allowance for uncollectible accounts of  at December 31, 2022 - (Balances in Allowance for Uncollectible Accounts on December 31, 2021 - Accounts receivable written off) = $4,300 - ($2,000 - $650) = $2,950

Therefore, Bad debt expense for 2022 would be $2,950.

8 0
2 years ago
Levelor Company's flexible budget shows $10,710 of overhead at 75% of capacity, which was the operating level achieved during Ma
Salsk061 [2.6K]

Answer:

The correct answer is $473 (Unfavorable).

Explanation:

According to the scenario, the given data are as follows:

Actual overhead = $11,183

Budgeted Overhead = $10,710

So, we can calculate the controllable variance by using following formula:

Controllable variance  = Actual overhead - Budgeted overhead

By putting the value, we get

Controllable variance  = $11,183 - $10,710

= $473 ( Positive shows unfavorable)

= $473 (unfavorable)

3 0
3 years ago
Productivity may best be defined as
AleksandrR [38]
<span>The answer is C. Productivity is the ratio of outputs to inputs. This answer is correct because productivity is a measure of efficiency, and is not a measure of quantity, profit (revenue), or quality. Productivity is the measure of effectiveness in converting inputs to outputs.</span>
3 0
3 years ago
Read 2 more answers
Other questions:
  • In the Five-Forces model, conditions under which a supplier group can be powerful include all the following EXCEPT: a. readily a
    5·1 answer
  • Increasing opportunity costs occur along the ppf because:
    10·1 answer
  • Ginger is a United States citizen who paid the following foreign income taxes: $10,000 tax paid to England on consulting fee inc
    9·1 answer
  • The cost of capital: a. is the price of borrowing money, which is the rate of return that borrowers must pay investors. b. tends
    8·1 answer
  • What is the standard for the protection of free speech guaranteed by the First Amendment?
    15·1 answer
  • Bunnell corporation is a manufacturer that uses job-order costing. on january 1, the company’s inventory balances were as follow
    8·1 answer
  • Which one of the following risks can be progressively eliminated by adding stocks to a portfolio?
    12·1 answer
  • Most labor economists believe that the supply of labor is a. less elastic than the demand, and, therefore, firms bear most of th
    14·1 answer
  • Companies that are concerned with boosting workplace morale, maximizing employees' productivity and creativity, and motivating e
    12·1 answer
  • Price discrimination is not viable if consumers can resell the products they purchase. true or false
    11·1 answer
Add answer
Login
Not registered? Fast signup
Signup
Login Signup
Ask question!