Answer:
Part 2 Which of the following transactions does not involve an accrual?
- Recording the pre-payment of two years' worth of insurance. THIS IS AN ASSET EXCHANGE TRANSACTION SINCE IT CREATES AN ASSET ACCOUNT, PREPAID INSURANCE, THAT DECREASES AS TIME PASSES
Part 3 The recognition of an expense may be accompanied by which of the following?
- An increase in liabilities. EXPENSES ARE NOT ALWAYS PAID IMMEDIATELY, FOR EXAMPLE UTILITIES, THEY FORM A SHORT TERM LIABILITY UNTIL PAID.
Part 4 The adjusting entry to recognize work completed on unearned revenue involves which of the following?
- A decrease in liabilities and an increase in equity. UNEARNED REVENUE IS A LIABILITY ACCOUNT, AND AS THE WORK IS COMPLETED, REVENUE SHOULD INCREASE, THEREFORE EQUITY WILL INCREASE.
Part 5 Which of the following would cause net income on the accrual basis to be different from (either higher or lower than) "cash provided by operating activities" on the statement of cash flows?
- Paid advertising expense. IF THE COMPANY PAID ADVERTISING EXPENSES ON ACCOUNT.
Explanation:
Answer:
A bad deal
Explanation:
A bad deal is one in which the benefit to the buyer are far less than the cost incurred in making the purchase. The marginal utility derived from consuming the product is less than the marginal cost.
In this scenario Luke felt that the price Obi-Wan agrees on for passage to Alderon is too high and is not commensurate to the benefits.
This is an example of a bad deal between Obi-Wan and Hans Solo.
A good deal in the other hand is one where the purchaser is satisfied and the seller recieves a fair price for the product.
<span>In this case, the transfer could be considered voidable by the trustees. This is because Shirley did not receive the fair value for the car, but simply received a negligible amount as a way of trying to defraud her creditors. In this case, the transfer could be voided.</span>
Answer:
C
Explanation:
Frictional unemployment: the period of time a person is unemployed from the period he leaves his current job and the time he gets another job. Meredith is searching for a job. Thus she is frictionally unemployed.
structural unemployment is an unemployment that occurs as a result of changes in the economy. These changes can be as a result of changes in technology, polices or competition. Structural unemployment tends to be permanent.
There seems to be a reduction in the demand for steel workers. Thus, Julie is structurally unemployed
Answer:
c) managerial and marketing knowledge developed at home can be used abroad with low marginal costs.
Explanation:
Low marginal cost represents low cost associated with the functioning of bank at low cost for each additional transaction of business. This basically provides for low costing.
Since the bank is able to exercise the low marginal cost in domestic market it expects to have a low marginal cost in international market also with the expertise of management.
As the bank feels confident with the management that it would be able to keep the cost low even in international domains thus, it expects low marginal cost in international domains also.
