Answer:
Explanation:
On July 1, 2019, Cullumber Company pays $12,000 to Kalter Insurance Co. for a 3-year insurance contract.
For Cullumber Company:
July 1 Debit:Prepaid Insur $12000
Credit: Bank. $12,000
Being payment for prepaid Insurance.
Dec 31. Credit:prepaid insur $2,000
Debit:Insurance exp $2,000
Being insurance expenses for the year.
For Blossom Company:
July 1 Credit:Unearned Revenue $12000
Debit: Bank. $12,000
Being unearned revenue on Insurance.
Dec 31. Debit:unearned revenue $2,000
Credit: Revenue $2,000
Being insurance revenue for the year.
The expenditure method is the most widely used approach for estimating GDP, which is a measure of the economy's output produced within a country's borders irrespective of who owns the means to production. The GDP under this method is calculated by summing up all of the expenditures made on final goods and services.
Explanation:
The long-running debate between the ‘rational design’ and ‘emergent process’ schools of strategy formation has involved caricatures of firms' strategic planning processes, but little empirical evidence of whether and how companies plan. Despite the presumption that environmental turbulence renders conventional strategic planning all but impossible, the evidence from the corporate sector suggests that reports of the demise of strategic planning are greatly exaggerated. The goal of this paper is to fill this empirical gap by describing the characteristics of the strategic planning systems of multinational, multibusiness companies faced with volatile, unpredictable business environments. In-depth case studies of the planning systems of eight of the world's largest oil companies identified fundamental changes in the nature and role of strategic planning since the end of the 1970s. The findings point to a possible reconciliation of ‘design’ and ‘process’ approaches to strategy formulation. The study pointed to a process of planned emergence in which strategic planning systems provided a mechanism for coordinating decentralized strategy formulation within a structure of demanding performance targets and clear corporate guidelines. The study shows that these planning systems fostered adaptation and responsiveness, but showed limited innovation and analytical sophistication
