Which organization oversees GAAP for governmental organizations?

Tell whether the statement is TRUE or FALSE. Deregulation always leads to lower prices for the consumer.

SVEN [57.7K]

FALSE. Deregulation allows vendors or sellers to set individual prices with no regulation, therefore more likely to set higher rates.

5 0

3 years ago

January 1, 2021, Woody Forrest Corporation granted executive stock options to purchase 30,000 of its common shares at $7 each. T

Anton [14]

Answer:

169,000

Explanation:

Calculation to determine what The number of shares to be used in computing diluted earnings per share for the quarter is:

First step is to calculate the amount assumed to be exercised

Exercised amount= 30,000*$7 / $15avg

Exercised amount= 14,000

Second step is to calculate the Net

Net=30,000-14,000

Net= 16,000

Now let calculate The number of shares to be used in computing diluted earnings per share

Using this formula

Number of shares=Outstanding+Net

Let plug in the formula

Number of shares=153,000 +16,000

Number of shares= 169,000

*diluted eps=$28,000 /169,000

Therefore The number of shares to be used in computing diluted earnings per share for the quarter is: 169,000

8 0

2 years ago

Machinery was purchased for $460000 on January 1, 2022. Freight charges amounted to $15000 and there was a cost of $34000 for bu

Andrews [41]

Answer:

The amount of accumulated depreciation at December 31, 2023 = $88,800.

Explanation:

Determining the actual acquisition cost.

The actual acquisition cost = Purchase value + freight charges + Installation costs.

The actual acquisition cost = 460,000 + 15,000 + 34,000.

The actual acquisition cost = $509,000.

Determining the depreciable cost.

The depreciable cost = acquisition cost - Salvage value.

The depreciable cost = 509,000 - 65000.

The depreciable cost = $444,000.

Determining annual depreciation expense.

Annual depreciation expense = depreciable cost / number of years.

Annual depreciation expense = 444,000 / 10.

Annual depreciation expense = 44,400.

Determining the accumulated depreciation .

The accumulated depreciation = annual depreciation expense × number of years.

The accumulated depreciation = 44,400 × 2.

The amount of accumulated depreciation at December 31, 2023 = $88,800.

6 0

3 years ago

Suppose there are only two producers of aircraft in the world, AirCraft in the United States and AirEurope in the European Union

Jlenok [28]

Answer:

1. AirEurope should produce if it wants to maximize its profit.

2. False

Explanation:

New payoffs after subsidy:

Aircraft/ AirEurope Produce Not Produce

Produce -3 , 6 75 , 0

Not Produce 0 , 74 0 , 0

With a $9 million subsidy, regardless of whether Aircraft produces or not, AirEurope should produce if it wants to maximize its profit.

The statement is false (Aircraft would earn a negative payoff if it enters).

8 0

2 years ago

In the equation of exchange, M x V = P x Q, the P represents ___________________.

Bogdan [553]

Answer:

P in the equation represents Price level

Explanation:

The equation above is referred to as the equation of exchange.

M = money supply, V= velocity of money, P= price level and Q= real output (real GDP)

P × Q gives the nominal GDP while M×V is the effective money supply.

The total value of goods and services available in the economy (represented by the nominal GDP) is equals to the total amount of money available to purchase them (the effective money supply.

The velocity of money is the rate at which money been is used or spent for transaction purposes in the economy. It is assumed to be constant.

For example, If there exist only a $1000 note in the economy, this amount just needs to be spent once to purchase a total nominal GDP of $1000. However, if there exist just one $500 note, then it means the $500 will need to be spent 2 times to purchase the total value of goods worth $1000. The 2 is the velocity of money

This equation is also used to explain the concept of the quantity theory of money.

The theory states that if an economy is operating at the full employment level, an increase in money supply will not impact the real GDP rather it will drive up the price level up. This idea forms the basis of the position of some economists that money supply drives inflation

The assumptions of the theory are as follows:

The velocity of money is constant

The the economy is at the full employment output. This implies that the economy is using all of its productive resources efficiently

3 0

3 years ago