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Gala2k [10]
3 years ago
5

Why is there a disagreement among financial analysts and finance professors over applying accrual accounting rules to raw cash f

low data
Business
1 answer:
Firlakuza [10]3 years ago
3 0

Based on contemporary issues, the reason for the disagreement among financial analysts and finance professors over applying accrual accounting rules to raw cash flow data is that "<u>the disagreement is over the complexity of accrual accounting rules for a company.</u>"

<h3>What are accrual accounting rules?</h3>

Accrual accounting rules are the accounting principle that ensures transactions are recorded when it occurs, with or without receiving the actual cash flows for the transaction.

However, despite the many merits of accrual accounting, its application is more complex than most smaller businesses don't want to use it.

Hence, in this case, it is concluded that the correct answer is "<u>the disagreement is over the complexity of accrual accounting rules for a company."</u>

Learn more about accrual accounting here: brainly.com/question/25817056

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Economies of scale are created by greater efficiency of capital and by:
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<span>Economies of scale are created by greater efficiency of capital and by increased specialization of labor. This means workers learn and perform labor duties that are specialized and narrow in focus. Specialization of labor ultimately leads to an increase in production.</span>
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4 years ago
During the a recession, the government of Cashland flooded several banking, financial services, and insurance firms with governm
RSB [31]

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The trend of mostly capitalist nations to move toward socialism.

6 0
3 years ago
An insurance company is obligated to pay a policyholder $500 in one year and $2,000 in 3 years. The insurance company has decide
vladimir2022 [97]

Answer:

The total cost of establishing the portfolio is $2054.95.

Explanation:

The present value of a bond is given as

PV=FV\times\dfrac{1}{(1+r)^n}

For 1 year zero-coupon bond is

  • FV is 500
  • r is 7% or 0.07
  • n is 1

So the value is

PV=FV\times\dfrac{1}{(1+r)^n}\\PV=500\times\dfrac{1}{(1+0.07)^1}\\PV=500\times\dfrac{1}{(1.07)}\\PV=500\times0.9346\\PV=\$ 467.29

Similarly, for 3 years zero-coupon bond is

  • FV is 2000
  • r is 8% or 0.07
  • n is 3

So the value is

PV=FV\times\dfrac{1}{(1+r)^n}\\PV=2000\times\dfrac{1}{(1+0.08)^3}\\PV=2000\times\dfrac{1}{(1.08)^3}\\PV=2000\times0.7938\\PV=\$ 1587.66

So the total cost is

Total Cost=Cost of  1-year zero-coupon bond+Cost of 3-years zero-coupon bond

Total Cost=$ 467.29+$ 1587.66

Total Cost= $ 2054.95

So the total cost of establishing the portfolio is $2054.95.

6 0
3 years ago
When an advertiser cites technical information, such as the results of laboratory studies, in an advertisement, a(n) _____ style
Dominik [7]

Answer:

Scientific/technical evidence

Explanation:

When an advertiser cites technical information, such as the results of laboratory studies, in an advertisement, a scientific/technical evidence style of execution is being used. This information is much important for the customers for certain products and services. For example, Toothpaste making companies use to highlight that their toothpaste has been approved by certain dental associations and some highly useful and recommended chemicals also present in their toothpaste which are very useful for the protection of teeth and gums. Likewise, when shampoo making brands highlight use of certain chemicals in their ads etc.

3 0
3 years ago
Seth's Computer Repair has maintained a competitive advantage based on its thorough and professional service, reasonable pricing
Whitepunk [10]

Answer:

The correct answer is letter "B": core rigidity.

Explanation:

A competitive advantage is an advantage that a company has over its competitors. It could be a <em>comparative advantage</em> if the company had a lower opportunity cost in its production process or a <em>differential advantage</em> if the product produced by the company has a unique feature.

<em>The big failure of Seth's Computer Repair depends on not listening to its internal consumers: their workers. Employers may provide useful input to businesses that could influence the direction of the operations. For that reason, Seth's lost part of its customers when a new competitor entered the market because they kept implementing the same </em><u><em>rigid</em></u><em>, outdated approach that had worked before.</em>

3 0
3 years ago
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