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galina1969 [7]
2 years ago
9

Hart Technology must accrue a loss contingency. The amount of the loss can be reasonably estimated within a range of outcomes. O

f these outcomes, no single amount within the range is a better estimate than any other amount, but the attorneys have determined that the most probable amount to be paid by Hart Technology would be the minimum amount. What amount of loss accrual should Hart recognize
Business
1 answer:
Shtirlitz [24]2 years ago
3 0

The amount of loss that should be recognized is the <u>minimum amount </u><u>of the </u><u>range. </u>

<u />

<h3>Recording a Contingent liability </h3>
  • It should only be recorded if the loss is probable and the amount to be incurred as liability can be reasonably estimated.
  • If neither of the above are possible, the loss would be recorded as a footnote.

US GAAP rules state however that if the loss is probable and the amount is in a range, the amount to be recorded as a contingent liability should be the minimum of the range.

In conclusion, they should recognize the minimum amount.

Find out more on contingent liabilities at brainly.com/question/17371330.

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In February of each year, the Carlton Hotel holds a very popular wine tasting event. Tickets must be ordered and paid for in adv
vodka [1.7K]

The realisation principle indicates that the revenue from these ticket sales should be recognised in the period in which the Wine tasting is held.

Explanation:

It complies with Revenue Recognition Accounting Policy 9. It will be a burden for the organization, until the moment services are provided for which the money is taken.

Revenue recognition is a GAAP which defines the specific conditions under which revenue can be recognized. Revenue recognition is a generally accepted concept of accounting. In fact, when the crucial event happened, profits are remembered and the value of the profit for the company is tangible.

For Example, when a product is sold, the profit accounting is relatively straightforward, and the customer pays the products. Nevertheless, the fact that a company takes a long amount of time to manufacture a commodity will confuse accounting. Consequently, there are a number of situations in which the concept of acknowledgment of profit may be excepted.

8 0
3 years ago
How would you describe the savings rate in america compared with other industrialized countries?
Natasha_Volkova [10]
United States’ savings rate is only around 10%, much lower than any other countries. There's some reasoning behind it. In fact, countries with the highest savings rates weren’t necessarily the countries with the highest GDPs. GDP os US is $56,300 per capita but their household savings rate of just 4.9%. Also, in Hungary their GDP is $26,000 while their savings rate of 9.0%. This implies that the money they have isn't place on one nest only or put to savings, rather allocated to a much more important sectors. We should not forget taking into account their purchasing power parity, the rate a currency would have to be converted into another to buy the same amount of goods and services of the country. 
6 0
3 years ago
While advocates of a market-oriented economy tend to argue that consumers benefit substantially when firms seek short-term profi
ELEN [110]

Answer: socially wasteful

Explanation:

Product differentiation is when a product is being distinguished from similar products in order to make it more appealing and therefore drive consumers choice.

It should be noted that critics of market-oriented economies may argue that product differentiation is socially wasteful.

4 0
3 years ago
a a perfectly competitive industry faces a horizontal straight line demand curve whereas a monopoly faces a downward sloping dem
Leya [2.2K]

It is true that a perfectly competitive industry faces a horizontal straight line demand curve whereas a monopoly faces a downward sloping demand curve.

<h3>What is competitive market?</h3>

A perfect competitive market has a straight line graph on the demand of goods and services this means that the goods are sold at the market price. Monopoly market price are not regulated hence the curve is not straight.

Therefore, It is true that a perfectly competitive industry faces a horizontal straight line demand curve whereas a monopoly faces a downward sloping demand curve.

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5 0
2 years ago
You are using earned value analysis to track your project's progress. In your project, earned value is higher than planned value
Inessa [10]

In your project, the earned value is greater than the planned value. This means the project is ahead of schedule and under budget.

<h3>What is project management?</h3>

It is the set of strategies and methods used by the project leader so that all stages of the project occur as planned, that is, techniques for achieving the project objectives, reducing negative risks and using the stipulated budget and schedule.

Therefore, it is essential that the project manager is monitoring all stages of the project, reducing unnecessary costs and integrating the team to increase productivity and meet the schedule.

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5 0
2 years ago
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