module 4, exam 3 part 2

Which of the following is NOT an example of a contingency? Salaries payable to top management Potential expense related to repair or replace products sold under warranty Note receivable sold with recourse An amount potentially payable to settle a lawsuit All the other alternatives are contingencies

N1

None

9) A ______________ factor of credit policy effects occurs when a firm which institutes a credit policy finds it must bear the cost of some of its customers defaulting on their obligations.

Question 6 of 18 Which of the following is not a characteristic of receivables? Select the correct response: OThe holder has a demonstrated positive intention and ability to hold them to maturity. O The holder can recover substantially all of its investment (unless there has been credit deterioration). O They have fixed or determinable payments. They are not quoted in an active market. ( Previous

A mortgage agent has been charged by FSRA of providing false or misleading information to a client. Given this scenario which of the following is a potential penalty? Select one: a. Up to a $200,000 fine b. Up to a $25,000 fine c. Up to a $500,000 fine d. Up to a $100,000 fine

Introduction: Warranty liabilities are a crucial aspect of financial reporting, representing the estimated future costs that a company expects to incur related to warranties provided with its products or services. Proper accounting for warranty liabilities is essential for accurate financial statements and ensuring transparency for investors and stakeholders. Background: Let's consider XYZ Electronics, a leading manufacturer of consumer electronics. The company sells various electronic gadgets with warranties ranging from 1 to 3 years, depending on the product. To account for warranty liabilities, XYZ Electronics follows the accrual basis of accounting, recognizing the estimated future costs associated with warranties at the time of sale. Recording Warranty Liabilities: When a product is sold, XYZ Electronics estimates the future warranty costs based on historical data, industry standards, and its own experience with product failures. The estimated warranty expense is then recorded as…

Consumer credit laws have been implemented over the years to protect consumers against creditor abuses. Match the following consumer credit issues with the appropriate consumer credit​ law: a. Controls debt collection procedures and practice. b. Prohibits credit discrimination because of​ race, age, or national origin. c. Establishes the APR and requires the disclosure of all​ credit-related costs. d. Requires credit contracts to be written in plain English. e. Requires a​ "rejection letter" or written explanation of any adverse action taken. f.  Limits marketing of credit cards to the mailing of application packets and prohibits the mailing of unrequested credit cards. g. Allows payment for defective goods purchased with a credit card to be legally withheld. h. Limits fraudulent card use to​ $50 payment by the cardholder. i. Ensures that divorced individuals can receive credit. j. Provides annual access to one free credit report from each of the major credit bureaus. k. Reduces credit…

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When a customer is delinquent on paying a notes receivable, your company has the option to continue to attempt collection or sell the debt to a collection agency. Research the benefits and challenges with each of these options and in a short essay, answer the following questions. Required part B What are the benefits and challenges of continuing to attempt collection yourself? What are the benefits and challenges of selling debt to a collection agency? If you had a dishonored notes receivable, which option would you select and why? Would you weight certain benefits or challenges differently when making your selection? How?

Banks may deny creditworthy borrowers loan requests if a. they are non-corporate entities b. they are on late on paying taxes c. the loan is too risky d. they are individuals

Which of the following would be considered reasons for mortgage fraud? Select all that apply. Responses overstated your income overstated your income understated your debts understated your debts lied about apartment rental lied about apartment rental lied about employment lied about employment

TRUE OR FALSE 1) A contract procured by fraud during face to face negotiations with an impostor is void. 2) A contract procured by fraud by mail with an impostor is voidable. 3) A usurious loan is a valid loan.

A3 Finance Q: A producer has no obligation to a consumer under the Model Regulation related to any annuity transaction A. The consumer is a friend of the producer B. No recommendation is made C. The recommendation is approved by the insurer