Companies that use OSD can deduct the cost of sales or the cost of services. Is it true or false

Q: Why Sales revenue does not include the residual value?

A: The residual value, also known as salvage value, is the estimated value of a fixed asset at the end…

Q: How did they get the selling and administrative expense (not traced

A: Activity based costing is method of manufacturing overhead allocation. Under this costing method…

Q: Which of the following accounts is an example of a contra-asset? A) Cost of Goods Sold B)Sales…

A: CONTRA ASSETS    contra asset account is a type of asset account where the account balance may…

Q: “Cost and price information play no role in negotiated transfer prices.” Do you agree? Explain.

A: Disagree with the statement “Cost and price information play no role in negotiated transfer prices”.

Q: Explain why proponents of LIFO argue that it provides a better match of revenue and expenses. In…

A: "LIFO" stands for last-in, first-out, meaning that the recently purchased inventory items are…

Q: Why do you think factoring commission is collected upfront ?

A: By factoring, a company can obtain the short-term cash it needs by selling its accounts receivable…

Q: Why wouldn't a service business have a "Sales revenue" account?  They are just selling their…

A: THE REVENUE IS THE FIRST SECTION OF AN INCOME STATEMENT AND IT CONTAINS BOTH THE REVENUE GENERATED…

Q: Define how costs of goods and other costs such as taxes contribute to the performance besides sales?

A: Performance of the business is usually measured by the ability of the company to generate the net…

Q: Gross income derived from business shall be equivalent to gross sales less sales returns, discount…

A: Sales return: when the sold item being returned by the customer to the seller. It is known as sales…

Q: How does Dropbox apply GAAP to revenue recognition? Explain and give examples.

A: Generally Accepted Accounting(GAAP) GAAP are a set of rules the encompass the details, complexities…

Q: ompany can not rely on net income as a valid measure to pay fixed charges

A:

Q: Why proponents of LIFO argue that it provides a better match of revenue and e expenses? In what…

A: Introduction:- FIFO and LIFO accounting are inventory management and financial accounting procedures…

Q: Revenue recognition in the Xerox case called for determining the stand-alone selling price for each…

A: Revenue recognition: The revenue recognition principle is an accounting principle that specifies the…

Q: Why might a company choose not to use revaluation accounting?

A: Revaluation accounting is a method to revalue non current assets of the companies as per fair value…

Q: How does EVA differ from accounting profit?

A: Introduction: Economic value added is the sum of net earnings over capital costs. EVA corresponds to…

Q: One such issue is the Sale with Right of Return. Discuss how do you recognize revenue when the…

A: Revenue Recognition: Revenue recognition is a bookkeeping rule that states that income should be…

Q: Choose the best answer. 1.Under a consignment arrangement, the consignor recognizes net revenue…

A: Note - First four parts are being answered. Please post a separate question for balance parts.…

Q: Selling expenses are subtrac

A: True.

Q: there no profit sharing ratio for the net income distribution board?

A: Partnership is a aggreement between two or more persons to operate a business in consideration of…

Q: Why do proponents of LIFO argue that it provides a better match of revenue and expenses? Is there…

A: Because the costs of the most recent purchases are included in the cost of products sold, LIFO…

Q: The transfer price is a revenue to sales devision and cost to the buying devision. Say true or False…

A: Transfer price is a price at which a transaction of two related divisions of the same corporation…

Q: Businesses that use OSD are permitted to deduct the cost of goods sold or the cost of care. False…

A: Business activities in every country are governed by certain Business laws that have direct…

Q: Why are contra-revenue accounts used rather than directlydeducting from the Sales Revenue account?

A: Sales revenue: The amount of price of merchandise sold during a certain period is referred to as…

Q: What would be the reason a compony would overstate income

A: If the value of a business seems to be too good to be true, the business might have overstated their…

Q: What is the difference between historical cost accounting and fair value accounting?

A: Historical cost accounting records assets and liabilities at their original purchase cost, adjusted…

Q: Which is wrong?    The term creditable input VAT means input VAT deductible from output VAT.…

A: Input tax is utilised against payment of output tax liability.  Input tax will be credited for the…