Income from operations will always result if a. revenues exceed operating expenses. O b. gross profit exceeds operating expenses. O c the cost of goods sold exceeds operating expenses. O d. revenues exceed cost of goods sold.

Income from operations will always result if a. revenues exceed operating expenses. O b. gross profit exceeds operating expenses. O c the cost of goods sold exceeds operating expenses. O d. revenues exceed cost of goods sold.

FINANCIAL ACCOUNTING

10th Edition

ISBN:9781259964947

Author:Libby

Publisher:Libby

Chapter1: Financial Statements And Business Decisions

Section: Chapter Questions

Problem 1Q

See similar textbooks

Related questions

Q: Pina Colada Limited began operations on January 2, 2022. Pina Colada employs 9 individuals who work…

A: The term "liability for vacation pay and sick pay" describes an employer's need to reimburse staff…

Q: Carlo runs a butcher shop, Carlo Angus MNL, in Manila. Jamie, a close friend who lives in Makati,…

A: Ans. P 220,000 Explanation: New A/R balance after allowance for doubtful accounts= (150,000-…

Q: A review of the ledger of Pharoah Company at December 31, 20XX produces these data pertaining to the…

A: Adjusting entries The journal entries recorded at the end of an accounting year in order to close…

Q: The Crane Company sells sports decals that can be personalized with a player's name, team name, and…

A: Variable costs are costs that varies with the change in the level of output whereas fixed costs are…

Q: 40 Under a perpetual inventory system, acquisition of merchandise for resale is debited to the O a.…

A: 40) Acquisition of merchandise is always debited to the Purchases Account as perpetual system keeps…

Q: An investment will have a future value equal to Php180,250 after 6 years. It has a nominal rate of…

A: Future value of the investment (F) = Php 180250 r = 10.5% per annum = 2.625% per quarter n = 6 years…

Q: Compute the discount if PhP 2000 is discounted for 6 months at 8% simple interest.

A: Present Value The present value is the value of cash flow stream or the fixed lump sum amount at…

Q: 20 The suitable priority of preparing financial statements: a. Balance sheet, then income statement…

A: Question 20: The correct answer is option is B i.e. Income Statement->changes in equity statement…

Q: Q1 3 Logam Sdn. Bhd manufactures metal containers. The data relates to the period ending 31 March…

A: Manufacturing account in the business shows total costs incurred in the production and manufacturing…

Q: Fealty Company had the following transactions during 2022. All transactions were for cash payments.…

A: Current Liability - These are the obligation which needs to be settle with in 12 months from the…

Q: Mr. Darden is selling his house for $200,000. He bought it for $164,000 ten years ago. What is the…

A: The annual rate reflects the rate by which the investment increases each year. This is also known as…

Q: Kingbird Enterprises is using a discounted cash flow model. Identify which model Kingbird might use…

A: There are two approaches of estimating the fair value Traditional Approach Expected cash flow…

Q: Candy Company had sales of $320,000 and cost of goods sold of $112,000. What is the gross profit…

A: Gross Profit ratio = [(Sales - Cost of goods sold)/Sales]

Q: 1 1(a) 1(b) Jonkin plc are considering a project that is susceptible to risk. An initial investment…

A: The process through which any investment or project's profitability is ascertained is regarded as…

Q: Briyanne, Inc. purchased a computer for RM5,000. During 2016 and 2017, the company recorded total…

A: solution concept If a transaction has commercial substance The asset acquired shall be recorded at…

Q: Table Q3 : Trial Balance as at 31 December 2017 Carissa Valuation Service Company Trial Balance…

A: (a) Journal entries for adjustments Journal Entries in the Books…

Q: On May 1, 2022, Carlo and Jamie formed a partnership by contributing P500,000 each. In addition to…

A: The non cash assets invested by partners are recorded at fair market value.

Q: Which of the following does NOT correctly describe the specific identification cost formula? This…

A: Specific identification cost formula use to valuation of inventory by tracking each and every item…

Q: 32 Which of the following accounts has a normal credit balance? a. Purchases b. Purchase Discounts…

A: Any account should have debit or credit balance. All assets and expenses should have debit balance.…

Q: Bill Padley expects to invest $10,000 for 6 years, after which he wants to receive $15,869.00. What…

A: Future value of single sum = Present value of single sum x Future value factor (FVF)

Q: man borrowed PhP 300,000 and agreed to pay his bligation by paying 8 equal annual payment of PhP…

A: Loans are paid by the annual payments that carry the payment of interest and payment of principal…

Q: Marin Inc. manufactures cycling equipment. Recently, the company's vice-president of operations has…

A: STEP 1 Coupons may or may not be connected to a bond. A coupon is expressed as a nominal percentage…

Q: Which of the following would NOT be charged to expense in the period in which the costs were…

A: Cost charged to expense in the current period means the recording of an expense in the period itself…

Q: Goods in transit that are shipped FOB destination should be included O in the inventory of the…

A: The seller sells goods to the buyer which is then shipped to the customer. The shipping company is…

Q: Under IFRS, bearer plants used to grow produce including tea bushes, grape vines, and rubber trees…

A: International Financial Reporting Standards: The set of rules and regulations to be followed by the…

Q: Waldum Company purchased packaging equipment on January 2014, for RM135,000. The equipmet is…

A: ) Depreciation Expenses: Years Straight Line Units of Output Double Decline Formula…

Q: This multible choice question from ACCOUNTING PRINCIPLES

A: Solution to 47- Credit balance accounts comprises of Liabilities and income, whereas Assets and…

Q: 30 On which financial statement would the merchandise inventory account appear? a. Neither balance…

A: Inventory at the end of financial year should means the inventory , the ownership of which belongs…

Q: Cari Pump manufactured 9,000 ECs in 2019 in 30 batches of 300 each. In 2020, Cari Pump anticipates…

A: Introduction Make or buy decisions most of the time depend on the relevant costs and…

Q: How many years are needed for P40,000 to yield P13,756.66 if invested at 6% converted semi-annually…

A: Given, Interest rate 6% compounded semi annually So, Interest rate per semi annual = 6%/2 = 3%…

Q: 16 Among those goods in transit which items should be included in Blosser's inventory at December…

A: Inventory at the end of financial year to be shown in balance sheet , should means the inventory ,…

Q: Use the stock table to answer parts (a) throught (h). Company A NASDAQ: CA 271.91 0.53(0.19%) June…

A: Closing Price -The closing Price of the shares is the price at which the shares are placed when the…

Q: Zachary Company is considering investing in two new vans that are expected to generate combined cash…

A: Net present value is a capital budgeting technique that evaluates a project on the basis of the…

Q: ABC Company started its business operations on November 2, 2021. The following were the transactions…

A: Ending Owner's capital balance = Investment made by the Owner + Net income where, Net income =…

Q: We project unit sales for a new household-use laser-guided cockroach search and destroy system as…

Q: In its first month of operations, Wildhorse Company made three purchases of merchandise in the…

A: Weighted Average Method is one of the methods of inventory valuation in which it is assumed that…

Q: The cash for Jackson Valuation Services as at November 30, 2018 indicated a balance of RM6,800. The…

A: SOLUTION BANK RECONCILIATION STATEMENT IS A SUMMARY OF BANKING AND BUSINESS ACTIVITY THAT…

Question

q(25+27)This multible choice question from ACCOUNTING PRINCIPLES I.just write for me the final answer.

25
Income from operations will always result if
a. revenues exceed operating expenses.
O b. gross profit exceeds operating expenses.
O c. the cost of goods sold exceeds operating expenses.
O d. revenues exceed cost of goods sold.
- 27
The adjusted trial balance is prepared
O a. After adjusting entries have been journalized and posted
b. Before the trial balance
c. After financial statements are prepared.
O d. To prove the equality of total assets and total liabilities

Expert Solution

This question has been solved!

Explore an expertly crafted, step-by-step solution for a thorough understanding of key concepts.

This is a popular solution!

SEE SOLUTION Check out a sample Q&A here

Step 1

VIEW

Step 2

VIEW

Trending now

This is a popular solution!

Step by step

Solved in 2 steps

SEE SOLUTION Check out a sample Q&A here

Knowledge Booster

Learn more about

Need a deep-dive on the concept behind this application? Look no further. Learn more about this topic, accounting and related others by exploring similar questions and additional content below.

Similar questions

25.Adjusting entries a. Bring asset and liability accounts to correct balances. b. Assign revenues to the period in which they are earned. c. Help to properly measure the period’s net income or net loss. d. All of the above.
Match the statements below with the accounting assumption, characteristic, or principle to which the statement relates. Assumptions/characteristics/principles may be used once, more than once, or not at all. Recorded when the performance obligation is satisfied. a. Revenue recognition principle V The reason for recording accruals and deferrals in adjusting entries. b. Matching principle Valuing assets at amounts originally paid for them. C. Historical cost principle Entity assumed to have a long life d. Going concern assumption Description of significant accounting policies and unusual events. e. Full disclosure principle v Information has predictive and confirmatory value. T. Relevance characteristic 8. Consistency characteristic
Return inward appearing in trial balance is deducted from Select one: a. Asset b. Purchases c. Return outwards O d. Sales
Answer pleaase I need asap
The revenue recognition principle dictates that revenue be recognized in the accounting period Select one: a. after it is earned. b. before it is earned. wh the performance obligation is satisfied. C. d. in which it is collected Previous page Next pa hp
Use the list of concepts given to match the description of the concept to the concept.
Financial Statements, Closing Entries & Ratio Analysis You are asked to support Telcel Company with its Financial Reporting requirements. The Senior Manager provided you with the following Adjusted Trial Balance: Telcel Company TRIAL BALANCE (Adjusted) 31-Mar-21 Debit Credit Cash 10,450 Accounts Receivable 16,800 Prepaid Rent Supplies 7,600 1,500 Inventory Buildings Equipment 6,400 125,000 32,000 Accumulated Depreciation – Equipment 7,200 Accumulated Depreciation – Buildings Accounts Payable Notes Payable (due 2024) 21,000 13,900 49,000 Unearned Service Revenue 9,450 Share Capital Retained Earnings 76,000 31,650 Dividends 8,000 Service Revenue 68,400 Advertising Expense Salaries and Wages Expense 1,750 47,800 Utilities Expense 5,400 Supplies Expense Depreciation Expense Interest Expense Rent Expense 2,600 8,400 1,100 1,800 Total 276,600 276,600 Additional Information: 2020 Data Accounts Receivable $8,100 Total Assets $158,930
22. Which situation indicates a loss on the income statement when preparing worksheet?A. Total debits equal total credits.B. Total credits exceed total debitsC. Total debits exceed total creditD. None of the choices 23. Which of the following is not shown in the Balance Sheet?A. RevenueB. CashC. LandD. Accounts Payable 24.In which columns of a worksheet would the adjusted balance of accumulated depreciation appear?A. Adjusted trial balance credit, Balance Sheet debit.B. Adjusted trial balance credit, income statement creditC. Adjusted trial balance debit, balance sheet debitD. Adjusted trial balance credit, balance sheet credit 26. If total credits exceed total debits in the Balance Sheet columns of a worksheet:A. A loss has occurred.B. A mistake has been made.C. A profit has occurredD. No conclusion can be drawn. 27. The components of the balance sheet equation are:A. Assets, income and owner's equity.B. Assets, liabilities and owner's equity.C. Income, expenses and profit.D.…
Which of the following entries properly closes a temporary account? Select one: a. Income Summary XX Cash b. C. Debit Credit Expense Accumulated Depreciation XX Income Summary Income Summary d. e. XX Retained Earnings XX Dividends Debit Credit Debit Credit XX Debit Credit Income Summary XX Revenue XX XX Debit Credit XX XX
41. Realization of revenue occurs when a. the item is formally recorded and reported in the financial statements b. noncash resources are converted into cash or rights to cash c. the actual exchange of noncash resources into cash С. d. when a transaction is both realized and realizable 42.A revenue recognition method that recognizes revenue before the time of sale is a. percentage-of-completion b. installment c. cost recovery d. point of sale С.
1. which of the following account is a liability?a. accrued incomeb. deferred expensec. prepaid expensed. accrued expense 2. the cost of office equipment less accumulated depreciation is calleda. NRVb. liquidation valuec. amortized valued. carrying amount
Q.2.1 Complete the table below by indicating for each account if the balance will be debit or credit and if it is classified as a non-current orcurrent asset, non-current or current liabilityYou are required to redraft the table in your assignment.(14)Name of account Dr/CrBalanceNon-currentassetCurrentassetNon-currentliabilityCurrentliabilityIncome Expense ProprietaryaccountsE.g. Land &BuildingsDebit XAdvertisingCreditors controlInterest on savingaccountCapitalFurnitureCash floatMortgage loan