MCQ: GENERAL ACCOUNTING MCQ:Which principle governs the accounting for interim period warranty costs?a) Record only actual claims paidb) Base on quarterly sales onlyc) Defer all costs to year-endd) Estimate annual rate and pro-rate

Explanation of Interim PeriodAn interim period refers to a shorter financial reporting period within…

Answered: MCQ: Which principle governs the…

Principles of Accounting Volume 1

19th Edition

ISBN:9781947172685

Author:OpenStax

Publisher:OpenStax

Chapter12: Current Liabilities

Section: Chapter Questions

Problem 13MC: Which of the following is not a characteristic of a short-term note payable? A. Payment is due in...

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Which principle governs the accounting for interim
2. Which of the following best describes the accounting for assurance-type warranty costs? * 1 point a. Expensed when paid. b. Expensed when warranty claims are certain. c. Expensed based on estimate in year of sale. d. Expensed when incurred.
how are the origination fees borne by the borrower accounted for in relation to the initial measurement of a loan receivable a. Added to initial measurement of the loa receivable b. Deducted from the initial measurement of the loan receivable c. Ignored d. Either added to or deducted from the initial measurement of the loean receivable if the origination fees are at leasr 10% of the proncipal amount of the loan
Identify the types of information that can readily be deter-mined from an amortization table for an installment loan. (More than one answer may be correct.)a. Interest expense on this liability for the current year. b. The present value of the future payments under chang-ing market conditions. c. The unpaid balance remaining after each payment.d. The portion of the unpaid balance that is a currentliability.
The estimated warranty obligation at the end of the financial year is best described as a A. Uncertain liability OB. Contingent liability O C. Liability O D. Constructive liability OE. Unrecognized liability
Accounting Given the following 1. Gross Premium 2. Commission 3. Claims 4. Outstanding Claims and 5. Incurred but not reported reserve. How do you calculate the Unearned premium for different contracts under IFRS 4. What is the formular.
Give me answer all questions please
19. Which of the following best describes the accounting for assurance-type warranty costs? * a. Expensed when paid. b. Expensed when warranty claims are certain. c. Expensed based on estimate in year of sale. d. Expensed when incurred.
15. The expense warranty accrual method a. violates the matching conceptb. requires recognition in the period of sale of the estimated warranty expense and warrantyliabilityc. separates accounting for two components of the sales price: the price of the product andthe price of the warrantyd. debits warranty costs to expense in the period when warranty expenditures are made
Warranty expenditures arise when a business sells items and then calculates the number of units and the cost per unit for possible repairs and replacements throughout the warranty term.True \sFalse
A short-term note payable: O Is a written promise to pay a specified amount on a definite future date within one year or the company's operating cycle, whichever is longer O Is a contingent liability O Is an estimated liability O Is not a liability until the due date O Cannot be used to extend the payment period for an account payable
What would be the adjusting entry to be made for 2021 if the company ascertain whether actual warranty cost approximate the estimate assuming sales and warranty repairs made evenly during the year? a. A debit to Warranty Expense and credit to Estimated Warranty Liability of Php192,500 b. A debit to Estimated Warranty Liability and credit to Warranty Expense of Php192,500 c. A debit to Estimated Warranty Liability and credit to Retained Earnings of Php192,500 d. No adjusting entry to be made

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MCQ: Which principle governs the accounting for interim period warranty costs? a) Record only actual claims paid b) Base on quarterly sales only c) Defer all costs to year-end d) Estimate annual rate and pro-rate