on january prepaid insurance was increased for $1,896 related to the cost of a two year premium, with coverage beginning immeditely. How should this account be adjusted on January 31 before financial statements are prepared for the current month?

Q: Which components of audit risk can an auditor control? Explain

A: An auditor is a professional who is responsible for verifying a business entity's financial…

Q: Please answer with reason for all why the option is correct and why the other options are incorrect…

A: Expense recognition principle is one of accounting principle being used in business. This says all…

Q: 3). Explain the difference between a joint product and a byproduct. Can a byproduct ever become a…

A: Joint product and by-product are part of cost accounting. Raw materials are purchased or produced…

Q: The answer is somewhat close. The correct answer is 6.8810.

A: Given: Value of call = $1.44 Strike price = $25.60 Value of shares = $20 Interest rate = 2.5%…

Q: True/False) All of the regulations for Section 162 are proposed regulations.

A: The general rule for section 162 states that "A deduction of ordinary and necessary expenses paid or…

Q: Explain the Rule of 72.

A: In investment and saving management, the doubling period techniques provide the valuation of the…

Q: P12.2 (c)

A: Ending Retained Earnings  = Beginning Retained Earnings  + Net income - dividend declared…

Q: 10) 11) 12) 13) 14) Explain Dual Aspect concept and provide example. Explain Consistency concept and…

A: 10) Dual Aspect Concept:  Any business transaction is documented in two separate accounts according…

Q: Explain how the § 179 immediate expensing deduction affects the computation of MACRS cost recovery.

A: Depreciation is defined as the accounting method implemented to allocate the cost of a long-term…

Q: requirements

A: These are the following- 1. Such risks must be statistically predictable- This is one of the major…

Q: THE SMITH COMPANY Using the business transactions below, complete T-accounts for the Smith Company.…

A: T Accounts    1. Cash Account Particular Debit Particular Credit         To capital A/c…

Q: Which of the following is an enhancing qualitative characteristic?   Group of answer choices…

A: Enhancing qualitative characteristic include Faithful Representation

Q: Please answer sections d), e) and f)

A: Debt Management Ratios are financial metrics that provide insights into a company's ability to…

Q: 321,818 is incorrect. What is the correct answer?

A: Revenue: We consider unit sales and price per unit to determine total revenue.Variable Costs: Based…

Q: Do you agree?

A: Basel norms are the norms which are framed by Basel committee on Banking supervision. These rules…

Q: Question 8

A: When net credit sales is divided with average accounts receivable it results in receivable turnover…

Q: What is the answer to part b? Is it -1245? Is the sign negative or positive?

A: The inventory valuation includes two methods named as FIFO (First in First Out) and LIFO (Last in…

Q: What is the Rule of 72? How is knowing this concept helpful to you?

A: The Rule of 72 is a simple way to determine how long an investment will take to double given a fixed…

Q: Explanation 1031 like-kind exchange

A:

Q: 605.53 is not the correct answer, please double check

A: Traditional Model & Expected Cash Flow Model: Traditional Approach - In the traditional…

Q: Carefully explain the cross-sectional test of the CAPM.

A: The Capital Asset Pricing Model (CAPM) is a mathematical model that describes the relationship…

Q: Under 2020 tax law, a child no longer qualifies a taxpayer for the Child Tax Credit in the year the…

A: For the 2020 tax credit, a child must have been under age 17 (i.e., 16 years old or younger) at the…

Q: What is AAA (Section 1368(e))

A: The S corporation is a corporation that chooses to pass all income, losses, deductions, and all…

Q: With the aid of examples, highlight the differences between the following terms: Rights issue and…

A: Solution:- Capitalization issue are also known as bonus issue. The following difference between…

Q: What is Break Even Point?

A: BEP is called as break even point. Formula: Break even point = Fixed cost / Contribution per unit

Q: 7. How would you define transaction exposure? How is it different from economic exposure?

A: Exposure refers to the degree to which an individual or entity is subject to a particular risk or…

Q: The answer is somewhat close. The right answer is 1.5337 Please clarify

A: Stock price is $50 Strike price is $52 Risk free rate is 1% Time period is 3 months To Find: Value…

Q: E14.3 (b)

A: The cash flow statement is helpful for the stakeholders as they can identify the organization's…

Q: What is Reiman’s (2001) argument?

A: Arguments is an act or process of arguing or discussing. There are different types of arguments like…

Q: 39-is a broad term considered synonymous with others used to describe reporting on economic,…

A: Solution:- The following option is used to  to describe reporting on economic, environmental, and…

Q: What is the principle behind the Sharpe measure?

A: Shape Ratio: It is known as the Sharpe ratio, this indicator measures how well a financial portfolio…

Q: Over subscription and under subscription

A: Over subscription and under subscription are terms associated with the issue of shares of a company…

Q: The significance difference between U.S. GAAP and IFRS in regard of development cost that IFRS…

A: The development cost represents the future economic benefit under the IFRS as well as GAAP. Under…

Q: What are the origins of the Sharpe measure?

A: Shape Measure: In a dataset, measures of shape explain the distribution (or pattern) of the data in…

Q: Why is a policy statement important?

A: A policy statement or an investment policy statement is a document created by the investment…

Q: Determining current portion of long-term note payable On January 1, Irving Company purchased…

A: “Hey, since there are multiple questions posted, we will answer first question. If you want any…

Q: What is the limitation on loss utilization? 4. Look at the special charitable contribution rule.

A: There is a flow of the income or loss or any other things which a shareholder get from the…

Q: i did ask for a certain question to be resolved question 2b

A: High low method is used to segregate the semi variable or mixed cost into two separate costs i.e.…

Q: Explain the advantages and disadvantages of (i) Progressive taxing system and (ii) regressive taxing…

A: Following is the answer to the question

Q: Clear Springs Corporation manufactures products J, K and L from a joint process. Additional…

A: Joint costs are the cost of common resources used to produce two or more products or services…

Q: it say 43,636.36 is incorrect

A: Here,Annual Incremental Cahs Inflows is $16,500Time Period is 3 yearsInterest Rate is 10%Note: As…

Loanable Funds Theory

The loanable funds theory is a neoclassical theory that determines the interest rate where the demand for loanable investments and supply of loanable funds intersect. To determine the interest rate, this theory employs linear regression and a demand curve. At the equilibrium point, demand for borrowings and demand for the issuance of borrowing funds are inextricably linked. This point of equilibrium should equalize demand and the supply of money available for borrowing.