The table below shows a subcontracting work having 3 work activities. DIRECT COST BALANCED BID UNBALANCED BID ACTIVITY QUANTITY Unit Rate Cost (OMR) UNIT RATE PRICE UNIT RATE PRICE 600 50 150 A 10 500 12 15 750 B 20 3000 24 3600 25 3750 75 30 2250 36 2700 32 2400 If the quantities of activity B is increased from 150 to 200, how does it affect the contractor's profit and the owner?

Q: What constitutes a dicontinued operations.?

A: Definition:   Income statement: The financial statement which reports revenues and expenses from…

Q: What are agency problems?

A: Owners of the company are shareholders. The number of the shareholders for a corporation will be…

Q: What is the basis for distinguishing between operating and nonoperating items?

A:

Q: The like-kind exchange rules are elective. True or false

A: Like kind exchange is when money from selling one assets is invested in similar types of assets than…

Q: What is meant by the phrase management by exception?

A:

Q: describe the advantages of using a disregarded entity in assessing a choice of entity

A: The word disregarded entity means how the IRS can tax a single-member LLC. If the LLC is considered…

Q: When is nonfinancial information relevant?

A: Non-Financial information: Non- Financial decisions are qualitative in nature and do not include…

Q: unqualified is not the correct answer

A: PCAOB standards are those standards which maintain as well as establish the high quality of auditing…

Q: What is meant by Remainderman?

A: The remainderman is a beneficiary that receives the principal left in an estate or trust after a…

Q: How does the allocation method affect whether to process further or not?

A: Allocation method is always used by the company in the allocation of costs which are in jointly…

Q: What is indirect quote?

A: A quote is an expression of foreign exchange rate of one currency with domestic currency. Quote is…

Q: Explain Deficiency Judgment?

A: To borrow funds, borrower might be required to mortgage its property to the lender. In case that…

Q: c is not correct

A: The rate of return on the price weighted index for a period is calculated as shown below. Value of…

Q: When is independence impaired under PCAOB standards?

A: Independence would be considered to be impaired if a covered member accepts more than a token gift…

Q: What is the purpose of a Limit Test?

A: Definition:   Limit test: It checks the data by evaluating it with the predetermined upper and…

Q: What is inshoring?

A: It is the opposite of offshoring. Inshoring is a process wherein the business is moved back from…

Q: tests of controls which are by their nature also detailed tests of balance

A: Test of controls is a part of auditing. It is usually conducted at the beginning of the audit.

Q: What is an estoppel? Why is it used?

A: Estoppel is the legal principle which is helpful for any future contradiction. It means that…

Q: Highlight concept of faithful representation and is it valid or not?

A: The concept of Faithful representation advocates that the financial statements and information…

Q: What are circumstance-imposed scope limitation and client-imposed scope limitation?

A: Accounting:   Accounting is a system, or a process of collecting and organizing economic…

Q: For practical applicationsas opposed to theoretical considerations, which ismore relevant, the CML…

A: Security market line (SML) or Capital market line (CML): The capital market line appears the…

Q: Under IFRS, the retrospective approach should not be used if:

A: Here is the answer :

Q: solution

A: The term "present value" (PV) refers to the value at the current time of a quantity of money or…

Q: What are the limitations on Control Activities?

A: Internal control: Internal control is a process which ensures continuous reliability of…

Q: What is meant by the term management by exception?

A: Business Management:   Business management refers to the skills associated with running a company…

Q: Do equivalence calculations require a common time basis for comparison?

A: Answer: The calculation of equivalence method is used where duration of the projects is not equal.…

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: Why is EBITDA controversial?

A: Earnings Before Interest, Taxes, Depreciation, and Amortization (EBITDA) is a metric used to assess…

Q: These answered came back as incorrect?

A: To calculate the return on equity (ROE) under each of the three economic scenarios, we need to first…

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