For the following situation, determine whether the company should (a) report a liability on the balance sheet, (b) disclose a contingent liability in the footnotes, or (c) not report the situation. Justify your conclusions.
(e) A key customer is unhappy with the quality of a major construction project. The company believes that the customer is being unreasonable but, to maintain goodwill, has decided to do $ 250,000 in repairs next year.
Answers
The company should disclose a contingent liability in the footnotes of the balance sheet. A contingent liability is a potential obligation that may or may not occur, depending on the outcome of uncertain future events. In this case, the customer's dissatisfaction with the quality of the construction project creates a potential obligation for the company to address the issue and perform repairs worth $250,000 in the coming year.
By disclosing this contingent liability in the footnotes, the company provides transparency and informs stakeholders about the potential risk and obligation it faces. This allows investors, creditors, and other interested parties to make informed decisions based on a more comprehensive understanding of the company's financial position.
It is important for the company to maintain goodwill with its key customer by addressing the issue, even if it believes the customer's complaint is unreasonable. However, since the repairs have not yet been made, the actual liability has not been incurred and should not be reported on the balance sheet as a current liability. The contingent liability disclosure in the footnotes is sufficient for now.
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Related Questions
if u in my comments pressed imma get disrepectfull am i right or wrong ?
Answers
Answer:
Explanation:
wrong
If Leland changed its price from $11 to $9, how would the company’s marginal revenue have changed?
Answers
If the price drops from $11 to $9 demand will become high because the smaller the cost the more the demand.
Theory of Demand and SupplyThe relationship between demand and supply is such that the higher the price the lower the demand and vice versa.
It should be noted also that the market forces are greatly influenced by demand and supply.
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an employee can be dismissed if their job surplus to requirements' outline why this state ment is false
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Is the value that you calculate in the last question more or less than the total gain for buyers as a group when there is no price ceiling.
Answers
In this case, for buyers as a group, the gain with the ceiling is greater than the gain without a ceiling.
A Price Ceiling: What Is It?The imposed maximum price a seller is permitted to charge for a good or service is known as a price ceiling. Price ceilings are often imposed on necessities like food and energy supplies when they become unaffordable for average customers. Price ceilings are typically established by law.
In essence, a price cap is a form of pricing control. Price caps can be useful for making necessities affordable, if only briefly. However, economists debate the long-term value of such ceilings.
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Correct question:
This table repeats the buyer values and seller costs. In a market with no restrictions on prices, the total gain captured by buyers and sellers will be $66, with $33 in gain for sellers and $33 in gain for buyers. (You can calculate these values by figuring out who trades at the equilibrium price and calculating how much gain each of them captures.)
With a price ceiling of $8.50, fewer trades will take place. The total gain for buyers and sellers will be lower, although as you will see, it is uncertain exactly how much lower. These problems show you why the gain is uncertain. They also encourage you to think about the following question: Who wins and who loses when there is a price ceiling? If you were representing the interests of all buyers, would you be in favor of a price ceiling?
Buyers V Seller Seller Cost
1 $16 1 $4
2 $15.50 2 $4.50
3 $15 3 $5
4 $14 4 $6
5 $13.50 5 $6.50
6 $13 6 $7
7 $12.50 7 $7.50
8 $12 8 $8
9 $11 9 $9
10 $10.50 10 $9.50
11 $10 11 $10
12 $9.50 12 $10.50
Is the value that you calculated in the last question more or less than the total gain for buyers as a group when there is no price ceiling?
A. In this case, for buyers as a group, the gain with the ceiling is greater than the gain without a ceiling.
find the principal if $245 in interest is due after 10 months at
7%.
Answers
The principal amount is $350. The principal is the first amount of cash on which premium or returns are determined. With regards to back and speculations, the principal alludes to the underlying measure of cash that is contributed, acquired, or advanced. It is the first amount of cash on which premium or returns are determined.
For instance, in the event that you store $1,000 into an investment account, the $1,000 is the principal amount. While computing revenue acquired on this record, the loan fee is applied to the head.
To find the head, we can utilize the basic interest recipe:
Premium = Head × Rate × Time
Where:
Interest = $245
Rate = 7% or 0.07 (decimal structure)
Time = 10 months
We should substitute these qualities into the recipe and address regards for the head:245 = Head × 0.07 × 10 In the first place, we can work on the situation:245 = Head × 0.7
Then, partition the two sides of the situation by 0.7: 245/0.7 = Head
Working on the division, we get: 350 = Head
In this manner, the principal amount is $350.
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The main source of finance for public corporations is s _ _ _ _ f _ _ _ _ _ _ (from t _ _)
Answers
Answer:
tax
Explanation:
the tax is a national practise carried all over the country
Summarize Movies, video games, and magazines from 1990-2005
Answers
Movies, video games, and magazines from 1990-2005 have undergone significant transformations that have redefined their consumption.
Between 1990 and 2005, movies were marked by technological advancements, the rise of independent cinema, and the growth of the blockbuster.
Some of the popular films during this time included the Terminator 2, Titanic, and Jurassic Park.
Video games in this period witnessed a transformation from 2D arcade games to 3D console games. This led to the creation of some of the most iconic video games, such as the Super Mario Brothers and Sonic the Hedgehog.
The Nintendo Game Boy was also introduced in the early 90s, which led to an increase in the number of portable games available.
Magazines in the 90s were some of the most influential in history, with publications such as Cosmopolitan and National Geographic commanding a vast readership.
Some of the most popular magazines in the 2000s included Rolling Stone and Entertainment Weekly.
Overall, movies, video games, and magazines between 1990 and 2005 underwent significant transformations that helped to shape the entertainment industry we know today.
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What are the benefits of 2022 versa’s 5-speed manual transmission?
Answers
The benefits of the 5-speed manual transmission includes sporty driving feel, quick acceleration and full control of gear selection.
What is a 5-speed manual transmission?This transmission system relates to a sporty-based engine because its ensure that full gear are used for high accelaration of the vehicle.
In conclusion, the benefits of the 5-speed manual transmission includes sporty driving feel, quick acceleration and full control of gear selection.
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What are the three properties of indifference curves for two goods?
Answers
The three properties of indifference curves for two goods are completeness, transitivity, and convexity.
Completeness refers to the assumption that a consumer has a preference for every possible combination of the two goods. This means that the consumer can rank or compare any combination of the two goods and determine which one they prefer.
Transitivity assumes that if a consumer prefers bundle A to bundle B and bundle B to bundle C, then the consumer also prefers bundle A to bundle C. This property ensures that the consumer's preferences are consistent and logically sound.
Convexity refers to the curvature of the indifference curves. Indifference curves are typically bowed inward, indicating that as the consumer gives up more and more of one good, they require increasingly higher amounts of the other good to remain indifferent. This property is important because it demonstrates that the consumer exhibits diminishing marginal rate of substitution, meaning that they are willing to trade off less of one good for more of another as they already have a lot of that good.
Overall, these three properties are important for understanding consumer preferences and behavior in the context of two goods. They help to explain how consumers make choices and trade-offs between different combinations of goods based on their personal preferences and utility.
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What Is Primary Data? Explain Probability And Non-Probability Sampling With Examples
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Primary data is the data that is collected by the researchers themselves with the specific purpose of addressing their research question. It is original and not derived from any previously published sources. This data can be collected using various methods such as interviews, surveys, observations, and experiments.
Probability Sampling: This is a method of sampling in which every member of the population has an equal chance of being selected for the sample. The probability of each member of the population being selected is known and can be calculated. Examples of probability sampling methods are: Simple random sampling: In this method, each member of the population has an equal chance of being selected. Stratified random sampling: In this method, the population is divided into strata and a random sample is selected from each stratum.
Non-probability Sampling: This is a method of sampling in which members of the population do not have an equal chance of being selected for the sample. The probability of each member of the population being selected is not known and cannot be calculated. Examples of non-probability sampling methods are: Convenience sampling: In this method, the sample is selected based on the availability and accessibility of the members of the population. Quota sampling: In this method, the sample is selected based on predetermined quotas for different subgroups of the population.
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Braedon’s employer is requiring his employees to work ten-hour days for the next week, starting on April 10th. In which workplace is Braedon most likely working?
a mortgage company
a credit union
a tax preparation office
an insurance company
Answers
Answer:
C
Explanation:
I got it correct
What is the reason for putting yourself on a budget?
A. To prevent yourself from paying compound interest
OB. To earn a high level of return on your investments
C. To make sure that your earning potential is as high as possible
O D. To keep your expenses below your income
Answers
Answer: D. To keep your expenses below your income
Answer:
Do. to keep your expenses below your income
Which sentence in the passage is an example of a real-world situation that could restrict Martha’s decisions?
Martha is in her late teens. She lost her father in the war several years ago. Just like her father, Martha wants to join the military and serve her country. However, Martha has several obstacles in her path. Martha’s mother is overly protective of her daughter and has always tried to keep her safe. Also, Martha is still tormented by the memories of the war and her father’s absence. To make matters worse, Martha might not qualify for the military because of her petite and fragile frame.
Answers
"Martha is in her late teens. She lost her father in the war several years ago. Just like her father...." the sentence in the passage is an example of a real-world situation that could restrict Martha’s decisions "To make matters worse, Martha might not qualify for the military because of her petite and fragile frame.". This is further explained below.
What is a passage?Generally, a passage is simply defined as a part or chunk of a piece of writing.
In conclusion, Martha in the passage Martha saw a real-world situation and this was "To make matters worse, Martha might not qualify for the military because of her petite and fragile frame." was on that could that restrict Martha’s decisions
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Answer:
Martha might not qualify for the military because of her petite and fragile frame.
Explanation:
I took the test! Correct in Edmentum!
measures a company's ability to pay liabilities as they come due in the short run. multiple choice question.
Answers
Liquidity measures a company's ability to pay liabilities as they come due in the short run.
Liquidity refers to the organization's capability to repay its short-time period liabilities inclusive of accounts payable that come due in much less than a year. Solvency refers to the organization's capacity to pay its long-term liabilities. Banks and investors study liquidity when determining whether to loan or invest money in an enterprise.
The current ratio is a liquidity ratio that measures an employee's potential to pay quick-term obligations or those due within 12 months. It tells traders and analysts how an agency can maximize the modern-day property on its stability sheet to fulfill its present-day debt and other payables. The less complicated it's far to transform the asset into coins, the greater liquid the asset. as an example, a shop that sells collectible stamps might dangle onto its inventory to discover simply the proper consumer to get the first-rate charge, and because of this the one's stamps aren't very liquid.
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Complete Question:
_______ measures a company's ability to pay liabilities as they come due in the short run?
Which of the following decisions is most likely to create a temporary diseconomy of
scale? (Select the best answer.)
A)Buying supplies in bulk
B)Buying an expensive piece of machinery
C)Hiring employees who specialize
D)Using division of labor
Answers
Answer:
Buying an expensive piece of machinery
Explanation:
True/False
2. Federal income tax and social security are mandatory deductions---medical insurance and 401k contributions
are optional deductions from your paycheck.
Answers
The given statement "Federal income tax and social security are mandatory deductions---medical insurance and 401k contributions are optional deductions from your paycheck" is True because that depends on your choices and participation in specific benefit programs offered by your employer.
Federal income tax and social security are indeed mandatory deductions from your paycheck. These deductions are required by law, and the amounts are determined based on your income and other factors. Federal income tax is collected by the government to fund various public services and programs, while social security contributions go towards providing retirement, disability, and survivor benefits.
On the other hand, medical insurance and 401k contributions are optional deductions from your paycheck. Medical insurance premiums are typically deducted if you choose to participate in an employer-sponsored health insurance plan. These deductions are optional because you may have the option to opt out of the plan or choose a different coverage option.
Similarly, 401k contributions are voluntary deductions that you can choose to make from your paycheck. A 401k is a retirement savings plan offered by employers, and you have the option to contribute a portion of your salary toward the plan. These contributions are often tax-deferred, meaning they are deducted from your pre-tax income, providing potential tax advantages.
While federal income tax and social security are mandatory deductions, medical insurance, and 401k contributions are optional deductions that depend on your choices and participation in specific benefit programs offered by your employer. It's important to review your paycheck and understand the deductions being made to ensure accuracy and make informed decisions regarding optional deductions.
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Match the types of players with the economic system in which they make the important economic decisions
Answers
Answer:
La teoría de juegos es un área de la matemática aplicada que utiliza modelos para estudiar interacciones en estructuras formalizadas de incentivos (los llamados «juegos»). La teoría de juegos se ha convertido en una herramienta sumamente importante para la teoría económica y ha contribuido a comprender más adecuadamente la conducta humana frente a la toma de decisiones. Sus investigadores estudian las estrategias óptimas así como el comportamiento previsto y observado de individuos en juegos. Tipos de interacción aparentemente distintos pueden en realidad presentar una estructura de incentivo similar y, por lo tanto, se puede representar mil veces conjuntamente un mismo juego
Explanation:
Select the steps in preparing an operating budget in the proper order.
Answers
Use a similar prediction method to forecast what your goods will cost for future quarters or months. Account for expected fluctuations in sales, as that will affect your purchases for your goods. Once you have your totals for the expected cost of goods, subtract that total from the expected sales. Your sales total minus your cost of goods total is your gross margin. Now that you have this number you can use it against totals of all your other costs to predict your operating income.
Other Costs
Depending upon the size of your company, you will have any number of other operating costs to estimate. Some examples include payroll for employees, insurance for employees, overhead costs for maintaining a physical shop or warehouse, travel fees, and research and development costs. Record your previous expenses in the categories relevant to your business and use those numbers to predict the expenses over the course of the next year. Subtract that total from your gross margin to determine your operating income.
Taxes
Now that you have estimated your operating income, you can estimate your annual taxes. When you subtract your predicted taxes from your likely operating income you will discover your business's net income, the final step in the preparation of your operating budget. As you progress over the next fiscal year, compare your profits and expenses to those you predicted in your operating budget. If you did not use as much money as you expected in certain areas, move that money to other areas. If you are showing losses, you may need to consider layoffs or cutbacks on fringe benefits to compensate better next year.
Which is most often a cause for a change in career or lifestyle?
adjustments in vacation
adjustments in life roles
career satisfaction
lifestyle satisfaction
Answers
Answer:
adjustment in life roles
Answer:
adjustment in life roles
Explanation:
cause i just know
Michael Dell, the founder of Dell Corporation, interacted directly with every single employee during the early days of the company. Michael was practicing _________ control. a. management b. intrapersonal c. interpersonal d. employee e. bureaucratic
Answers
Michael Dell, the founder of Dell Corporation, interacted directly with every single employee during the early days of the company. Michael was practicing "interpersonal control". The correct option is C.
The interpersonal control refers to the regulate another thoughts and behavior.
Michael Dell was interacting with every single employee, which falls under interpersonal control and where managers use their communication and leadership skills to influence and direct their employees to achieve the company's goals.
Therefore, the correct option is C.
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To what amount will the following investments accumulate?
a. $5,000 invested for 10 years at 10 percent compounded annually.
b. $8,000 invested for 7 years at 8 percent compounded annually.
c. $775 invested for 12 years at 12 percent compounded annually.
d. $21,000 invested for 5 years at 5 percent compounded annually.
Answers
a. $5,000 invested will accumulate to $12,758.96. b. $8,000 invested will accumulate to $13,968.03. c. $775 invested will accumulate to $3,432.97. d. $21,000 invested will accumulate to $26,533.08.
To calculate the future value of an investment with compounding interest, we use the following formula:
Future Value = Present Value x (1 + Interest Rate/Number of Compounding Periods)^(Number of Years x Number of Compounding Periods)
Using the values provided in the question and plugging them into the formula, we get:
a. Future Value = $5,000 x (1 + 0.10/1)¹⁰ˣ¹= $12,758.96
b. Future Value = $8,000 x (1 + 0.08/1)⁷ˣ¹= $13,968.03
c. Future Value = $775 x (1 + 0.12/1)¹²ˣ¹ = $3,432.97
d. Future Value = $21,000 x (1 + 0.05/1)⁵ˣ¹ = $26,533.08
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Find the effective rate of interest if payments of 300 at the present, 200 at the end of one year, and 100 at the end of two years accumulate to 800 at the end of three years.
Answers
Answer:
12.93%
Explanation:
Given that the amount of 300 is invested for 3 years, while the amount of 100 is invested for 2 years and 100 is invested for 1 year.
also amount accumulated in three years = 800
Applying the formula to find the future value we get
300(1+r)^3 + 200(1+r)^2 + 100(1+r) = 800
which can be further simplified to
300r^3+1100r^2+1400r+600=800
where, r is the effective rate of interest which we have to find out
The above equation is cubic in r, so to solve this we can use equation solver. When we put this equation in equation solver we get
r = 0.12926
r ≅ 0.1293
Therefore, effective rate of interest = 12.93%
the us saving and loan crisis of 1970s
Answers
Answer:
none of these describe the savings and loan crisis
Answer:
E (none of these)
Explanation:
The roots of the S&L crisis lay in excessive lending, speculation, and risk-taking driven by the moral hazard created by deregulation and taxpayer bailout guarantees.
Matthew is no longer pleased with the performance of his Canadian corporate bond. He has decided to sell the seven-year bond three years early. He purchased the bond for $1510.00, and is selling it for $680.00; the coupon payment has remained the same at $66 annually. What is the return on investment on the bond if he sells it? O-20.44 percent O 37.48 percent O-12.14 percent 8.30 percent
Answers
The return on investment on the bond if Matthew sells it is -20.44%.A bond is a type of loan that a company or government can give to you in exchange for your money. T
he bond's interest rate is the rate at which the issuer pays you for the bond's life. If you hold a bond to maturity, you will receive the face value of the bond plus all accrued interest. The formula to calculate return on investment for a bond is as follows:
Total Return on Investment = Interest Earned - Capital Loss / Cost of Investment = (66 × 4 years) - (1510 - 680) / 1510 = 264 - 830 / 1510 = -566 / 1510 = -0.37516The total return on investment is negative 0.37516 or -37.52 percent. The correct answer from the options provided is therefore O -20.44 percent.
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The right to buy a company's stock at a predetermined price sometime in the future is known as a(n) ______.
Answers
The right to buy a company's stock at a predetermined price sometime in the future is known as a futures contract.
A futures contract is a standardized legal contract to buy or sell something at a predetermined price for delivery at a specified time in the future, between parties not yet known to each other. The asset transacted is usually a commodity or financial instrument. The predetermined price of the contract is known as the forward price. The specified time in the future when delivery and payment occur is known as the delivery date.
A futures Contracts are traded at futures exchanges, which act as a marketplace between buyers and sellers. The buyer of a contract is said to be the long position holder and the selling party is said to be the short position holder. A stock future is a cash-settled futures contract on the value of a particular stock market index.
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Sparkling Water, Inc., expects to sell 3.7 million bottles of drinking water each year in perpetuity. This year each bottle will sell for $1.46 in real terms and will cost $.82 in real terms. Sales income and costs occur at year-end. Revenues will rise at a real rate of 1.8 percent annually, while real costs will rise at a real rate of 1.1 percent annually. The real discount rate is 7 percent. The corporate tax rate is 25 percent. What is the company worth today?
Answers
Answer:
$39,345,664.93
Explanation:
The computation of the company worth today is as follows:
Present value of revenues after tax is
= $3,700,000 × 1.46 × (1 - 0.25) ÷ (0.07 - 0.018)
= $77,913,461.54
And, Present value of costs after tax is
= $3,700,000 × 0.82 × (1 -0.25) ÷ (0.07-0.011)
= $38,567,796.61
So, the company worth today is
= $77,913,461.54 - $38,567,796.61
= $39,345,664.93
Donald Trump wanted to pull us out of the WTO because he thought China was cheating. Would you stay in or leave?
Answers
Answer: I hate Trump and would make him eat tortilla chip vertically :/
Explanation:
What is Continuous Quality Improvement?
the continuous quality improvement process is designed to?
Answers
Continuous Quality Improvement (CQI) is a process improvement methodology that uses data and metrics to continuously evaluate and improve organizational processes.
The goal of CQI is to identify and eliminate inefficiencies and improve the overall quality of products or services provided by an organization. The process involves setting goals and objectives, collecting and analyzing data, implementing changes, and continuously monitoring and evaluating the results of those changes. CQI is often used in healthcare, manufacturing, and service industries to improve the quality and efficiency of their operations.Utilizing data and metrics, the Continuous Quality Improvement (CQI) technique continually assesses and enhances organisational processes. To find and remove inefficiencies and raise the general calibre of goods or services a company offers are the objectives of CQI. Establishing goals and objectives, gathering and analysing data, making changes, and regularly observing and assessing the effects of those changes are all part of the process. Healthcare, industrial, and service industries frequently employ CQI to raise the standard and effectiveness of their operations.
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Which margin is at the very bottom of the page when printing worksheets?
top margin
bottom margin
header margin
footer margin
Answers
Answer:
Footer Margin
Explanation:
Just took this :)
Answer:
Footer Margin
Explanation:
What are references?
Answers
Answer:
the action of mentioning or alluding to something
Explanation: