Concerning accounting for warranties, which of the following statements is true?
A. Federal income tax regulations require companies to accrue warranty expense in the year of the sale.
B. The modified cash basis method is required for tax reporting.
C. The modified cash basis method uses a percentage of completion approach to warranty revenue recognition.
D. The modified cash basis recognizes warranty expense when cash is received on the sale.
Answer: B
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Earnings per share is an indication of how much
a. the company paid as dividends for each share of stock held by stockholders. b. the company earned for each share of outstanding common and preferred stock. c. the company earned for each share of outstanding common stock. d. cash the company has for each share of all outstanding stock.
Which of the following is not a type of non-comparative scale?
A) semantic differential B) constant sum C) Likert D) both A and C
Use the information provided to calculate the cash paid for insurance for the periodPrepaid insurance, beginning-year$ 7,000Insurance expense16,800Prepaid insurance, year-end3,400Cash paid for insurance$
What will be an ideal response?
When a company acquires a long-term bond investment, by paying cash, total assets remain unchanged
Indicate whether the statement is true or false