Which of the following describes a spot contract?
A. a contract that creates the right—but not the obligation—to buy or sell a specific amount of a commodity at a fixed price within an agreed-upon period of time
B. a contract in which a commodity is presently sold and the price is presently paid but delivery is, by agreement, delayed to a later date
C. a contract for the immediate sale and delivery of a commodity, such as a currency
D. a promise to buy or sell a commodity for a specified price, with both delivery and payment to be made at a specified future date
C
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On June 1, Aaron Company purchased equipment at a cost of $120,000 that has a depreciable cost of $90,000 andan estimated useful life of 3 years and 30,000 hours. Using straight-line depreciation, calculate depreciation expense for the final (partial) year of service
a. $12,500 b. $17,500 c. $40,000 d. $30,000
The objective of the indirect method is to reconcile net income to net cash flow from _______________________________
Fill in the blank(s) with correct word
With respect to consumer decision making, the ________ set is the set of strong contenders from which one will be chosen as a supplier of a good or service
A) total B) awareness C) consideration D) choice E) decision
Which of the following is a true statement?
a. Asset-liability advocates are not prepared to tolerate a fluctuating income statement that may include unrealized holding gains and losses. b. Asset-liability advocates and revenue-expense advocates are polarized in part because the financial statements are non-articulated. c. Revenue-expense proponents are prepared to introduce deferred charges and deferred credits in order to smooth income measurement. d. With articulation, it is possible to have a revenue-expense-based income statement and an asset-liability-based balance sheet.