The extra expense incurred by a business to stay in operation following a fire is an example of a(n)
A) fundamental risk.
B) speculative risk.
C) direct loss.
D) indirect loss.
Answer: D
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There is a standard threshold for materiality set by the Financial Accounting Standards Board for all companies
a. True b. False Indicate whether the statement is true or false
An automobile parts retailer purchases merchandise inventory on account. When using a manual accounting information system, this transaction is recorded in the ________.
A) purchases journal B) general journal C) cash payments journal D) sales journal
Lex Soaps purchased a machine on January 1 . 2013 . for $18,000 cash. The machine has an estimated useful life of four years and a salvage value of $4,700 . Lex uses the double-declining-balance method of depreciation for all its assets. What will be the machine's book value as of December 31 . 2014?
a. $5,100 b. $4,700 c. $4,500 d. $4,300
What arises in situations where established processes offer potential solutions?
A. Structured decisions B. Analytics C. Unstructured decisions D. Semistructured decisions