If a balance sheet is prepared between the date of declaration and date of payment, how is the Dividends Payable account treated?
a. No entry is required since there has been no payment.
b. The Dividends Payable account is reported as a contra-asset account.
c. The Dividends Payable account is reported as a contra-equity account.
d. The Dividends Payable account is reported as a contra-revenue account.
e. The Dividends Payable account is reported as a current liability account.
e
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Which of the following is an investment spending?
A. Purchase of stocks B. Purchase of bonds C. Purchase of office building D. Purchase of refrigerator by a household
Which of the following is true of the financial metrics used to gauge a product's performance in the market?
A) They report important ratios for profits, costs, and assets. B) They provide insight into how the business or product is performing in the market. C) They include measures of marketing performance, such as customer satisfaction, retention, and loyalty. D) They allow a company to estimate its market share and customer value. E) They are mainly external metrics of a product's performance in a particular market.
Which intangible asset is recorded only as part of the acquisition of another? company?
a. Patent b. Goodwill c. Copyright d. Franchise
Answer the following statements true (T) or false (F)
1. Fixed costs divided by contribution margin per unit equals the breakeven point in unit sales. 2. Fixed costs divided by the contribution margin ratio equals the breakeven point in sales dollars. 3. In a cost-volume-profit (CVP) graph, the breakeven point is where the sales revenue line intersects the fixed cost line. 4. The breakeven point is the point where the sales revenues are equal to the total variable costs plus the total fixed costs. 5. Sensitivity analysis allows managers to see how various business strategies will affect profit levels.