Which one of the following is an assumption made in the preparation of financial statements?
a. Financial statements are prepared for a specific entity that is distinct from the entity owners.
b. Financial statements are prepared assuming that inflation has a distinct effect on the monetary unit
c. Preparation of financial statements for a specific time period assumes that the balance sheet covers a period of time.
d. Market values are always assumed to be irrelevant when preparing financial statements.
a
You might also like to view...
Marketers need to anticipate how a medium will present their story and
A) whether they will need to supplement their message with in-store promotions. B) whether audiences will catch on to endorsements from fake bloggers. C) the effect of the medium's reputation upon the audience's perception of the story. D) the exact increase in sales attributable to positive publicity. E) whether they will need to change their advertising campaign.
How does receiving a bill to be paid next month for services rendered affect the accounting equation?
A) assets decrease; owner's equity decreases B) assets increase; liabilities increase C) liabilities increase; owner's equity increases D) liabilities increase; owner's equity decreases
Experts on U.S. labor law point to __________________________ as the primary reason that the NLRA has created a culture of conflict within U.S. labor relations.
A. Exclusive representation and majority support B. The exclusion of labor-management teams C. Representation election voting procedures D. Card check authorization
Netflix has one of the highest customer loyalty ratings in the entertainment industry with approximately 74% of current subscribers continuing to renew their subscription with Netflix on a month-to-month basis. In addition, many customers have cancelled their cable or satellite subscriptions and rely almost exclusively on streaming services such as Netflix for their entertainment. Netflix offers three different payment options or plans for customers-the basic plan at $7.99 per month, standard plan at $10.99 per month, or a premium plan at $13.99 per month. Thus, subscribers who renew on a monthly basis would pay between $95.88 and $167.88 per year to continue their Netflix service. If 74% of subscribers continue their service on an annual basis, Netflix is able to build a stable revenue
stream based on repeat purchasers. A quick snapshot of one customer revealed that the customer had subscribed to the Premium plan for five years and generated over $700 in revenue to Netflix. Which of the following marketing terms best captures the importance of customer loyalty and its impact on Netflix? A. Customer impact score B. Customer retail calculation C. Customer lifetime value D. Customer profitability value