Concerning accounting for warranties, which of the following statements is false?
A) The GAAP approach of accruing warranty expense (and the related liability) in the year of the sale is not an acceptable method for federal income tax purposes.
B) The modified cash basis is the most conceptually sound method for financial reporting.
C) In accounting for service-type warranties, companies much report warranty expense in the period of sale.
D) The modified cash basis recognizes warranty expense when cash is paid for the repairs to merchandise under warranty.
B
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What would the constraints be if the Eiffel Tower visit needed to take place at the same time as the half day at the Louvre and if students taking the Paris Sewer tour had to wear the special sanitary beret available only from the Bon Beret tour?
Saba conducts regular tours of his favorite city in the world, Paris. Each semester he selects among the finest students in the university and escorts them to the City of Lights. In addition to a world-class education on conducting business in Europe, he arranges a number of cultural outings for them to help them immerse themselves in all that France has to offer. He collects an extra $100 from each student for this purpose and limits his tour group to ten lucky individuals. Some of the events (and their prices) he proposes to the students include: Eiffel Tower visit, $40 per student, E Paris Sewer spelunking, $20 per student, S Half day passes to the Louvre, $60 per student, L Bon Beret tour, $50 per student, B So much to do and so little time!
Svetlana, a fifty-five-year-old member of a racial minority with a disability, believes that she is a victim of employment discrimination. Potentially the most widespread form of discrimination is based on
a. age. b. disability. c. gender. d. race.
In a(n) ________, a firm specifies a range of prices that it is willing to repurchase shares and the quantity of shares that it desires
A) Dutch auction B) tender offer C) American option D) self-tender offer
Wyrich Corporation has two divisions: Blue Division and Gold Division. The following report is for the most recent operating period: Total CompanyBlue Division Gold DivisionSales$522,000$391,000 $131,000 Variable expenses 160,670 89,930 70,740 Contribution margin 361,330 301,070 60,260 Traceable fixed expenses 286,000 239,000 47,000 Segment margin 75,330$62,070 $13,260 Common fixed expenses 73,080 Net operating income$2,250 The Blue Division's break-even sales is closest to:
A. $518,750 B. $405,299 C. $310,390 D. $381,481