Which of the following is the proper treatment for a contingency that is probable but the exact amount of which is not known? The amount can be estimated.
A) The liability should be doubled following conservatism.
B) The liability should be estimated and recorded.
C) The liability should be ignored.
D) The liability should be reported in the notes to the financial statements.
B) The liability should be estimated and recorded.
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The cost of an asset is $3,600 . Salvage value is $600 . Useful life is 3 years. What is the amount of annual depreciation using the straight-line method?
a. $3,600; b. $1,200; c. $1,000; d. $200; e. $0
You own a business that has assets of $279,000. If your equity is $87,000, what is the amount of your liabilities?
A. $279,000 B. $87,000 C. $192,000 D. $98,000
According to officials at the Environmental Protection Agency (EPA), the air inside buildings is typically the safest as it is free from pollution
Indicate whether the statement is true or false
Lending institutions typically attempt to foreclose on a mortgage whenever a borrower falls behind in payments
Indicate whether the statement is true or false