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Nataly [62]
2 years ago
11

Your company was recently served with a lawsuit. The outcome of the litigation will not be determined for several months, but it

could result in a materially large settlement to be paid by your corporation According to GAAP, what action should you take? SELECT ONLY ONE Take no action, because it may be dismissed Provide a disclosure on financial statements regarding the pending litigation Wait for the outcome of the lawsuit to address stakeholders Ensure information regarding the lawsuit is not revealed Provide a statement to employees and stockholders
Business
1 answer:
klemol [59]2 years ago
4 0

Answer:

According to GAAP,Provide a disclosure on financial statements regarding the pending litigation

Explanation:

According to GAAP, Provide a disclosure on financial statements regarding the pending litigation.

A statement disclosure will communicate relevant information not captured in the statement itself  to a company's stakeholders.

According  to GAAP the financial statements must have disclosure notes.

the other choices are incorrect as they do not provide any defense or protective measure against the case filed.

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Which of the following is an example of a firm’s derived demand? a. Workers with higher levels of education earn more, on averag
Mademuasel [1]

Answer:

c. A tractor manufacturer’s demand for assembly-line workers is inseparably linked to the supply of tractors

Explanation:

Derived demand is when the demand for a good, service or labour is as a result of demand for another good or service.

The demand for assembly line workers is as a result of demand for tractors. If there was no demand for tractors ,there would be no need to employ assembly line workers.

I hope my answer helps you.

7 0
2 years ago
Jeremy is concerned about his selection of a new hair spray because he is concerned it will not perform as well as his usual bra
svet-max [94.6K]

Answer:

D. social risk

Explanation:

Social risk -

It refers to a specific action , which might affect the well established reputation in the society , is referred to as the social risk .

The action could be the launch of new product , issue in the product ,  violating any norms of business , corruption etc.

The act can capability hamper the consumers and hence have the risk of losing the consumer , which can have the negative affect on the business .

Hence , from the given scenario of the question ,

The correct answer is social risk .

5 0
2 years ago
Holman company owns equipment with an original cost of $95,000 and an estimated salvage value of $5,000 that is being depreciate
brilliants [131]
Depreciation is a way not only to recognize the lost value over time of an asset, but also a way to recognize the expense of the asset over time. To this end, we want to see the value of the asset get smaller, and a piece of the asset on the the income statement ever period. 
The depreciation base is 95,000 -5,000 = 90,000, and the depreciation period is 90,000/15,000 = 6 years.
The journal entry every year will be 
Dec. 31
Debit: Depreciation expense 15,0000
Credit: Accumulated Depreciation       (15,000)
Accumulated depreciation is a *contra-asset* account on the balance sheet that reduces the value of the the depreciable asset. 
7 0
2 years ago
Kuyu Company uses the periodic inventory system. Kuyu started the period with $12,000 in inventory. The Company purchased an add
a_sh-v [17]

Answer:

$29,500

Explanation:

Given that,

Beginning inventory = $12,000

Ending inventory = $6,000

Purchases = $25,000

Purchase return = $1,500

Kuyu’s cost of goods sold during the period:

= Beginning inventory + Net purchases - Ending inventory

= Beginning inventory + (Purchases - Purchase return) - Ending inventory

= $12,000 + ($25,000 - $1,500) - $6,000

= $12,000 + 23,500 - $6,000

= $29,500

5 0
2 years ago
Three years ago, law school admits deciding whether or not to attend the schools they were admitted to typically underestimated
____ [38]

Answer:

Answer) 1)The lower supply of lawyers will lead to high salaries, and current law school admits will be more likely to decide to attend

Explanation:

Simple demand and supply logic can be used to reflect that as the supply of lawyers is lower, price (salaries of lawyers) will be higher and it will force the students to join law classes for higher salaries after completion of the programme.

3 0
2 years ago
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