Answer:
is a potential liability that has arisen because of a past event or transaction.
Explanation:
A contingent liability is a potential liability that has arisen because of a past event or transaction.
Some of the characteristics of contingent liabilities includes being remote, probable, estimable, and reasonably possible.
In order to record a contingent liability as a liability on a company's balance sheet, it must be probable (likely to occur) and subject to estimate.
Hence, companies are advised to record the contingent liabilities so as to meet the Generally Accepted Accounting Principles (GAAP) and IFRS requirements.
Answer:
Functional departmentalization
Explanation:
Functional departmentalization is when employees in an organisation are placed in units based on the functions performed by the employees.
Answer: 88.89 or 89
Explanation: Futures contract refers to a legal binding which obligates a buyer and seller to transact about a commodity, good, security or services at a predetermined price but goods are delivered or paid for in the future.
Given the following ;
Portfolio value(p) = $20million
Portfolio Beta (b) = 1.2
Index price (i) = 1080
Multiplier = 250
Future value(A) = index price × multiplier
Future value(A) = 1080 × 250 = 270000
Number of contracts (N) = (portfolio value × portfolio Beta) ÷ future value
N = ($20,000,000×1.2)÷270000
N = 24000000 ÷×270000
N = 88.8888=88.89
N = 89 (NEAREST whole number)
Answer:
10%
Explanation:
Use future value formula
Future Value = Present Value ((1+r)^n)
26,600 = 20,000 ((1+r)^3
26,600/20,000 = (1+r)^3
1.33 = (1+r)^3
1.33^1/3 = 1+r
1.0997 = 1+r
1.0997 - 1 = r
r = 0.997 = 9.97% = 10% (rounded of to the nearest whole percentage)
Answer:
The amount of job costs added to Work in Process Inventory during October is $26,950
Explanation:
Computation of manufacturing overheads is given below:
Manufacturing Overheads=Direct Labor × 200%
=($3,400 + $5,500) × 150%
=$8,900 × 150%
=$13,350
Job Cost = Direct Materials+ Direct Labor+ Overheads Cost
=($1,900+$2,400) + ($3,400+$5,900) + $13,350
=$4,300 + $9,300 + $13,350
=$26,950
