Identify the accounting concept, assumption, or principle that best applies to each of the following situations: a. Inflation
has been abound 2.5% for some time. VillageVillage Realtors is considering measuring its land values in inflation-adjusted amounts. b. You get an especially good buy on a laptoplaptop, paying only $ 300$300 when it normally costs $ 800$800. What is your accounting value for this laptoplaptop? c. Burger KingBurger King, the restaurant chain, sold a store location to McDonaldMcDonald's. How can Burger KingBurger King determine the sale price of the storelong dash—by a professional appraisal, Burger KingBurger King's original cost, or the amount actually received from the sale? d. General MotorsGeneral Motors wants to determine which division of the companylong dash—ChevroletChevrolet or CadillacCadillaclong dash—is more profitable.
a. Inflation has been abound 2.5% for some time. Village Realtors is considering measuring its land values in inflation-adjusted amounts - Stable-monetary-unit assumption
b. You get an especially good buy on a laptop, paying only $ 300$300 when it normally costs $ 800. What is your accounting value for this laptop? - Historical cost principle
c. Burger King, the restaurant chain, sold a store location to McDonald. How can Burger King determine the sale price of the store long dash—by a professional appraisal, Burger King's original cost, or the amount actually received from the sale? - Historical cost principle
d. General Motors wants to determine which division of the company long dash—Chevrolet or Cadillac long dash—is more profitable - Entity assumption
b) Assuming C1 is the domestic currency, an increase in E will cause price of C2 in term of C1 to; Decline
c) If the value of e decrease, given that E is increasing, then Country Y would be experiencing a lower rate of inflation compared to Country X
d) if foreign goods are relatively less expensive compared to the domestic goods and assuming that the nominal exchange rate of the currencies is equity, then there is disparity in the real exchange rate.
<span>Exporting has the least amount of risk. This is because the company is simply selling its wares to other businesses and consumers, without having to worry about licensing the product, getting permissions from other governments, or having to jump through loopholes to get the product in the hands of the intended audience.</span>
The spike in the number of people who wanted to eat healthier.
Explanation:
Whole Foods is aimed at selling the most high-quality organic products. Organic is allegedly healthier than regular food (since they are required not to use chemicals to treat them), and this helped Whole Foods when the "eat healthier" fad came around in the US and other countries.
The term profit is a term used to describe financial gain. The profit is the difference between the amount of money earned on a business transaction involving the sale of an item or service, to the amount spent to produce, to procure, or the put in a function condition.
In the question, the amount consumed or spent to make the product = $3,000
The amount for which the product was sold = $ 4,000
