Question: Identify which accounting principle or assumption best describes each of the following practices: a. In December 2012, Chavez Landscaping received a customers order and cash

Identify which accounting principle or assumption best describes each of the following practices:

a. In December 2012, Chavez Landscaping received a customer’s order and cash prepayment to install sod at a new house that would not be ready for installation until March 2013. Chavez should record the revenue from the customer order in March 2013, not in December 2012.

b. If $51,000 cash is paid to buy land, the land is reported on the buyer’s balance sheet at $51,000.

c. Jo Keene owns both Sailing Passions and Dockside Supplies. In preparing financial statements for Dockside Supplies, Keene makes sure that the expense transactions of Sailing Passions are kept separate from Dockside’s transactions and financial statements.

Step by Step Solution

★★★★★

3.38 Rating (160 Votes )

There are 3 Steps involved in it

1 Expert Approved Answer

Step: 1 Unlock

a Revenue recognition principle A revenue sale is the amount a company receives b... View full answer

Question Has Been Solved by an Expert!

Get step-by-step solutions from verified subject matter experts

Step: 2 Unlock

Step: 3 Unlock

Document Format (1 attachment)

267-B-A-A-C (2792).docx

120 KBs Word File

Students Have Also Explored These Related Accounting Questions!

1.Produce a frequency table and a pie chart for RACE. Summarize the results. 2.Produce the mode, median, mean, standard deviation, variance, range, minimum, and maximum for JAILCREDIT and AGEADMIT....

Which profitability ratios best answer each of the following financial questions? a. What is the income earned for each dollar invested in assets? b. What is the income earned for each dollar of...

Which risk ratios best answer each of the following financial questions? a. How quickly is a company able to collect its receivables? b. How quickly is a company able to sell its inventory? c. Is the...

Identify the journal in which each of the following transactions is recorded. 1. Cash sales 2. Owner withdrawal of cash 3. Cash purchase of land 4. Credit sales 5. Purchase of merchandise on account...

Identify which accounting principle or assumption best describes each of the following practices: a. In December 2012, Chavez Landscaping received a customer's order and cash prepayment to install...

Identify which accounting principle or assumption best describes each of the following practices: a. In December 012, Chavez Landscaping received a customer's order and cash prepayment to install sod...

Identify which accounting principle or assumption best describes each of the following practices: 1. In December of this year, Chavez Landscaping received a customer's order and cash prepayment to...

Identify which accounting principle or assumption best describes each of the following practices: (Hint (if needed): "the client is not billed" indicates that the client did not pay for the service...

Q1. The following information relates to A Company Ltd. and B Company Ltd. as at 31/12/2021 A Co. Ltd. B Co. Ltd. GHe GH Tangible non-current assets 28,000 22,000 Other intangible assets 8,000 5,000...

On September 30, ASDA Corporation declared and paid $ 2,000 cash dividends to the shareholders. The journal entry to record this transaction will be RAL Identify which accounting principle or...

Identify which accounting principle or assumption best describes each of the following practices: a. If $51,000 cash is paid to buy land, the land is reported on the buyers balance sheet at $51,000....

Find the critical t numbers on the for the image at right that correspond to the middle 80%, for a sample size of 20. Show your calculator command to determine this. b. Find the area of the region...

Certain advertisers would like to estimate the proportion of viewers who spend the majority of their television time watching alone. The consensus is that this percentage has been increasing over the...

Interpret the following findings (Results show that desired reputation, training, and development value, and prosocial value significantly influence perceptions of industry reputation. Desired...

Consider the following production parameters: Machinery time S = 3 minutes Quantity per shift Q =300 units %3D Actual performance =E = 0.96 The shift duration H= 8 hours Reliability = 0.85 How many...

Indicate the following conclusions that can be made based on your analysis of the predictors of stress and their significance. Note that significant is when p<.05. You may select more than one...

Two ropes are used to support a wooden pole momentarily to held it vertically upright as shown in the figure. Determine the resultant force exerted by the two ropes DA and DC at the top of the pole...

What is the number of cable links required for mesh topology if you have 8 stations? a. 8 O b. 64 O . 16 O d. 22

Transmission media are usually categorized as O a. guided or unguided O b. metallic or nonmetallic O c. determinate or indeterminate O d. fixed or unfixed

Describe the objectives of a systematic wage and salary administration system.

Is it possible to evaluate a cost centers profitability? Explain.

What is the difference between direct and indirect expenses?

Charleston Corporation ( CC ) now operates as a "regular" corporation, but it is considering a switch to S Corporation status. CC is owned by 1 0 0 stockholders who each hold 1 % of the stock, and...

The management of a conservative firm has adopted a policy of never letting debt exceed 40 percent of total financing. The firm will earn $16,000,000 but distribute 40 percent in dividends, so the...

Internal rate of return and modified internal rate of return: For the project shown in the following table poctured below. calculate the internal rate of return (IRR) and modified internal rate of...