Answer: Leveraged buyout
Explanation:
leveraged buyout is a system of business concept that describes an acquisition of a company done by debts. Where a company acquires another through borrowing money to match the cost of the company being bought. Company assets are often used as loan for collateral in this case and they are often used to trade the profit of many private equity firms.
This is what the employees at Hidden Valley Communications, Inc. did.
Answer:
a
Explanation:
when you go to the doctor, you pay copay
Answer:
C) $22,727.
Explanation:
to calculate the 2019 layer, I will first determine the value of the 2019 inventory using LIFO:
(2018 inventory / 2018 price index) + (2019 inventory - 2018 inventory) = ($300,000 / 1.1) + ($350,000 - $300,000) = $272,727 + $50,000 = $322,727
to determine the LIFO layer = adjusted 2019 inventory - 2018 inventory = $322,727 - $300,000 = $22,727
The LIFO layer represents the difference in cost of goods sold from the ending of one year to the next year.
Answer:
Reflected in current and future years' financial statements, not in prior statements.
Explanation:
A change in accounting estimate can be defined as a necessary adjustment of the book value or carrying value (cost of an asset in the balance sheet minus its depreciation) of an asset, which usually arises as a result of the assessment of its current status, expected benefits in a future date and obligations with respect to the assets.
Hence, a change in an accounting estimate is reflected in current and future years' financial statements, not in prior statements. This simply means that, a change in accounting estimate should be accounted for prospectively by the accountants; this is in accordance with the International Accounting Standards Board (IASB), International Financial Reporting Standards (IFRS) and the Generally Accepted Accounting Principles (GAAP).
Also, note that a change in an accounting estimate is not necessarily a correction of errors, rather it arises as a result of change in information or a new development regarding the asset or liability. Examples of informations that are being changed in an accounting estimate are; depreciation, warranty liability, bad-debt allowance etc.
<em>Additionally, a change in an accounting estimate does not require the accountant or financial expert stating the previous financial statement. </em>
Answer:
While a competitive market determines the equilibrium point by staying in tune with the supply and demand curves, a perfectly competitive market does not have that luxury. A perfectly competitive market must accept the price point and must only decide how much to sell.
Explanation: