Goodwill can be recorded:   1. whenever the company acquires a good location for its business. 2. whenever the company has exclusive dealing arrangements with sought-after suppliers 3. whenever the company has an effective pricing strategy that brings in customers

Q: Are there significant distinctions between conducting adjustment and closing for a service firm and…

A: Service Industry Service industry mainly focus on the providing services to the customers and the…

Q: friendl A merger customer friend unfrie vertic O horizc

A: A friendly merger occurs when both management and shareholders agrees to the deal.   An unfriendly…

Q: What is difference between accounting for a long-term contract and accounting for a more normal sale…

A: Sale Revenue is recognized when the goods are actually dispatched and delivered to the customer. In…

Q: Briefly describe how the purchases and sales of inventory with the same counterparty are similar to…

A: Nonmonetary exchange: Nonmonetary exchange can be defined as the exchange of any asset or any…

Q: Which of the following in NOT a potential benefit of granting trade credit? O May allow quicker…

A: Trade credit is a business arrangement where a seller allows a buyer to purchase goods or services…

Q: In a purchase transaction, when the buyer includes a debit to transportation in and an addition to…

A: FOB Destination, freight collect: All the responsibility of goods lies with the seller till…

Q: If a company sells a product, and gives the buyer the right to return the product within a specified…

A: Hi student Since there are multiple questions, we will answer only first question.

Q: Match the accounting term with its correct definition. Question 1 options: 1. contains deductions…

A: Introduction:Periodic Inventory:The periodic inventory system is based on periodic reviews and…

Q: when a company holds the merchandise for another company to sell, that merchandise is said to be…

A: Any good which is produced by the business to be kept to sale once it is a finished good. Such sale…

Q: DEFINITIONS 1. Open position 2. Transaction exposure report 3. Hedging 4. Transaction

A: Note: Since we only answer up to 3 sub-parts, we’ll answer the first 3. Please resubmit the question…

Q: Which of the following statements is true about goodwill? а. Goodwill may be recorded when the fair…

A: SOLUTION GOODWILL IS AN INTANGIBLE ASSET THAT IS ASSOCIATED WITH THE PURCHASE OF ONE COMPANY BY…

Q: Do you think that the role of Accounting is very important in a Merchandise business? If yes,…

A: SOLUTION- A merchandising business buys goods in finished form for resale to customers. A…

Q: A major function of brokers is: O storage and warehousing O bringing buyers and sellers together O…

A: A broker is an intermediary that brings sellers and buyers together. They are usually paid a…

Q: A firm's manager must decide whether to make buy a certain item

A: Investment decision Investment decisions are managerial decisions taken to decide the proportion of…

Q: Required: Do you think that the role of Accounting is very important in a Merchandise business? If…

A: The business that are engaged in the sale of products are known are merchandise business. The main…

Q: Which of the following refers to the ability of a firm to buy repeatedly from a supplier on trade…

A: Trade credit is a short term financing tool available to companies.Using trade credit a company is…

Q: When an exchange of inventory items between an enterprise and another entity is undertaken to serve…

A: Non-monetary exchange is governed by Accounting for Non-monetary Transactions

Q: Describe post sales service arrangements the firm does or should provide

A: After sale services help the companies achieve customer satisfaction and retain their customers.…

Q: Which of the following statements is true about goodwill? O a. Goodwill may be recorded when it is…

A: Goodwill is recorded when one company acquires another in a business combination and amount of…

Q: For sellers of goods, the revenue recognition principle generally requires that revenues be recorded…

A: The objective of the question is to understand when the revenue recognition principle allows sellers…

Q: Provide one example of a transaction that affect  service business and  merchandise business.

A: Business refers to all those organization or company who engaged in any type of industrial,…

Q: ULTIPLE CHOICE. Answer the following: 1.It show how efficient the business is as to its purchase or…

A: Ratios are very important in the comparing the performance of company with other similar companies…

Q: -It is used to who is responsible for paying shipping and when the title of the goods passes from…

A: Terms that determine the responsibility of bearing of shipping cost are shipping terms.

Q: The GAAP is an acronym that represents which of the following?Choose one answer.a. Principles for…

A: GAAP refers to as the Generally Accepted Accounting Principles.

Q: Is there a significant difference between adjusting and closing for a service firm and a merchandise…

A: Merchandise Company is a company that purchases finely finished goods and commodities and later…

Q: Why should a business engaged in merchandising always try to negotiate with its vendors, the…

A: Inventory is the detailed list of items that are present on hand. It constitute of all the finished…

Q: What accounting challenges do international commerce (imports and exports) provide for a business

A: Introduction : International business refers to the selling and purchase of products and services…

Q: The accounts payable department usually has responsibility for approving acquisitions for payment by…

A: SOLUTION-   AN ACCOUNTS PAYABLE DEPARTMENT'S  MAIN RESPONSIBILITY IS TO PROCESS AND REVIEW…

Q: One such issue is the Sale with Right of Return. Discuss how do you recognize revenue when the…

A: Revenue Recognition: Revenue recognition is a bookkeeping rule that states that income should be…

Q: Which of the below mentioned PPIs issued by an entity for facilitating the purchase of goods and…

A: PPI are prepaid financial instruments these have some value of money stored in them.

Q: SCP Corporation purchased inventory on account from OBP Corporation . Which of the following happens…

A: According to the above question, Step 1: The first step in SCP's acquisition/payment process.

Q: The purchase order, usually in writing, is a legal document that is... Select one: An offer to buy.…

A: A purchase order is an agreement that binds the two parties i.e. the client and the supplier, such…

Q: Identify the document or record used in the expenditure cycle based on the description set out…

A: Document is written record for every relevant transaction.

Q: Differentiate between a remittance advice and a customer invoice within the sales process of an…

A: Accounting exchanges are those exchanges that legitimately influence the financial statements of a…

Q: the discount that is being acquired

A: First option is wrong because the cash discount is the discount given by the seller to the buyer for…

Q: e list price of a product agreed betw anufacturer to a wholesaler? a. Mark up b. Trade discount c.…

A: Option B is the Correct Answer.

Q: Under the negotiated transfer pricing approach, the minimum transfer price is established by the…

A: Transfer pricing is the process of determining prices for products, services, or intangible assets…