Which of the following is not an issue that must be considered in determining transaction price?

Q: Why does Sales discounts are variable consideration?

A: Variable considerations: Variable consideration refers to the amount that the corporation is…

Q: Why is consignment not a sale?

A: The companies derived revenue by selling goods or delivering services. The companies main objective…

Q: What is the concept of material inventory error?

A: Raw materials inventory: Raw material inventories are the primary materials which are used in the…

Q: What are the Uneven-Payment Series?

A: What are the Uneven-Payment Series.

Q: What costs are associated with not granting credit?

A: Cost Management -The preparation and supervision of a company's budget is known as cost management.…

Q: What Is The Lean Perspective on Inventory?

A: Lean perspective on inventory is an approach which helps the organization to reduce the wastage an…

Q: What are the differences between market ordersand limit orders?

A: Market orders might not be executed external of market times or if trading in a specific stock is…

Q: State the difference between secondary market and primary market.

A: Financial Markets refer to the place where financial assets or securities are being created,…

Q: What are situations where valuation is applie

A: The process of assessing the fair market value of a company's assets or operations is known as…

Q: Why might purchasing power parity fail to hold?

A: It refers to the relationship which indicates the same cost and same kinds of products in the market…

Q: What is the Fama-MacBeth Method in asset pricing assumptions?

A: Fama Mac Beth method is kind of regression method used for determining of parameters for like CAPM…

Q: Explain how the lower of cost and net realizable value rule is applied to purchase commitments.

A: Purchase Commitments: It refers to the commitments or contract made by a company with its suppliers…

Q: How is standalone selling price defined?

A: Performance Obligation: Performance obligation refers to the obligation that the seller to provide…

Q: What are the different risks associated in the accounting of inventories?

A: Answer: Inventories are the current assets of the company which are realizable within 12 months from…

Q: Which of the following should be avoided in a contract if cost certainty is important?…

A: Several options have been proposed as the clause that should be avoided in a contract if cost…

Q: Understand how variable consideration and other aspects of contracts affect the calculation and…

A: Variable consideration:  It refers to the amount of revenue that is to be recognized as per the…

Q: What is meant by the terms clean price and dirty price?

A: Clean price: The clean price is the price of a coupon bond does not comprise any accumulated…

Q: What is a trading venue?

A: Answer: Trading facility is nothing but a facility where the financial instruments of many buyers…

Q: Define Monetary/non-monetary method

A: Monetary and Non-Monetary Method Monetary Assets/Liabilities - Assets/Liabilities whose value…

Q: Explain the differences between the pooling of interests and purchase methods in terms of related…

A: When combining two firms into one or during the time of merger there are different accounting…

Q: What are goods "in transit" and good in "consignment"? Why are they must be considered in light of…

A: The goods in transit are all such goods which has left the dock of seller and not yet reached the…

Q: What is meant by the term sales mix?

A: Sales Mix: Sales mix is the relative proportion or ratio of a business's products that are sold.…

Q: how is the selling price computed

A: Formula: Selling price=Cost100%-Gross profit ratio

Q: What are the limitations of TCE approach to the make or buy decision?

A: TCE Approach is Transaction Cost Economics Theory. It means an activity should be performed within…

Q: How are sellers constrained from recognizing variable consideration, and under what circumstances…

A: The seller generally recognizes the amount of revenue which they believe will be received. In case…

Q: Distinguish between par value and issue price.

A: Solution: Par value is a value assigned to a financial instrument issued by the company. It is…

Q: What is purchasing power parity? Why might purchasing power parity fail to hold?

A: To measure the prices of goods in different countries purchasing parity is used. As per the…

Q: What is purchasing power parity? How might afirm use this concept in its operations?

A: The question is based on the concept of equilibrium exchange rate in forex market, Purchasing power…

Q: Who is an unpaid seller? Give an example using a situation/scenario.

A: A seller is someone who offers goods or services to the customers. Seller sells its goods or…

Q: Discuss the differences between a market order, limit order, and stop order.

A: Solution: Stock market is the place where securities are traded in market. There are different types…

Q: How will you differentiate contract of sale from contract to sell?

A: Accounting is primarily concerned with identifying, recording, measuring, summarizing transactions…

Q: What is positional bargaining

A: Positional bargaining: Positional bargaining may be a negotiation tact including locking onto a set…

Q: What is the concept underlying the current rate method of translation? What is the concept…

A: There are two main methods of currency translation accounting: The current method -when the…

Q: Define the term Uneven-Payment Series?

A: Payment series: It can be defined as the sequential payments being made to another party over a…