Polyolefins such as polyethylene undergo slow degradation when placed in air. Degradation occurs by reactions with atmospheric oxygen that lead to the formation of carbonyl groups (groups containing oxygen), gradual….
When a company has net income, what happens to its assets and/or to its liabilities?
Calculate profit margin for 20×7 using the following data: A company has net income of $7,000 and net sales of $82,000 in 20×7.
Develop a brief answer to each of the following questions.
1. When a company has net income, what happens to its assets and/or to its liabilities?
2. Why must a company that gives a guaranty or warranty with its product or service show an expense in the year of sale rather than in a later year when a repair or replacement is made?
3. Is accrual accounting more closely related to a company’s goal of profitability or liquidity?
4. Will the carrying value of a long-term asset normally equal its market value?