During 2018, Leucothea Co. became involved in a legal dispute with a supplier. At December 31, 2018, Leucothea’s legal advisor believed that an unfavorable outcome was probable. A reasonable estimate of resulting monetary damages is $100,000 but could be as much as $200,000. Leucothea has legal liability insurance coverage that limits their loss to $80,000. After the 2018 financial statements were issued, Leucothea agreed to settle the case for $125,000. What amount of accrued liability should Leucothea have reported in its December 31, 2018 balance sheet?

Answers

Answer 1

Answer:

Answer:

$80,000

Explanation:

Prudence allows that liabilities should not be understated and assets should not be overstated .

As the case is probable to result to a liability by the lawyers assessment , this means that it is more likely to happen and liability should be recognized . However , there is an insurance that limits the liability to the tune of $80,000 regardless of the agreement made towards the settlement.

The sum of $80,00 should be recognized as the liability in the statement of financial position

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A tax on _____ is an indirect tax land buildings income gasoline

Answers

The answer for that question would be : Gasoline

Indirect tax is the the tax that could be shifted from one payer to another. In united states, the Gasoline tax is shifted the consumers so everytime the consumers choose to buy the product they not only pay for the actual products, but they also have to pay the tax that shifted from the company.

the answer is gasoline

The most liquid asset is: Sales. Cash. Accounts payable. Owners' equity

Answers

Cash is the most liquid of all assets. It is used to meet current financial obligations. Cash is also used to sustain operations. It can easily and quickly turn from cash to other assets. It is essential to maintain a certain level of cash for paying off debts, expenses, purchase of assets or for the use in operations.

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Answers

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The earliest you can submit your FAFSA is January 1st of each year.
You can fill the form out online or on paper.
Each state may have a different deadline for state financial aid.

Answers

Answer:

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Maria is going to take out a loan with a principal of $19,700. She has narrowed down her options to two banks. Bank M charges an interest rate of 7.1%, compounded monthly, and requires that the loan be paid off in five years. Bank N charges an interest rate of 7.8%, compounded monthly, and requires that the loan be paid off in four years. How would you recommend that Maria choose her loan?a.
Bank M offers a better loan in every regard, so Maria should choose it over Bank N’s.
b.
Maria should choose Bank M’s loan if she cares more about lower monthly payments, and she should choose Bank N’s loan if she cares more about the lowest lifetime cost.
c.
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d.
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Answers

Answer:

Explanation:

To answer this question we have to make comparisons between the two proposals.

1) Bank M

19700

7.1% compounded monthly = 86 annualy

5 years Maturity

Performing calculations, the outcomes:

Monthly Payment $391.01

Time Required to Clear Debt 5.00 years

60 Payments total of $23,460.82

Total Interest $3,760.82

2) Bank N

19700

7.8%

4 years maturity.

Monthly Payment $479.09

48 Payments total of $22,996.19

Total Interest $3,296.19

Both proposals consider a Constant Amortization System, with constant monthly payments. Notice also that Bank N offer lower total interest despite a higher monthly payment, and Bank M offer higher interest yield and lower monthly payment.

Answer:

Answer is B I am 2000% sure.

Explanation:

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Answers

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