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Derek Said:

Please help on Another 5 True or False Accounting questions?

We Answered:

1. T
2. T
3. F - an example of how you can record something on one side of the equation is purchasing assets for cash. It only affects the assets but the accounting equation still balances.
4. F - the insurer would record a liability, but the insured has a prepaid expense
5. T

Arthur Said:

So, you think government mandates are good, huh?

We Answered:

the mandate will have specific minimum levels of coverage that some people may have had less insurance that would be one reason for an increase. if they are doing like most states and you must show proof of ins. for registration inspection or traffic stop. you will have people buying a six month policy on payments to get the proof sheet and not paying the payments some will have a claim and both situations drive up costs. universal liabiality insurance means more claims on the policies as no one is willing to work these things out off the books like when it is not required. also the state will see more lawsuits to settle auto accident claims. same as texas when they put in mandatory liability in the 80s

Dwayne Said:

PLease help on these 5 True or False Accounting questions?

We Answered:

1. F, (there is a lot more to cost accounting than just man-hours)
2. F. (capital can be cash, fixed assets, equity and more)
3. T (if the 2 amounts refer to the same line-item)
4. F (once paid, it is a prepaid item)
5. T

Karl Said:

Is it just coincidence that they want to mandate the only insurance not yet mandated?

We Answered:

Sounds like a very strong argument for a Single Payer Health Care System to me...