'Nominal Damages' Are

question 20

Multiple Choice

'Nominal damages' are:

• A)Damages awarded to a plaintiff who has not suffered any actual loss as a result of a breach of conduct.
• B)An award of damages to the plaintiff in an amount above and beyond mere compensation, intended by the court to penalise or punish the defendant.
• C)A pre-estimate of the quantity of damages one party will be entitled to in the event of breach by the other party.
• D)Damages payable to the plaintiff that cannot be easily calculated in advance.

Apply standard costing methods to compute product costs.

Analyze the effects of favorable and unfavorable variances on income.

Describe the steps involved in the effective management of variance analysis.

Explain how flexible budgets are used in performance evaluation.

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Definitions:

Financial Statement

A written report which quantitatively describes the financial health of a company; it includes the income statement, balance sheet, statement of cash flows, and statement of retained earnings.

Normal Balance

The side (debit or credit) of an account that is expected to have a higher balance based on the accounting rules.

Temporary/Permanent

Categories used to distinguish assets, liabilities, and equity items based on their duration in financial statements; temporary items fluctuate regularly while permanent items typically remain constant over time.

Principal

The original sum of money borrowed in a loan, or the amount of the investment that is actually made.