Convex Computer Company Makes Many Different Forecasts

question 8

Multiple Choice

Convex Computer Company makes many different forecasts.Which of the following forecasts is probably the least accurate?

• A)Total number of computers (laptops and desktops)to be sold next month.
• B)Total number of laptops to be sold next month.
• C)Total number of desktops to be sold next year.
• D)Total number of laptops with 2 gigabyte RAM,80 gigabyte hard drive,and 16x DVD drive to be sold next year.

---

Definitions:

Interest Revenue

Income earned on investments, loans, and other interest-bearing financial assets, reflecting the cost paid to the entity for the use of its funds.

AASB 16

The Australian Accounting Standard Board 16 specifies the principles for the recognition, measurement, presentation, and disclosure of leases, both for lessees and lessors.

IFRS 16

An International Financial Reporting Standard that specifies the principles for recognizing, measuring, presenting, and disclosing leases, primarily affecting lessees by requiring most leases to be reported on the balance sheet.

Manufacturer/Dealer Lessors

Entities that lease out assets they manufacture or sell, as part of their main business operations, to earn income and stimulate demand for their products.