On December 1, 2015, a company pays $3,600 for a 36-month insurance policy. After one month,
accrual accounting requires (100/3,600) of insurance expense be reported on the income
statement ending December 31, 2015. However, if cash basis accounting is used,
(100/3,600) of insurance expense would be reported at the time of purchase.

Accrual accounting requires $100 insurance expense

Cash basis accounting recognized $3,600 insurance expense

Explanation:

Using accrual basis of accounting, the company will recognize expenses when incurred whether paid or not. Thus during 2015, the company's expense in insurance is from December 1 to December 31 only. So $3,600 divided by 36 months is $100.

When Cash basis accounting is used all expenses with actual cash outflow will be recognized. Thus, the whole amount of $3,600 insurance policy will be charged to insurance expense as a whole during the year 2015.

being born in poverty would limit the people's chances, opportunities and benefits.

this happen because of several things, such as:

- poor people tend to gain less access to good education and nutrition. this mean that their chance to obtain high paying jobs would also be limited.

- poor people tend to socialize with other poor people while the rich tend to socialize with other rich people. this means that simply throguh their social circle, rich people would have more business opportunities compared to the poor people.

- rich people tend to have more capital in their disposal. this would benefit them in business since it is far easier for them to fund their business operation compared to poor people.

answer about 4-5 percent of the labor force is unemployed;