Which is the result of entering a debit in an expense account?

Which statement best describes the rationale behind giving large amounts of financial aid to areas like Europe and later Latin A

notka56 [123]

Answer: A) The United States felt if Europe was financially stable then communism would be less likely to spread.

Explanation: One of the major goal of the United States in giving financial aids to Europe and Latin America was to assist in rebuilding the war-torn regions, remove trade barriers, modernize industry, improve European prosperity, and prevent the spread of Communism. This was known as the European Recovery Plan in 1948 which was to send foreign aid to Western Europe. During this period, the United States transferred over $12 billion dollars in economic recovery programs to Western European economies after the end of World War II.

3 0

2 years ago

The situations presented here are independent of each other.

rjkz [21]

Answer:

a) Pelfer Corporation redeemed $140,000 face value, 9% bonds on April 30, 2014, at 101. The carrying value of the bonds at the redemption date was $126,500. The bonds pay annual interest, and the interest payment due on April 30, 2014, has been made and recorded.

Dr Bonds payable 140,000

Dr Loss on retirement of bonds 14,900

Cr Discount on bonds payable 13,500

Cr Cash 141,400

Since the carrying value of the bonds was less than the redemption value, the company will incur in a loss.

b) Youngman, Inc., redeemed $170,000 face value, 12.5% bonds on June 30, 2014, at 98. The carrying value of the bonds at the redemption date was $184,000. The bonds pay annual interest, and the interest payment due on June 30, 2014, has been made and recorded.

Dr Bonds payable 170,000

Dr Premium on bonds payable 14,000

Cr Cash 156,400

Cr Gain on retirement of bonds 27,600

Since the carrying value of the bonds was more than the redemption value, the company will incur in a gain.

4 0

2 years ago

The primary difference between a periodic and perpetual inventory system is that a periodic systemA)keeps a record showing the i

pishuonlain [190]

Answer:

D)determines the inventory on hand only at the end of the accounting period.

Explanation:

Due to the fact of <em>inflation, </em>change of prices over time, a periodic inventory system does not provide a better record over the cost of inventory because it is only determined once in the accounting period, usually at the end of it.

Meanwhile, a perpetual inventory system keeps a record showing the inventory at all time. That is every time a sale is made, cost of goods sold (cogs) is determined.

So if a business does not need to wait until the end of the accounting period to check (cogs), it is better to use a perpetual system.

5 0

2 years ago

Where did martha stewart work before she came an entrepreneur?

Zina [86]

Martha Stewart is a Lifestyle guru and businesswoman. She was born Martha Kostyra, on August 3, 1941, in New Jersey.
Martha Stewart started her work as a model at the age of 13, she used to appear in fashion shows as well as television and print advertisements. She also<span> started a catering business in the late 1970s. Soon she was known for her gourmet menus and unique, creative presentation.</span>

3 0

3 years ago

Which of the following statements regarding an internal rate of return analysis is false?

gulaghasi [49]

Answer: Option D

Explanation: Internal rate of return ,denoted as IRR, is the rate at which the net present value of a capital investment is zero. It is the rate at which the cash flows of the investment are discounted back to calculate the present value.

While, required rate of return is that return which an investor expects to achieve over time from a capital project.

Thus, one would only select a capital project only if the NPV of a project is positive which can only happen when the return on investment, that is, IRR, is greater than cost of capital, that is, required rate of return.

4 0

2 years ago