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2 years ago

To satisfy the Statute of Frauds, a written contract or agreement must contain a description of the consideration promised.

1 answer:

3 0

It is a true statement that a typical written contract or agreement must contain a description of the consideration promised in order to satisfy the Statute of Frauds.

<h3>What is the Statute of Frauds?</h3>

This refers to the legal concept that requires certain types of contracts to be executed in writing.

In the legal field, the Statute of Frauds covers contracts for the sale of land, agreements involving goods worth over $500 and contracts lasting one year or more.

Most times, the Statute of Frauds can be satisfied by any signed writing that:

identifies the subject matter of the contract
is sufficient to indicate that a contract exists
states with reasonable certainty the material terms of the contract.

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The following information pertains to Crane Video Company:

Mashutka [201]

Answer:

Prepare Bank Reconciliation Statement

Balance at Bank as per Cash Book - Up to date $7,972

Less Lodgements not yet credited : ($1,300)

Add Unpresented Cheques $591

Balance as per Bank Statement $7,263

Adjusting Entries

Bank service charge $28 (debit)

Cash $28 (credit)

Cash $700 (debit)

Note - Receivable Crane $700 (credit)

Cash $36 (debit)

Interest Income $36 (credit)

Service Fee $20 (debit)

Cash $20 (credit)

Explanation:

First Update the Cash Book as follows:

<u>Debit :</u>

Cash balance $7,284

Crane $700

Interest $36

Totals $8,020

<u>Credit:</u>

Bank service charge $28

Crane : fee $20

Balance - Up to date $7,972

Totals $8,020

Then, Prepare Bank Reconciliation Statement

Balance at Bank as per Cash Book - Up to date $7,972

Less Lodgements not yet credited : ($1,300)

Add Unpresented Cheques $591

Balance as per Bank Statement $7,263

Adjusting Entries

Bank service charge $28 (debit)

Cash $28 (credit)

Cash $700 (debit)

Note - Receivable Crane $700 (credit)

Cash $36 (debit)

Interest Income $36 (credit)

Service Fee $20 (debit)

Cash $20 (credit)

7 0

3 years ago

Cheese makers in Wisconsin sell their leftover brine to local city and county highway departments, which use it in conjunction

alexdok [17]

Answer:

A) By product pricing

Explanation:

If you are able to sell your companies by products it is a great way to make more money and to reduce costs. Imagine if the cheese factories needed to throw away all that brine. They would need to develop some waste disposal facility which obviously costs money to build and operate. Instead they are lowering their costs by selling it and at the same time are getting more money. They would probably even give it away for free if no one was willing to pay for it.

5 0

3 years ago

Onslow Co. purchases a used machine for $192.000 cash on January 2 and readies it for use the next day at a $10,000 cost. On Jan

natita [175]

Answer:

a. Debit Other income/disposal account (p/l) $204,000

Credit Asset account $204,000

Being entries to derecognize cost of asset on disposal

Debit Accumulated depreciation account $150,800

Credit Other income/disposal account (p/l) $150,800

Being entries to derecognize the accumulated depreciation of asset as at date of disposal

Debit Cash account $21,000

Credit Other income/disposal account (p/l) $21,000

Being entries to record amount received on disposal of asset

b. Debit Other income/disposal account (p/l) $204,000

Credit Asset account $204,000

Being entries to derecognize cost of asset on disposal

Debit Accumulated depreciation account $150,800

Credit Other income/disposal account (p/l) $150,800

Being entries to derecognize the accumulated depreciation of asset as at date of disposal

Debit Cash account $84,000

Credit Other income/disposal account (p/l) $84,000

c. Debit Other income/disposal account (p/l) $204,000

Credit Asset account $204,000

Debit Accumulated depreciation account $150,800

Credit Other income/disposal account (p/l) $150,800

Being entries to derecognize the accumulated depreciation of asset as at date of destruction of machine by fire

Debit Cash account $31,500

Credit Other income/disposal account (p/l) $31,500

Being entries received on the insurance settlement

Explanation:

Depreciation is the systematic allocation of the cost of an asset to the income statement over the estimated useful life of that asset.

It is determined as the depreciable value of the asset over the estimated useful life of the asset where the depreciable value is the difference between the cost and salvage value of the asset

Mathematically,

Depreciation = (Cost - Salvage value)/Estimated useful life

When the amount received from the disposal of an asset is higher than the carrying value of the asset, the company makes a gain on disposal. The proceed from the disposal of an asset may be recorded in the disposal or other income account.

On disposal, the carrying amount of the asset is derecognized by

Debit Other income/disposal account (p/l)

Credit Asset account

with the cost of the asset, then,

Debit Accumulated depreciation account

Credit Other income/disposal account (p/l)

With the accumulated depreciation of the asset at the date of disposal,

Furthermore,

Debit Cash account

Credit Other income/disposal account (p/l)

with the amount received from the disposal or sale of the asset

Total cost = $192000 + $10000 + $2000

= $204,000

Depreciation

= ($192000 + $10000 + $2000 - $23040)/6

= $30,160

Accumulated depreciation at the end of its fifth year

= 5 * $30,160

= $150,800

3 0

3 years ago

Read 2 more answers

A customer asks Roger a question about a product, and he isn't sure of the correct answer. He immediately phones his supervisor

Vikentia [17]

Answer:

Roger used the technique of "responding to every concern by the customer" for building positive customer relations.

Explanation:

Building up strong customer relationships includes following techniques:

Communication which means inquiring customer needs and wants, listening to them, providing them information.
Exceeding Customer Expectations
Providing Value in the form of quality products and services
Responding to every concern which means taking each and every question, doubts or concerns of a customer seriously and providing them with the required information.

In the given case, the moment Roger knew that he wasn't sure of the information asked for, he immediately rang up his superior to get the exact correct information so as not to disappoint the customer.

This technique relates to responding to every concern by a customer.

5 0

3 years ago

DeLong Corporation was organized on January 1, 2017. It is authorized to issue 14,500 shares of 8%, $100 par value preferred sto

Valentin [98]

Answer and Explanation:

According to the scenario, computation of the given data are as follow:

Journal entries

On Jan. 10

Cash A/c ($6 × 84,500) Dr. $507,000

To Common stock A/c ($3 ×84,500) $253,500

To Paid in capital in excess of stated value common stock A/c $253,500

On Mar. 1

Cash A/c($110 × 5,150) A/c Dr. $566,500

To Preferred stock A/c ($100 × 5150) $515,000

To Paid in capital in excess of par –preferred stock A/c $51,500

(Being the issuance of the preferred stock is recorded)

On April 1

Land A/c Dr. $81500

To Common stock A/c ($3 × 23,500) $70,500

To Paid in capital in excess of stated value common stock A/c $11,000

(Being the issuance of the common stock is recorded)

On May 1

Cash A/c ($5 × 84,000) Dr. $420,000

To Common stock A/C($3 × 84,000) $252,000

To Paid in capital in excess of stated value common stock A/c $168,000

(Being the issuance of the common stock is recorded)

On Aug. 1

Organizational expenses A/c Dr. $39,500

To Common stock A/c ($3 × 10,000) $30,000

To Paid in capital in excess of stated value common stock A/c $9,500

(Being the issuance of the common stock is recorded)

On Sep 1

Cash A/c ($7 × 11,500) Dr. $80,500

To Common stock ($3 × 11,500) $34,500

To Paid in capital in excess of stated value common stock A/c $46,000

(Being the issuance of the common stock is recorded)

On Nov 1

Cash A/c ($111 × 2,000) Dr. $222,000

To Preferred stock A/c ($100 × 2,000) $200,000

To Paid in capital in excess of par-preferred stock A/c $22,000

(Being the issuance of the preferred stock is recorded)

3 0

3 years ago