All categories

2 years ago

Expenses retained earnings; therefore, to increase any expense, one would the expense account.

Business

1 answer:

Liula [17]2 years ago

6 0

Expenses decreases retained earnings; therefore, to increase any expense, one would debit the expense account

What does retained earnings mean?

Retained earnings are profits retained in the business for reinvestment and for expansion purposes, in essence, expenses would reduce the retained earnings, the higher the expenses, the lesser the retained earnings become.

From a double entry point of view, an increase in expenses would be debited to expense account and a decrease is credited instead.

Find out more retained earnings on:brainly.com/question/15175380

#SPJ1

You might be interested in

Assess the way in which a business would benefit from a low interest rate 6 mark

Sophie [7]

Answer:

one way that a business would benefit from a low intrest rate is that there will be more customer because the borrowing rate is low

Explanation:

5 0

4 years ago

Indigo Corporation wants to transfer cash of $182,400 or property worth $182,400 to one of its shareholders, Linda, in a redempt

jolli1 [7]

Answer and Explanation:

The computation is shown below:

a. The distribution of Property A would result in a recognized gain

= $182,400 - $91,200

= $91,200

b. The distribution of Property B would result in a disallowed loss is

= $182,400 - $237,120

= -$54,720

c. The sale of Property B to an unrelated party in a recognized loss is

= $182,400 - $237,120

= -$54,720

8 0

3 years ago

Bernicald, a fashion e-commerce site that has openings for the posts of content analysts and Internet marketing analysts, decide

velikii [3]

Answer:

External recruitment

Explanation:

Based on the scenario being described within the question it can be said that Bernicald is engaged in the process of External recruitment. This term refers to looking at a pre-selected pool of job candidates that do not currently work for the company, in order to see if there are any individuals qualified enough to fill or perform a certain job vacancy within the company. These candidates can be gathered from many different places such as surveys, walk-in applications, or even social media websites.

5 0

4 years ago

Read 2 more answers

Escanaba purchased five-year debt securities on 1/1/21, which it plans to hold until maturity. At 12/31/21, the market value is

Sliva [168]

Answer:

Escanaba should report their investment as held to maturity securities, therefore, they must be reported as non-current assets (since they mature in more than 1 year). Generally HTM securities are reported at their amortized cost.

This means that any change in their market price (gains or losses) will not be reported in the balance sheet nor the income statement.

7 0

3 years ago

In a fractional reserve banking system: Group of answer choices banks create money by printing it. banks create money by making

r-ruslan [8.4K]

Answer:

the size of M1 can only be a fraction of checkable deposits.

Explanation:

fractional reserve banking system requires that a fraction banks receive as deposits from customers be kept as reserves with the central bank and the rest be made out as loans.

M1 consists of coins, demand deposits and currency in circulation. Banks determine the money in circulation by giving out loans. so the size of M1 can only be a fraction of checkable deposits.

3 0

4 years ago

Expenses ______ retained earnings; therefore, to increase any expense, one would ______ the expense account.

Expenses retained earnings; therefore, to increase any expense, one would the expense account.