Answer:
Mijka Company
a. Journal Entries
Debit Cash $30,400
Credit Service Revenue $30,400
To record the proceeds for services provided.
Debit Expenses $13,800
Credit Cash $13,800
To record the payment of cash for services.
Debit Dividend $2,100
Credit Cash $2,100
To record the payment of cash dividend.
b. Income Statement for the year ended December 31, 2018:
Service Revenue $30,400
Expenses 13,800
Net Income $16,600
Dividends (2,100)
Retained earnings $14,500
Statement of Changes in Stockholders' Equity as of December 31, 2018:
Retained Earnings $14,500
Balance Sheet as of December 31, 2018:
Assets:
Cash $14,500
Equity:
Retained Earnings $14,500
Explanation:
a) Data and Calculations:
Cash revenue $30,400
Cash expense (13,800)
Cash dividend (2,100)
Cash balance $14,500
Answer:
$202,200
Explanation:
DINK (double-income no kids): It suggest to add half all the marriage debt to the funeral expenses:
To the funeral expenses you will add half of the debts:
350,000 / 2 = 175,000 for mortgage
18,600 / 2 = 9, 300 for atomobile loan
5,200 / 2 = 2,600 for credit card debt
9,800 / 2 = 4, 900 other debt
funeral exp <u> 10, 400 </u>
<em>insurance: 202,200</em>
Answer:
$24,990
Explanation:
2/15 net 45 means that if the customer pays within the period of 15 days, he will get the discount of 2% of invoice amount, otherwise he has to pay the whole amount of invoice within the period of 45 days.
In the given scenario, since the Pound Co. has paid the invoice within the discount period, so therefore, the Pound Co. has availed the discount of 2% and accordingly the sales amount shall be recorded as follows:
Sales amount=Invoice amount*98%
=$25,500*98%
=$24,990
Answer:
-The technology that is available for the market.
- The nature of the products
Explanation:
Latest technology often able to produce larger amount of products with significantly lower time. This will help reduce the overall cost of production in the long run. Business owner need to consider this and calculate whether the initial investment that needed to be made to install the technology will worth the value in the long run.
Nature of the products consisted of all the characteristics that our products process. For example food products tend to not have a long shelf life unlike fashion product. This difference in characteristics influence the type of production method that business owners could implement.
For example, It is impossible for business owners to mass produce produce food products with the expectation that it can maintain their quality in the warehouse, but producer of fashion products could make that expectation.
Letter of credit that can be split up between many suppliers, each able to present their own documents for payment and allowing the trader to take his profits from the balance of the credit, is called Transferable Letter of Credit
.
Explanation:
Transferable Letter of Credit is a credit document in which the party can transfer the credit in full or partial to another beneficiary.
A transferable credit letter that enables a receiver to further pass all or part of the payment to another supplier in the chain or to some other receiver. This usually occurs when the recipient is merely a conduit to the actual supplier. Such LC allows the beneficiary to have their records, but to further pass the credit.
