Answer:
Debit to Rent Expense for $700
Explanation:
When the company paid $1,200 in advance for 12 months of rent, the monthly amount is $100 [$1,200 ÷ 12 months]. After seven months have passed, the prepaid rent that has expired is $700 [$100 × 7 months].
When the rent was prepaid, the resulting journal entry was:
(DR) Prepaid Rent, $1,200
(CR) Cash, $1,200
To expire seven months of prepaid rent, the resulting journal entry is:
(DR) Rent Expense, $700
(CR) Prepaid Rent, $700
Answer:
b. inventory for $1516.
Explanation:
Term 2/10, n/30 means there is a discount of 2% is available on payment of due amount within discount period of 10 days after sale and net credit period of 30 days.
Purchase value = $83,000
Purchases return = $7,200
Amount Due = $83,000 - $7,200 = $75,800
As the $75,800 is paid within discount period, so discount will be given to customer
Discount = $75,800 x 2% = $1,516
Payment Made = $75,800 - $1,516 = $74,284
Gross method does not record the discount value it recognise the inventory at its gross amount and discount is adjusted in the inventory account after that.
Gross Profit = Revenue - Cost of Goods Sold is the formula for calculating gross profit.
<h3>What is Gross profit?</h3>
Gross profit is the amount of money your company makes after paying its expenses. Your net profit is your earnings after all expenses have been paid. The money that remains after an organization has paid for the products and services it sold is known as gross profit. The amount that is left over after all costs and taxes have been paid is the company's net profit.
The profit a company makes after deducting all of the expenses involved to producing and offering its goods or services is known as gross profit. The cost of goods sold (COGS) is subtracted from your total sales to determine gross profit.
To learn more about Gross profit from the given link:
brainly.com/question/18567528
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Answer: Option C
Explanation: Oligopoly refers to a market structure where a few firms dominate the complete market. The level of investment in such industries is very high so it is not easy to enter or exit these industries.
Automobile is one of many examples of oligopoly structure. There are few big firms in the industry therefore the operations of one affects the operation of others.
Hence from the above we can conclude that the correct option is C.
