Answer:
Dr Owner capital account $275
Cr Drawings Account $275
Explanation:
The initial entry was:
Dr Drawings $275
Cr Inventory $275
And the closing entry is to close the drawing account which is done by crediting the whole balance left in the drawing account and charging it to owner capital account. By doing so the drawing shows lowers the profit as the owner has not paid any cash and the drawing account closes at zero balance at the end of the year.
Answer:
9,000 minimum emergency fund
Explanation:
The emergency fund is a portion related to the monthly expenses of the family or person.
It should be as low as 3 months and about 6 month to be safe.
It is important to notice this doens't mean the cash should be under the pillow. We can have this amount investment in a high-liquity investment if wanted.
For this couple as they have 3,000 expenses they should do an eemergency fund of at least 9,000 dollars
Answer:
Journal Entries
Date Accounts Titles Debit Credit
Nov 1 Warranty expense $3,120
($52,000 * 6%)
Estimated warranty payable $3,120
Nov 20 Estimated warranty payable $1,600
Cash $1,600
Dec 31 Vacation benefit expense $6,000
Vacation benefit payable $6,000
Dec 31 Employee bonus expense $1
,515
Employee bonus payable $1,515
<u>Working</u>
Bonus = 3% * (Net income-Bonus)
Let bonus= x
x = 3% * (52,000 - (1+x))
x = 0.03 * (52,000- (1+x))
x = 1560 - 1.03
1.03x = 1560
x = $1,560 / 1.03
x = $1,514.5631
Bonus= $1,515
Answer:
12.09%
Explanation:
The computation of the total percentage return on this investment is shown below:
= {(Sale price of the stock - purchase price of stock + dividend received per share) ÷ purchase price of stock) × 100
= {($47.76 - $43.58 + $1.09 ) ÷ $43.58} × 100
= ($5.27 ÷ $43.58 ) × 100
= 12.09%
We simply applied the above formula so that the total percentage return on this investment could come
The accounts receivable credit column of the cash receipts journal is "posted in summary at the end of the month and by individual amounts on a daily basis".
<u>Option: D</u>
<u>Explanation:</u>
In general ledger the sums in the debit and credit column are reported personally. The calendar of receivable accounts is lists of all clients 'accounts, account balances, and total amount due. Here the accounts receivable credit column are those in which the cash receipts journal column is the sums that are added separately to the receivable ledger accounts. Although debit column accounts payable are those in which cash payments journal column is the sums that are added separately to the accounts payable ledger.
