Measuring assets and liabilities based on their original transaction value is an example of:_________

The ledger of Rios Company contains the following balances after adjustments: Retained Earnings $30,000; Dividends $2,000; Servi

ch4aika [34]

Answer:

Service Revenue 50,000 debit

Income summary 50,000 credit

--to close revenues accounts--

Income summary 34,000 debit

Salaries and Wages Expense 27,000 credit

Supplies Expense 7,000 credit

--to close expenses accounts--

Income summary 2,000 debit

Dividends 2,000 credit

--to close dividends account--

Income summary 14,000 debit

Retained Earnings 14,000 credit

Explanation:

To close the temporary accounts which are, revenues, expenses and dividends we will use an auxiliary account called Income Summary

Then, once all are closed we transfer their balance into retained earnings:

Income summary

DEBIT CREDIT

50,000

34,000

Balance 14,000

7 0

3 years ago

How have the division and coordination of labor evolved at Merritt’s Bakery from its beginnings to today? 2. Describe how the sp

aniked [119]

Answer:

When Larry and Bobbie first opened the bakery, labour allocation was not as complicated, but only 2 of them were involved. Larry used to make the cupcakes, and Bobbie used to decorate them to create them seem nice. Merritt's then went on to commit and administer the firm instead of executing tasks, which they used to perform on a daily basis since there were administrators, sales associates, and marketers.

When the firm began to grow, there was a command structure in place, with employees reporting directly to Larry as well as Bobbie. Merritts began recruiting additional executives as the business's effectiveness began to deteriorate as the firm grew, and management was constricted. When new employees joined the leadership team only a few people used to notify Larry and Bobbie.

4 0

3 years ago

Under the Uniform Securities Act, an investment adviser may share in the profits of a client's account:

omeli [17]

Answer:

D. under no circumstances

Explanation:

An investment adviser uses his investment knowledge to guide his client with respect to investing in stocks and other securities so as to maximize client's gain.

In return for his services, an investment adviser charges a certain fee from the clients.

As per the Uniform Securities Act, an investment adviser is prohibited from sharing the profits of the client which could be in the form of any dividend/interest receipts or capital appreciation.

Thus, under no circumstances, an investment adviser is permitted to share profits of the client.

6 0

3 years ago

Read 2 more answers

A $2.00 increase in a product's variable expense per unit accompanied by a $2.00 increase in its selling price per unit will: A)

liubo4ka [24]

Answer:

A) decrease the degree of operating leverage

Explanation:

The contribution margin is

sales - variable:

(sales + 2) - (variable + 2) = sales - variable

no change

so B is FALSE

as the contribution margin ratio is:

(sales - variable ) / sales

this increase will impact the contribution margin ratio.

(sales + 2 - (variable +2))/ (sales + 2)

(sales - variable) / (sales + 2)

the CMR will decrease.

so D is FALSE

the break-even on sales will increase as the CMR decreases

more units are needed to fullfil the fixed cost

so C is FALSE

A) decrease the degree of operating leverage

ΔEBIT / Δrevenue

sales increase and the variable cost increases

a change in the sales revenue will not be as efficient as it was before the degree of leverage will decrease.

3 0

4 years ago

Artisan Inspiration, Inc. is a merchandiser of stone ornaments. The company sold 6 comma 500 units during the year. The company

Ivanshal [37]

Answer:

The operating income for the year is $190,000

Explanation:

The Computation of the operating income is shown below:

= Sales revenue - cost of good sold - Selling and Administrative Expenses

where,

Sales revenue is $577,000

The cost of good sold = Beginning Merchandise Inventory + Purchases (excluding Freight In) + Freight In - Ending Merchandise Inventory

= $45,000 + $300,000 + $15,000 - $42,000

= $318,000

And, the Selling and Administrative Expense is $69,000

Now put these values to the above formula

So, the value would equal to

= $577,000 - $318,000 - $69,000

= $190,000

3 0

3 years ago

Measuring assets and liabilities based on their original transaction value is an example of:__________