Answer and Explanation:
The journal entries are shown below:
1. Interest Receivable $300($36,000 × 10% x 30 ÷ 360)
To Interest Revenue $300
(Being accrued interest revenue is recorded)
2. Cash $36,450
To Interest Receivable A/c $300
To Interest Revenue A/c $150 ($36,000 × 10% x 15 ÷ 360)
To Notes Receivable A/c $36000
(Being note maturity date it is honoured is recorded)
Answer: Materiality
Explanation: In simple words, materiality refers to the accounting concept which states that only those transaction should be recorded in the financial statements which are important to the stakeholders.
In other words, the transactions should be recorded in such a way that it gives some value to the stakeholders.
Therefore, in the given case, steve reported two expenditures in the fiancial statement as the amount is significant, thus,must be holding the value to stakeholders.
Hence the correct option is D.
Answer:
c. $10,000.
Explanation:
Gross domestic product is the sum total of all goods produced in a country in a given period. Sale of used good are not considered in GDP because the original value of the used item would have been recorded previously as GDP when it was first produced.
Therefore in this scenario the money paid for the house ($250,000) is not considered to be part of GDP since the original value of $90,000 would have been recorded as GDP 10 years ago.
However the commission of $10,000 that the real estate agent collected for his services is considered a contribution to GDP.
Answer:
She will earn $17.50.
Explanation:
Interest earned is the amount of interest earned on the a deposited amount in a saving amount on simple interest.
Balance in the account = $500
Interest rate = 3.5%
Interest earned = Average balance x Interest rate
Interest earned = $500 x 3.50%
Interest earned = $500 x 0.035
Interest earned = $17.50
Answer:
60
Explanation:
price-earnings ratio = price / earnings per share
earnings per share = net income / shares outstanding = $150 / 300 = $0.50
$30 / $0.50 = 60
