Answer:
C Liabilities are understated, and net income is overstated.
Explanation:
To accrue for interest expense, the required entries are;
Debit Interest expense (p/l)
Credit Accrued Interest (B/s)
Being entries to recognize accrued interest expense.
If this is not posted, liabilities and expenses for the period would be understated. As such, net income would be overstated.
Hence the right answer is C Liabilities are understated, and net income is overstated.
Answer:
Dynamic Weight Loss Co.
DYNAMIC WEIGHT LOSS CO.
Classified Balance Sheet as of June 30, 20Y7
Assets
Current Assets:
Cash $119,630
Accounts Receivable 26,100
Prepaid Insurance 8,400
Prepaid Rent 6,000
Supplies 11,200
Total current assets $171,330
Long-term Assets:
Land 375,000
Equipment 325,900
Accumulated Depreciation (32,600) 293,300
Total long-term assets $668,300
Total assets $839,630
Liabilities and Equity
Current Liabilities:
Accounts Payable $10,830
Salaries Payable 7,500
Unearned Fees 21,000
Total current liabilities $39,330
Equity:
Common Stock 180,000
Retained Earnings 620,300
Total equity $800,300
Total liabilities and equity $839,630
Explanation:
a) Data and Calculations:
Trial Balance as of June 30, 20Y7
Account Titles Debit Credit
Cash $119,630
Accounts Receivable 26,100
Prepaid Insurance 8,400
Prepaid Rent 6,000
Supplies 11,200
Land 375,000
Equipment 325,900
Accumulated Depreciation - Equipment $32,600
Accounts Payable 10,830
Salaries Payable 7,500
Unearned Fees 21,000
Common Stock 180,000
Retained Earnings 620,300
Total $872,230 $872,230
Answer:
d. Evaluate segment attractiveness
Explanation:
The STP process helps to find your customers and decide the best way to target them. The step of the process that develops descriptions of the different segments is evaluate segment attractiveness as in this step the description of the segments along with market information and research results are generated to evaluate each segment.
Consider your objective generate more leads, demonstrate thought leadership, increase online visibility, close a sale, create brand awareness and provide customer education. know your budget and what you can spend and what you can't spend understand your customer
Answer:
net cash from investing activities = -$4,940
operating and financing activities are not affected.
Explanation:
the journal entries should be:
January 1, socks purchased
Dr Investment in Affiliate 5,000
<u>Cr Cash 5,000</u>
December 31, dividends received
<u>Dr Cash 60</u>
Cr Investment in Affiliate 60
December 31, Affiliate reports net income
Dr Investment in Affiliate 300
Cr Revenue from investing activities 300
Only the cash flow from investing activities will be affected by Parent's investing in Affiliate. Since the company uses the equity method, the operating and financing cash flows are not affected.
The cash flow from investing activities will:
- Decrease by $5,000 due to the purchase of stocks.
- Increase by $60 due to the dividends received.
- net cash from investing activities = -$4,940
