Answer:
B. $42,000
Explanation:
Trade receivables refers total amounts that customers of a company are owing the company for goods or services sold to them.
For Michael Co., this can be calculated as follows:
Michael's total trade receivables = 3-month note due from Michael's main customer + Due and unpaid from this month's sales + Due and unpaid from last month's sales
Therefore, we have:
Michael's total trade receivables = $12,000 + $19,000 + 11,000 = $42,000.
Therefore, Michael's total trade receivables is $42,000.
Answer:
d. debit to an expense account and a credit to an asset account.
Explanation:
When a prepayment is made, the entries recorded are Debit prepaid expense and credit Cash account to recognize the amount prepaid.
As time passes and the expenses are incurred, the entries required are debit expense account and credit prepaid expense (an asset) with the amount of the expense incurred as a result of the passage of time.
Answer:
The beta of the portfolio is 1.22
Explanation:
In calculating the beta of the whole portfolio, we can calculate the weighted average beta of each stock .The sum of all weighted betas give the beta of the entire portfolio.
Beta of portfolio=amounted in first stock/entire amount invested*beta of the first+amount invested in second stock/entire amount invested *beta of the second stock
Beta of portfolio=($32000/($32000+$42000))*1.1+($48000/($32000+$48000))*1.3
Beta of portfolio=1.22
