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3 years ago

During 2018, the cash flows related to Global Data, Inc.'s lending and borrowing activities are summarized as follows:

Business

1 answer:

const2013 [10]3 years ago

7 0

Answer:

-$144,000

Explanation:

Cash flow from financing activities

Payment to retire bonds payable -$361,500

Proceeds from borrowing at bank (note payable) $217,500

Net cash used by financing activities -$144,000

The payment made to retired bond payable reflects the outflow of cash so we deducted it and the borrowing at bank is a cash inflow so we added it

And, the rest items are not relevant. Hence, ignored it

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What happens when products and resources become less available

Pani-rosa [81]

When a product is scarce, consumers are faced with conducting their own cost-benefit analysis; a product in high demand but low supply will likely be expensive. ... This means that a consumer should only purchase the product if they see a greater benefit from having the product than the cost associated with obtaining it.

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2 years ago

A Texas household receives a Social Security check for $1500, which it uses to purchase a $40 pair of shoes made in Thailand by

rewona [7]

Answer:

Shoes from the Thai and korean firm is part of imports

Imports=40+1240=1280

Domestic consumption=220

Security check is part of government spending=1500

GDP=1500+220-1280=440

6 0

3 years ago

Examples of transaction costs include (check all that apply): A. the cost of the externality. B. the cost of monitoring an agr

Paha777 [63]

Answer:

The correct answer is option B, C, and E.

Explanation:

Transaction cost refers to the cost incurred on resources and time necessary for facilitating exchange of goods and services.

Among the given options, the examples of transaction cost is cost of monitoring an agreement, the cost of drafting a contract or agreement, and the time required to negotiate an agreement.

All these costs are incurred in order to facilitate exchange of goods and services.

The problem of externalities can have efficient private solution if these transaction costs are low otherwise the governement has to intervene to efficiently allocate resources.

3 0

3 years ago

Daley Company estimates uncollectible accounts using the allowance method at December 31. It prepared the following aging of rec

makkiz [27]

Answer:

$25,650

Journal entries

Explanation:

The computation and the journal entries are as follows

The estimated balance of the allowance for Doubtful Accounts is shown below:

= Total account receivable × estimated percentage

= $570,000 × 4.5%

= $25,650

The journal entry is shown below:

a. Bad debt expense A/c Dr $13,650 ($25,650 - $12,000)

To Allowance for doubtful debts $13,650

(Being bad debt expense is recorded)

b. Bad debt expense A/c Dr $24,650 ($25,650 + $1,000)

To Allowance for doubtful debts $24,650

(Being bad debt expense is recorded)

7 0

3 years ago

In its first year of operations, Gomes Company recognized $28,000 in service revenue, $6,000 of which was on account and still o

Mademuasel [1]

Answer:

a. The first year's net earnings under the cash basis of accounting is $7,600 and the first year's net earnings under the basis of accounting is $12,200

b. Accrual basis of accounting provides more useful information.

Explanation:

a. In order to calculate the first year's net earnings under the cash basis of accounting we would have to use the following formula:

Cash basis net earnings = Service revenue (Cash) – Cash expenses – Prepaid expenses

Cash basis net earnings =$22,000 – $12,000 – $2,400

Cash basis net earnings =$7,600

In order to calculate the first year's net earnings under the the basis of accounting we would have to use the following formula:

Accrual basis net earnings = Service revenue – Operating expenses incurred

Accrual basis net earnings= $28,000 – $15,800

Accrual basis net earnings=$12,200

b. Accrual basis of accounting provides more useful information, because in this system revenues are recorded what actually earned and expenses are recorded what actually incurred for earning such revenues. Therefore, it gives better profit picture

5 0

3 years ago