Answer:
True
Explanation:
When machine is purchased, then the assets increase by the carrying or purchase value of the machine purchased. Here, it is of $1 million.
Further, when it is purchased as against any credit, it creates a liability with the same amount.
Since here also the liability amount = $1 million, it will be recorded with the same.
As there is no involvement of Equity or Retained earnings this do not lay any impact on carrying value of owners equity.
Thus, it is True.
Answer:
A.Off grid homes
Explanation:
Specific type of insurance policy covers the most common perils except those specifically excluded perils such as earthquake, flood, nuclear disaster, landslide.
OFF GRID HOMES refer to homes which are self-sufficient without reliance on modern technology and public utilities. That means that this homes do not have access to electricity, gas, water, etc.
Therefore, these homes can be insured by a specific type of insurance policy.
Explanation:
The Journal Entry from July 1 and July 31 is shown below:-
1. Cash Dr, $560
To Deferred revenue $560
(Being cash is received)
2. Deferred revenue $336
To Sales revenue $336
(Being 12 months sales service is recorded)
3. Cost of goods sold $280
To Inventory $280
(Being cost of goods sold is recorded)
4. Deferred revenue ($336 ÷ 12) $28
To Service revenue $28
(Being Deferred service revenue is recorded)
Working Note:-
Cellular service revenue = offer price ÷ total cost of phone and service × cellular service
= (($560 ÷ ($448 + $672)) × $672
= $336
A recent Harris poll reported that 82 to 91 percent of customers say that they will never return to a business after a negative customer service experience. The percentage of customers decision for never returning to a business due to a bad experience varies according to the industries. The range of the percentage is 82 to 91 percent.
Answer:
After tax Return is $3.50
After tax rate of return is 7.00%
Explanation:
Purchase Price = $50
Price at the end of the year = $50
Dividend Received =$5
Return on share = Dividend + Gain on share price
Return on share = $5 + ( $50 - $50 )
Return on share = $5 + $0
Return on share = $5
After tax return = $5 x ( 1 - 0.3 ) = $5 x 0.7 = $3.5
Rate of return on share = ( Total return / purchase price ) x 100
Rate of return on share = ( $3.5 / $50 ) x 100
Rate of return on share = 7%
