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3 years ago

If the accountant forgets to adjust the Prepaid Expenses account, there will be:_____

Business

1 answer:

ivann1987 [24]3 years ago

7 0

Answer:

Option B, an overstatement of net income, is the right answer.

Explanation:

Option “B” is correct because when the prepaid expenses occur then it is recorded in the balance sheet on the asset side and the cash will be reduced by the same amount. However, if the prepaid expenses have not been adjusted then it will show the overstatement of net income because cash has been gone so actual cash will be lower than the recoded cash. Thus, option B is right.

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Xcel when intentional concealment is involved, what course of action is the injured party entitled to?

mafiozo [28]

Rescission of the contract, which is cancelling the contract and making the parties as close to how they were before the contract started as possible.

8 0

3 years ago

Problem 5-3A Record transactions related to accounts receivable (LO5-3, 5-4, 5-5) [The following information applies to the ques

konstantin123 [22]

Answer:

JOURNAL ENTRIES related Accounts Receivables

2021

12 June Debit Accounts receivable $37,400 Credit Service Revenue $37,400

17 Sep Debit Bank $22,000 Credit Accounts receivables $22,000

31 Dec Debit provision for doubtful debts adjustment (expense) $6,930 Credit Provision for bad debts $6930

2022

4 Mar Debit Accounts receivable $ 52400, Credit Service revenue $52,400

20 May Debit Bank $10,000 Credit Accounts receivables $10,000

19 Oct Debit Bank $42000 Credit Accounts receivables $42,000

31 Dec Provision for bad debts adjustment $180 Credit provision for bad debt $180

Explanation:

2021

provision for bad debts beginning = $0

adjustment = $6930

closing (15400 *0.45) =$6930

an increase in provision or allowance in doubtful debts is an expense

2022

Provision for bad debts opening $6930

Adjustment $180

closing (15800*0.45) $7110

8 0

3 years ago

Ill give brainliest to whoever can guess what number im thinking of 1-10

SSSSS [86.1K]

Answer:

Explanation:

8 0

3 years ago

Read 2 more answers

The government's too-big-to-fail policy applies to: Group of answer choices large corporate payroll accounts held by some banks

gtnhenbr [62]

Answer:

large banks whose failure would start a widespread panic in the financial system.

Explanation:

A bank run can be defined as a situation where bank clients or depositors make withdrawals of their money simultaneously from banks as a result of being scared or afraid the depository institution will run out of cash (bankruptcy) and become insolvent.

In order to counter the problem with bank runs, the Federal Deposit Insurance Corporation (FDIC) was established on the 16th of June, 1933.

Furthermore, to avoid bank runs or other financial institutions from being insolvent, the Federal Reserve (Fed) and Central banks (lender of last resort) are readily accessible and available to give monetary funds to these institutions when they're running out of money and as well as regulate their activities.

Hence, the government's too-big-to-fail policy applies to large banks whose failure would start a widespread panic in the financial system.

3 0

3 years ago

Assume that you have entered into a swap agreement for a notional of 100M USD under which every 6 months you agree to pay LIBOR

hodyreva [135]

Answer:

C) 0.5 USD

Explanation:

Swap is an arrangement in which two parties exchange their interest rates for mutual benefit. One party may receive fixed rate and other will receive floating rate based on LIBOR. In the given scenario the swap agreement was originated when the LIBIOR was 3%. The fixed rate was set to be at 4% so the net gain at the time of inception was 1%. When LIBOR increased after six month the net gain declined to only 0.5%.

4 0

2 years ago