Answer: $11,200
Explanation:
Using the accounting equation:
(Total Assets) = (Total Liabilities) + (Total Capital)
So,
(Total Liabilities) = (Total Assets) - (Total Capital) (1)
Based on equation (1), in order to compute for the total liability, we need to compute the total assets and total capital.
At the end of the first year, the following are the assets Shapiro's consulting services (together with the amount):
Cash: $16,000
Office Supplies: $3,200
Equipment: $24,000
Accounts Receivable: $8,000
TOTAL ASSETS $51,200
Note that the total assets is obtained by adding the amount (or value) of the all the assets listed above.
Since the net income is an increase (or decrease if it's a net loss) of capital, we classify net income as capital. In particular, the net income of Shairo's at the end of first year adds to the capital at the start of first year.
Moreover, the withdrawal of money by the owner also decreases the capital.
Thus, the total capital at the end of first year is calculated as follows:
Capital (start of the year): $15,000
Net Income (end of year): $27,000
Withdrawal Amount: ($2,000)
TOTAL CAPITAL: $40,000
Note: ($2,000) means -$2,000. This notation is used in accounting.
Hence using equation (1), the total liabilities at the end of first year is given by
(Total Liabilities) = (Total Assets) - (Total Capital)
= $51,200 - $40,000
Total Liabilities = $11,200
Answer:
1) to do all the chores
2) to understand and stop family fights
3) to take care of a sick family member
Answer: $298,800
Explanation:
Cost of goods purchased = Gross merchandise cost + Transportation-in (Carriage inwards) - Purchase discount - Purchase returns
= 304,000 + 6,700 - 3,500 - 8,400
= $298,800
Answer:
I think it is E it guss maybe it is not the answer
Answer:
A Wholesaler and Retailers
A. Various types of services Ajay is providing to the retailers are:
1. Procuring variety of papers from different manufacturers.
2. Undertaking advertisement and other sales promotional activities to the benefit of retailers.
3. Extending credit sales to retailers.
4. Providing marketing guidance to retailers.
B. Two services that Ajay is extending to the manufacturers as well are:
1. Providing wider market for manufacturers by purchasing in bulk.
2. Helps the manufacturers to distribute their goods.
Explanation:
As a wholesaler, the business acts as the middleman between the paper manufacturers and the retailers. The wholesaler purchases paper in bulk from the manufacturers, thereby encouraging them to produce more. He enables retailers, who are at the grassroots, to gain access to a variety of the manufacturers' products at small quantities. He also helps in the distribution of goods.
