Answer:
RE decrease: 1,960,000
Explanation:
Retained earnings will decrease for the total amount of the dividends.
<u>stocks dividends</u>
560,000 shares
10% stock dividends: 560,000 x 10% = 56,000 shares
56,000 x $30 = 1,680,000 stock dividends
<u>cash dividends:</u>
560,000 x 0.50 per share = 280,000 cash dividends
Total dividends: 1,680,000 + 280,000 = 1,960,000
that will be the RE decrease
Debit Credit
Feb 1
Services 500
Accounts Payable 500
Feb 25
Accounts Payable 300
Cash 300
March 5
Accounts Payable 200
Cash 200
The entries made in March 5th zeroed out the Accounts Payable on the Services bought on account last February 1st.
Answer:
Mental states selling
Explanation:
Mental states selling, or the formula approach to personal selling, assumes that the buying process for most buyers is essentially identical and that buyers can be led through certain mental states, or steps, in the buying process. Relies on a structured sales presentation just like the stimulus response. These mental states includes (AIDS) attention, interest, desire, and action
Answer:
A. AGI $17,000
B. Chelsie cannot deduct the $1,000 payment on her tax return reason been that Chelsie is not in anyway entitled to a tax return deduction.
Explanation:
a. Calculation for Elisa and Clyde's AGI.
Sales revenue $55,000
Less Cost of goods sold ($21,000)
Advertising ($1,000)
Utilities ($2,000)
Rent ($4,500)
Insurance ($1,500)
Wages to Boyd ($8,000)
AGI $17,000
Based on the above calculation Elisa and Clyde can deduct the amount of $8,000 from the wages amount they paid to Boyd and secondly both Elisa and Clyde cannot deduct the amount of $1,000 that was paid by Chelsie.
b. Chelsie cannot deduct the amount of $1,000 which is the payment on her tax return reason been that Chelsie is not in anyway entitled to a tax return deduction.
