They make around $40,000.
Hope this helps !
Photon
I believe the answer is Cross Training, hopefully im not to late...
Answer:
Equity financing
Explanation:
Equity financing is a means of raising capital by selling shares or by utilizing a company's internal resources. An organization can raise capital either by equity financing or debt financing. Debt financing is when a can borrows funds to finance its operations.
Retained earnings are profits that a company has not distributed to its shareholders. They are a part of business earnings. Essentially , retained earning belong to the shareholders. When a business uses retained earnings to meet its financial needs, it is using the shareholder's resources. It is a form of equity financing.
Answer:
The financial statements effects of the appropriation are as follows:
a) Retained Earnings will reduce by $65,000 in the Income Statement and the Balance Sheet.
b) Cash balance will also reduce by $65,000 in the Balance Sheet.
Explanation:
Normally, partnerships can distribute or appropriate their profits according to their partnership agreements. However, there may be restrictive loan covenants that can specify how much profits partnerships can distribute among the partners. The purpose of such covenants is to ensure that the ability of the partnership to repay loans are not compromised through profit appropriations.
Financial institutions, therefore, to secure the loans advanced to businesses may include restrictive covenants. Some restrictive covenants may specify the minimum cash balance to maintain. Restrictive covenants, generally, remain measures to overcome unwanted business outcomes. It is a form of insurance against loan repayments.
