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JulsSmile [24]
3 years ago
6

Lily Company was started last year when Lily borrowed $70 cash from the local bank. Lily used that $70 cash to purchase inventor

y for $70. This year Lily Company sold that inventory for $100 cash. Which ONE of the following statements is TRUE with respect to Lily Company's balance sheet AFTER the sale of the inventory?a. Cash is $30.b. Accounts Payable is $30.c. Owners' Equity is $100.d. Owners' Equity is $30.e. Inventory is $30.
Business
1 answer:
aev [14]3 years ago
6 0

Answer:

d. Owners' Equity is $30

Explanation:

The owners equity is the amount of money that is own by the owner of the business or the business itself minus all of the debts that the business has, in this example, Lily just sold $100 in products, generating a profit of $30, because she bought that for $70, but she owns $70 of those $100 to the local bank, so eventhough she has $100, only $30 are actually owned by the business so Owner´s Equity equals $30.

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In her work as an accountant, Sandra Garcia recognizes that for every transaction that affects an asset, an equal transaction mu
adell [148]

Answer:

Correct option is (B)

Explanation:

In accounting, double entry book keeping is followed as every financial transaction has dual effect on the books of accounts. It starts with the accounting equation which stated:

Assets = Liabilities + Stockholder's Equity

If there is an increase in assets, there has to be a subsequent increase in either liability or stockholder's equity.

Every transaction is debited in one account and credited in some other account.

For example Depreciation for the year is $2,000. Depreciation expense account is debited by $2,000 and accumulated depreciation account is credited by $2,000.

Since Sandra recognizes that an effect on asset will have a simultaneous effect on either liability or equity, she is following double entry bookkeeping.

5 0
3 years ago
Which job would most likely be paid salary plus commission?
Svetllana [295]

Answer:

Vehicle salesperson.

Explanation:

A sales commission is a percentage or a ration that a salesperson earns for each sale closed. In practice, sales commissions are used by many businesses as incentives to increase sales volumes. A salary plus commission mode of compensation means that the worker will have a fixed and regular salary, and extra pay for meeting set targets.

The vehicle salesperson will be most suited to earn the salary plus commission. This type of compensation will encourage the salesperson to explore more markets to increase sales figures. Sales performance influence profitability. The higher the sales, the better for the company.

8 0
3 years ago
______________ specifies sales revenues and selling distribution and marketing costs.
frez [133]
To answer the question above as the which specifies the sales revenue and selling distribution and marketing costs is letter B, Sales budget. The answer lies in the question itself. Sales revenues,distribution and the marketing cost are all related to the sales budget. Sales budget controls the expenditure or resources related to sales.
3 0
3 years ago
Blanchard and Hersey's Situational Leadership style used which two dimensions to determine employee readiness?
Darya [45]

Answer:

According to Hersey and Blanchard, readiness refers to "the extent to which a follower has the ability and willingness to accomplish a specific task" (1988, p. 174). The two dimensions composing employee readiness are willingness and ability related to a specific task.

3 0
3 years ago
Martin was trying to sell pumps for circulating water in decorative goldfish ponds when he realized that the reason he was not a
Llana [10]

The correct answer would be option A, Change Agent.

After making the change in design, the pumps became lightweight and were better able to meet customers' requirements. As the Change Agent, Martin identified an opportunity, saw the project from its conception to the development of a light model pump.

Explanation:

A person who brings about change in the organization, or who influences or forces to make a change in the product or organization like organizational effectiveness, improvement or development, then this person is called as a Change Agent.

A Change agent is a person who can be from within the organization or can be from outside of the organization.

So Martin, who is an employee of the firm, and trying to sell the firm's product to the customers, identified an opportunity and told the firm to change the model of pump to get more sales. So he acted as a change agent in this example.

Learn more about Change Agent at:

brainly.com/question/6665943

#LearnWithBrainly

6 0
3 years ago
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