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siniylev [52]
3 years ago
10

Expert Computers was started in 2018. The company experienced the following accounting events during its first year of operation

:
1. Started business when it acquired $86,000 cash from the issue of common stock
2. Purchased merchandise with a list price of $70,000 on account, terms 2/10, n/30
3. Paid off one-half of the accounts payable balance within the discount period
4. Sold merchandise on account for $56,900. Credit terms were 1/20, n/30
5. The merchandise had cost Expert Computers $34,100
6. Collected cash from the account receivable within the discount period
7. Paid $10,200 cash for operating expenses
8. Paid the balance due on accounts payable. The payment was not made within the discount period.

Record the events in a horizontal statements model

Business
1 answer:
Nesterboy [21]3 years ago
3 0

Answer:

The events have been explained below while the Horizontal Statement is attached for Expert Computers as of 2018.

Explanation:

Expert Computers

Horizontal statements model

For the year ending 2018

2. It means that if Expert Computers opt to pay for merchandise inventory within 10 days than they can avail the discount of 2%, otherwise they will be paying net amount in 30 days.

3. A/C Payable Balance = $70,000

Paid 1 Half = $70,000 x 1/2 = $35,000

Discount = $35,000 x 2% = $700

Cash Decrease by = $35,000 - $700 = $34,300

4. It means that if the buyer pays the amount within 20 days of the purchase than Expert Computers will give 1% discount, otherwise full amount needs to be paid within 30 days.

5. This is the cost of goods sold.

6. Account Receivables = $56,900

Discount Allowed = $56,900 x 1% = $569

Cash = $56,900 - $569 = $56,331

8. Since the discount is not availed as payment to vendor made within 30 days. Hence, the remaining amount of current liability will balance out with $35,000.

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A Wholesaler is an intermediary who sells hope spring's bottled water to retailers such as coffee collective. A wholesaler is person or company that buys large quantities of goods from various producers or vendors, warehouses them and resells goods in smaller quantities at low prices, typically to retailers. Wholesalers who carry only non-competing goods or lines are called distributors. 
7 0
3 years ago
You are scheduled to receive annual payments of $60,000 for each of the next 20 years. The annual rate of return is 8 percent. W
babymother [125]

Answer:

= $ 219,657.43

Explanation:

FV of annuity = P x [(1+r) n -1/r]

P = Periodic payment = $ 20,000

r = Periodic interest rate = 0.08

n = Number of periods = 20

FV = $ 60,000 x [(1+ 0.08)20 -1/0.08]

  = $ 60,000 x [(1.08)20 -1/0.08]

  = $ 60,000 x [(4.66095714384931 -1)/0.08]

  = $ 60,000 x (3.66095714384931/0.08)

= $ 60,000 x 45.7619642981163

= $ 2,745,717.85788698 or $ 2,745,717.86

FV of annuity due =(1+r) x P x [(1+r) n -1/r]

                              = (1+0.08) x $ 2,745,717.85788698

                              = 1.08 x $ 2,745,717.85788698

                             = $ 2,965,375.28651794 or $ 2,965,375.29

Difference in FV of ordinary annuity and annuity due

                             = $ 2,965,375.29 - $ 2,745,717.86

                             = $ 219,657.43

3 0
3 years ago
In a economy, the government owns the means of production.
Daniel [21]

Answer:

(a) Command

Explanation:

A command economy is also known as planned economy and it can be defined as a type of economy in which the government owns and control the means of production.

This ultimately implies that, in a command economy, the government owns the means of production.

Societies that operate a command economy generally practices communism.

Communism is a system of philosophical, political, social organization and economical ideologies that advocates the elimination of private property but a profit-based economy with public ownership of the means of production.

It ultimately aims to ensure each person contributes and receives according to their abilities and needs.

Vietnam, China and Cuba are examples of communist countries that operate a command economy.

In conclusion, a command economy requires that the method of exchange, distribution, as well as the means of production of goods and services and allocation of resources for production should be controlled or regulated by the public (government) rather than the private sector.

5 0
2 years ago
On July 31, the bookkeeping account Supplies Inventory shows a debit balance of $1,000. A physical inventory taken on that date
Tanya [424]

Answer:

$200

Explanation:

When Supplies inventory are purchased, a debit is posted to Supplies inventory and a credit to cash account or accounts payable.

As the inventories are used, debit Supplies expense and credit Supplies inventory account.

Given that $1,000 was the debit in the books and $800 per count, it means the books balance needs to be written down to the physical balance. The difference to be posted

= $1,000 - $800

= $200

This will be done by

Debit Supplies expense  $200

Credit Supplies Inventory  $200

Being entries to record inventory used in July

4 0
3 years ago
You are the owner of a retail shop. One of your managers regularly calls employees and coworkers names like deadbeat and crook i
stepan [7]

Answer:

Letter A is correct. <u>Abusive language.</u>

Explanation:

The communication process is essential for any business, it is through communication that ideas and objectives, needs and integration of the internal and external environment are expressed.

Business communication should promote integration and relationship with the company's stakeholders, so it is necessary that the communication process is based on ethics and legal conduct, so that there is no type of communication noise and information is passed on in a timely manner. contrary to what was proposed.

It is necessary for managers to adopt a posture consistent with the organizational culture, in the case exemplified above there is an abusive language, as there is the use of offensive words to refer to employees and customers, therefore this conduct must be promptly reviewed, as an effective manager is one that ensures that its public is respected and protected from harm, so that the organizational climate is as positive as possible, which ensures greater productivity and motivation of employees to make the organization more profitable.

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3 years ago
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