Answer:
$860,000
Explanation:
The computation of total realized is shown below:-
Hawk Corporation accumulated an unrealized gain = ($106 - $58) × 10,000 shares
= $480,000
An additional increase of($144 - $106) × 10,000 shares
= $38 × 10,000
= $380,000
Hawk shall report a total realized gain in income statement = Hawk Corporation accumulated an unrealized gain + An additional increase
= $480,000 + $380,000
= $860,000
Answer:
B. False
Explanation:
The main reason for using the phrase "desirable opportunities" in a definition of leadership is to distinguish between leadership and tyranny
$20,000 is correct
When they ask for the amount the bank can "create" they are really asking for the <u>change in the money supply</u><u>.</u> They are required to reserve 20%, so they can loan out 80%
80% * $5,000= $4,000
Now, the bank can use this $4,000 by loaning it out to other customers and earning interest on those loans. The customers can use the money for investments or spending. So the first little deposit of $5,000 has now spread to a lot more people and created a lot more opportunity for growth. This is known as the <u>multiplier effect.</u> To put the multiplier effect in dollar amounts, we need to know how much we are multiplying by. This is called the <u>deposit multiplyer</u> and the formula is 1/(required reserve ratio). The reserve ratio here is 20% or .2
1/(.2)= 5
Our deposit multiplier which will calculate the multiplier effect on the money supply (aka the amount the bank can "create") is 5
5* $4,000= $20,000
Answer:
Debit Insurance Expense 440
Credit Prepaid Insurace 440
Explanation:
Since on January 1, the company purchased a five year insurance policy for $2,200 that means we have to divide the insurance policy amount of $2,200 by the numbers of year which is 5 years .
Hence:
$2,200/5 years
=440
Therefore the adjusting entry at the end of the first year is:
Debit Insurance Expense 440
Credit Prepaid Insurace 440