Saves more than it spends.
The answer to this problem is Tesla unconfined all
their patents to help the electric car industry.
By discharging the patent, now Tesla has unlocked up a chance for other specialists
to analyze Tesla's project and develop the possibilities of new discovery for
that definite product. This will certainly make a lot of possible improvements
for electric cars in the upcoming even though Tesla will not has the sole
ownership of it.
Answer:
No Account and explanation Debit Credit
1. Rent expense ($4,300/5) $860
Prepaid rent $860
(To record adjusted rent expense)
2. Supplies expense (7,250-2,950) $4,300
Supplies $4,300
(To record adjusted supplies)
3. Depreciation expense $460
[(44,160/8)/12]
Accumulated depreciation $460
(To record depreciation)
The correct answer is A. Because if you want to start a new business is more convenient do it as solo proprietorship
