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3 years ago

On February 1, Light Co. received a $20,000, 120 day, 9% note from Dark Co.

Business

1 answer:

kotykmax [81]3 years ago

7 0

Answer:

The answer is C.

Explanation:

The year is 360 days.

Annual rate is 9%

Therefore, interest rare for the 120-day is 3%[(120/360) x 9%]

So, the interest on the rate is:

3% x $20,000

$600.

The total amount collected from Dark Co. will be principal + interest

$20,000 + $600 = $20,600

According to the accounting rule, debit increases asset and expenses and vice-versa while credit decreases liability, equity, income and vice versa.

So we have:

Dr Cash $20,600

Cr: Receivable $20,000

Cr: Interest Revenue $600.

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The bid-ask spread exists because of _______________. A. market inefficiencies B. discontinuities in the markets C. the need for

SashulF [63]

Answer:

C. the need for dealers to cover expenses and make a profit

Explanation:

In the market for securities there are two pricing of securities.

The ask price is the price at which the buyer is willing to purchase a security.

The ask price or the offer price is price at which the seller of a security is willing to sell it. Ask price can be firm or negotiable.

Bid ask spread is the difference between the highest amount a buyer is willing to buy a security and the lowest price at which a seller is willing to sell it.

This spread exists because dealers need to cover expenses and make a profit

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3 years ago

Patterson Corporation began the year with retained earnings of $325,000. During the year, the company issued $500,000 of common

Vanyuwa [196]

Answer:

The company's revenue for the year is $1,615,000.

The correct option is A. $1,615,000.

Explanation:

Given:

Patterson Corporation began the year with retained earnings of $325,000. During the year, the company issued $500,000 of common stock, recorded expenses of $1,500,000, and paid dividends of $90,000.

If Patterson’s ending retained earnings was $350,000.

Now, to find the company's revenue for the year.

Opening Retained earnings = $325,000.

Common stock = $500,000.

Recorded expenses = $1,500,000.

Paid dividends = $90,000.

Closing Retained earnings = $350,000.

Now, to get the revenue of the company we put formula:

Revenue = (Recorded expenses + paid dividends + closing Retained earnings) - opening Retained earnings

$Revenue=(1500,000+90,000+350,000)-325,000$

$Revenue=1940000-325000$

$Revenue=1615,000.$

Therefore, the company's revenue for the year is $1,615,000.

The correct option is A. $1,615,000.

4 0

3 years ago

Scenario 13-20 suppose that a given firm experiences decreasing marginal product of labor with the addition of each worker regar

Viktor [21]

Answer:

U-shaped

Explanation:

Since the marginal product of labor is decreasing, the average variable costs and marginal costs will be increasing at all points, but the average fixed costs will be decreasing. That is why the average total costs (which includes both variable and fixed costs per unit) will be U-shaped since they will fall at the beginning when the decrease in marginal product of labor is small, bu then will increase as the marginal product of labor falls even more.

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3 years ago

What is the difference between ancient trade and modern trade

alexira [117]

Answer:

The main difference between traditional trade and modern trade is that, distribution in modern trade is more organized. Retailers often deal directly with manufacturers. Many large retail chains have integrated their services to offer their own brands in groceries and other goods.

Explanation:

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3 years ago

Empirical evidence from 1960 to 2010 shows that convergence in economic growth is occurring in which of the following cases?

kaheart [24]

Answer:

Correct Answer:

c. Low-income developing countries are catching up to high-income industrial countries.

Explanation:

The evidence which shows that low income developing countries are catching up to high-income industrial countries could be found in the series of developmental strides made by some countries like Rwanda, Kenya, Tanzania, Indonesia, Vietnam etc over the years. Most of their achievements is at par with most European countries in different sectors such as educational, and social sectors.

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3 years ago