Bundling is expected to provide great profits if the two
bundled goods are;
<span>·
</span>They are goods that has fixed cost that are high
and has a marginal cost that are low
<span>·
</span>They have complements which are close
-
Bundling is considered to be a strategy in
marketing that is responsible of having to join or put together products or
services that produces them to be a single unit that are combined.
What is appropriate journal entries for the $5,000?
The financial advisor is investing in his new company, Bombeck Inc, in other words, the cash of the company would increase by $5,000 whereas the equity capital also increases by the same amount.
In essence, we would debit the receiving account, cash and credit the giving account, stockholder's equity in order to effect the necessary journals in respect of the common stock investment, upon the opening of the office.