Answer:
Part 1
Dr Lease rentals $300........ Expense
Cr Cash Account $300
Part 2
Dr Leased Equipment $63,536
Cr Finance Lease Liability $63,536
Explanation:
Part 1. Under the operating leases the lessee pays the monthly rentals which must be accounted for as an expense and the double entry is as under:
Dr Lease rentals $300........ Expense
Cr Cash Account $300
Part 2. Under the finance lease agreement, the lessee pays the value of the asset and the interest as well. So after the date of agreement when the asset is handed over the journal entry would be recording of the equipment received, which would written at its fair value or present value of the payments made. The journal entry would be:
Dr Leased Equipment $63,536
Cr Finance Lease Liability $63,536
Answer:
The correct answer is: D. beach towel production is not allocatively efficient but is productively efficient.
Explanation:
Production costs are the night terror that keeps many business owners awake. These costs seem to have a mind of their own and the only solution is to keep track of them to keep them under control. A successful entrepreneur must find a way to operate his business efficiently and profitably to always be aware of production costs. And for this, it is best to track expenses to see if labor, materials or overhead are exceeding the amounts allocated in a budget at each stage of production.
Answer:
E
Explanation:
In this question, we are told to state what the reaction of Koka and Zola will be;
Kukla and Zola both like the proposal. As according to the given opportunity cost for Kukla (3 rugs per every 4 tables) she can get 1.5 rugs for 2 tables .But with the offer made now she can get 2 rugs for giving 2 tables.
Given the opportunity cost for Zola ( 2 tables per every 3 rugs ) she must give 3 rugs for getting 2 tables. But with the offer made she can now get 2 tables for giving away only 2 rugs .
So both Kukla and Zola are happy with the offer.
He should consider where he is going to get the money from, how soon he will be able to pay it back if he borrowed it, and if he needs anymore emplyees for the expansion.
Answer:
The leisure time enjoyed by households The costs of overfishing and other overly intensive uses of resources
The value of babysitting services, when the babysitter is paid in cash and the transaction isn't reported to the government
Explanation:
Gross domestic product is the sum of all final goods and services produced in an economy within a given period which is usually a year.
GDP calculated using the expenditure approach =
Consumption spending + Investment spending + Government Spending + Net Export
Funds spent by city governments to renovate their buildings is included in the calculation of GDP as part of government spending.
Items not included in the calculation of GDP are :
1. Leisure
2. Externality
3. Transfer payment
4. Illegal activities
I hope my answer helps you
