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Alex_Xolod [135]
3 years ago
14

Blair Scott started a sole proprietorship by depositing $75,000 cash in a business checking account. During the accounting perio

d, the business borrowed $30,000 from a bank, earned $18,000 of net income, and Scott withdrew $12,000 cash from the business. Based on this information, what is the balance in Scott’s capital account at the end of the accounting period?
Business
2 answers:
o-na [289]3 years ago
6 0

Answer:

$81,000

Explanation:

The money with which Blair Scott started a sole proprietorship by depositing $75,000 is the CAPITAL

While the money the business borrowed is DEBT

The income earned $18,000 will increase Scott's capital (owner's equity) while the amount he withdrew from the business is called DRAWINGS and will reduce his capital

Based on this information, the balance in Scott’s capital account at the end of the accounting period will be his contribution of $75,000 + Net income of $18,000 - Drawings of $12,000 = $81,000

Doss [256]3 years ago
3 0

Answer: $81000

Explanation:

The capital account, in international macroeconomics, is a component of the balance of payments which records all transactions made between entities/parties in one country with entities in the rest of the world. These transactions consist of imports and exports of various goods, services, capital, and as transfer payments such as foreign aid and remittances. The balance of payments is composed of a capital account and a current account. Although, a narrower definition breaks down the capital account into a financial account and a capital account.

The capital account in accounting shows the net worth of a business at a certain point in time. It is also known as owner's equity for a sole proprietorship or shareholders' equity for a corporation, and it is reported in the bottom section of the balance sheet.

The capital account balance would be equal to the sum of cash deposit and net income minus drawings made.

Capital account balance= Cash deposit + Net income - Drawings made.

Capital balance= 75000+18000-12000

=93000-12000

=$81000

Therefore,the capital account is $81000.

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The model of monopolistic competition can characterize the market for plumbing services in a city. Suppose that the market is in
Verdich [7]

Answer:

Correct answer is (C) The price and output of plumbing services will rise

Explanation:

In a monopolistic market if the service or commodity is initially in long-run equilibrium, and then there is an increase in demand, then, there will increase in price in a short run as people demands more and the provider of the service or the producer of the goods will tend to provide or produce more.

6 0
3 years ago
At the end of May, the following adjustment data were assembled.
777dan777 [17]

Answer and Explanation:

The adjusting entries are as follows:

a.  Insurance expense $275  

            To Prepaid insurance $275

(To record the insurance expense)

b.  Supplies expense $785 ($1,500 - $715)

            To Supplies $785

(To record the supplies expense)

We assume the balance of supplies before adjustment is $1,500

c. Depreciation - office equipment $330

          To Accumulated depreciation $330

( To record the depreciation expense)

d. Salary Dr $325

        To Accrued salary $325

(To record  the accrued salary)

e.  Rent expense $1,600  

           To Prepaid rent $1,600

(To record the rent expense )

f. Unearned fees $790  

          To Fees revenue $790

(To record the unearned fees is recorded)  

We assume the balance of unearned fees before adjustment is $4,000

Therefore, $790 is arrive from

= $4,000 - $3,210

= $790

7 0
2 years ago
Selected income statement data follow for Harley Davidson, Inc., for the year ended December 31, 2016 (in thousands): Income bef
Alina [70]

Answer:

D. 35.5

Explanation:

Times Interest Earned

\frac{EBIT}{Interest \:Expense}

Where EBIT = Earning before interest and taxes

In your assingment we have the Income before the income taxes, whgich means it is including the interest expense, we need to remove it:

EBT + Interest expense = EBIT

1,023,911 + 29,670 =1,053,581

Now we calculate the TIE

1,053,581 /  29,670 = 35.50997641 = 35.51 = 35.5

The company earns their interest 35.5 times.

6 0
2 years ago
If the expected sales volume for the current period is 25,000 units, the desired ending inventory is 700 units, and the beginnin
cluponka [151]

Answer:

Production= 25,250 units

Explanation:

Giving the following information:

Sales= 25,000 units

ending inventory= 700 units

beginning inventory= 450 units

To calculate the required production for the period, we need to use the following formula:

Production= sales + desired ending inventory - beginning inventory

Production= 25,000 + 700 - 450

Production= 25,250 units

6 0
2 years ago
The accounts payable account is a/an_______ ___, and it has a normal.
Viktor [21]

The accounts payable account is a/an option C: <u>liability; credit, </u>and it has a normal.

<h3>What do you mean by Account payable?</h3>

A account payable is refers to as the monet owned by a company to its supplies and its represent in the firm's balance sheet.

The main role of account payable os to provide financial, administrative and clerical support to the firm. Their main role include complete the whole payment and control expenses.

Moreover, it is considered as the liability for each business because the company have to pay back its all due on particular period of time and it is credit in nature.

Hence, rest all options like A, B and D are incorrect because it does not considered under the account payable account.

Therefore, correct option is C.

Learn more about Account payable, refer to the link:

brainly.com/question/14438810

#SPJ1

5 0
1 year ago
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