Answer:
C. 3%
Explanation:
Given that
I = 1875 + 375 = 2250
V = 75000
Recall that,
I/V = R
So,
= 2250/75000
= 0.03
To percentage = 0.03 × 100
= 3%
Answer:
Franklin Investments: No Effect; O'Hare Consulting: Decrease
Explanation:
Franklin Investments will record the dividends received as dividends revenue. On the other hand, O'Hare Consulting is using the equity method, therefore, any dividends received will actually decrease the investment account. Dividends received reduce the investment account when using the equity method, while the declaration of net profits increases the investment account.
Answer:
B) Stable monetary unit concept
Explanation:
Based on the information given the concepts or principles of accounting that was being violated is called STABLE MONETARY UNIT CONCEPT reason been that this type of accounting principle believe that the dollar purchasing power should often be stable or fixed regardless of the increase or rise in market price which is inflation which is why an accountant will often ignore the impact of inflation on goods and services based on the assumption of the principle of STABLE MONETARY UNIT CONCEPT.
Therefore Tate corporation has violated the accounting principle of STABLE MONETARY UNIT CONCEPT by adjusting the building amount that was purchase in 1970 in the Accounting record from the amount of $30,000 to the amount of $75,000 due to the effect of inflation.
Answer:
$415 underapplied (debit balance)
Explanation:
Predetermined OH rate =
$116,500/$124,500 = 93%
OH applied = $114,500(.93)
= $106,485
Applied $106,485– Actual $106,900
= $415 underapplied (debit balance)
Therefore the entry to close the over- or underapplied overhead at year-end, assuming an immaterial amount, would include $415 underapplied (debit balance)
