Answer: Debit Interest Expense and credit Interest Payable, $1,800
Explanation:
The amount of time that has elapsed between the 1st of November and the 31st of December is 2 months.
This means that the interest over the last 2 months has to be calculated and recorded on the 31st of December.
Bear in mind that the 9% is an annual interest rate figure and so when calculating the interest, you must adjust for the amount of months in the year.
Interest owed for 2 months is,
= 9% * 2/12 (2 months have elapses out of 12 months in the year) * $120,000
= $1,800
Interest owed is $1,800.
The correct entry will therefore be,
Dec 31
DR Interest Expense $1,800
CR Interest Payable $1,800
( To record interest payable on note)
Answer:
Absolute value of the price elasticity of demand = 6.8 (ELASTIC)
Explanation:
<em>(See attached)</em>
Answer:
D --> 3
B --> 2
A --> 1
C --> 4
Explanation:
1.- The company should pick the most probable outcome when possible to evaluate liabilities, and only recognize revenues and assets with certain.
Between two favorable figures, it will pick the lowest if it is not certain about the second outcome.
2.-The accounting should disclosure all information useful for third parties to make knowledgeable decisions about a company
3: the accounting should keep the same method over the years, so the assets valuation follow a certain logic. If the accounting change method every year, then the valuation of the assets will differ from period to period. This will make the books of previous year difficult to compare with the current year.
4.- The company needs to show any important data which is significant to the business
Answer:
$6,000 LTCG
Explanation:
Calculation to determine the amount and character of the gain or loss that Monte recognizes
Using this formula
Recognized gain or loss =Amount realized -Basis
Let plug in the formula
Recognized gain or loss=(1,000 Shares*$54 per share)-(1,000shares*$48 per share)
Recognized gain or loss=$54,000-$48,000
Recognized gain or loss=$6,000 LTCG
Therefore the amount and character of the gain or loss that Monte recognizes is $6,000 LTCG reason been the any gain Amount on the sales of property that was inherited are often tend to be LTCG
Answer:
D. Material requisitions authorize the transfer of materials from the production floor to the raw materials warehouse
Explanation:
Material requisitions doesnt authorize anything, just provides information
