Lenders are prohibited from

Pink Arrangements has just completed operations for the year ended December 31, 2018. This is the third year of operations for t

Kruka [31]

Answer:

$21,000

Explanation:

Preparation of income statement

Income statement of Pink Arrangements for the year ended December 31, 2018.

REVENUE:

Service Revenue 84,000

Less EXPENSE:

Insurance Expense (2,500)

Utilities Expense (1,500)

Rent Expense (12,000)

Salaries Expense (47,000)

NET INCOME 21,000

Therefore the Income statement of Pink Arrangements for the year ended December 31, 2018 will be shows the amount of $21,000

4 0

2 years ago

A corporation is authorized to sell 1,000,000 shares of common stock. Today there are 500,000 shares outstanding, and the board

Juliette [100K]

Answer:

35,000 stocks

Explanation:

Dividends can be either distributed in cash or distributed as new stock. In this case the company decided to issue stock instead of cash payments. Since the company has 500,000 outstanding and the board declared a 7% dividend, then 35,000 stocks should be issued (= 500,000 x 7%).

Whether shareholders receive money or stocks, they still have to include the dividends as part of their gross income.

4 0

3 years ago

Which of the following would most likely suffer the least from the costs of inflation?

Arturiano [62]

Answer:

B. Persons on fixed incomes.

Explanation:

Inflation is a general increase in prices and fall in the purchasing value of money, therefore, a person with a fixed income will not be affected.

8 0

3 years ago

Manufacturers that utilize process operations produce large quantities of identical products. True or False True False

Harrizon [31]

Answer:

True

Explanation:

The given statement is true as the process operations refer to the bulk production of the large quantities produced that contain similar products or identical products. Moreover, the goods are produced in a continuous flow. This is mostly done by the manufactures as they generally accepted the bulk or mass quantities of product

4 0

3 years ago

Turner, Roth, and Lowe are partners who share income and loss in a 1:4:5 ratio (in percents: Turner, 10%; Roth, 40%; and Lowe, 5

Sonbull [250]

Answer:

Turner, Roth, and Lowe

a. Loss from selling the assets = $78,800

b. Loss allocation to the partners:

Turner Roth Lowe

Loss sharing ($78,800) $7,880 $31,520 $39,400

c. Capital contribution to cover deficiency:

Turner Roth Lowe

Contribution to cover deficiency $3,000 $12,000 $15,000

Explanation:

a) Data and Calculations:

Turner Roth Lowe

Income and loss sharing ratio: 1 4 5

Assets before liquidation = $130,800

Liabilities = $82,000

Capital balances $2,900 $14,200 $31,700

Cash received from sale of assets = $52,000 ($82,000 - $30,000)

Loss from sale of assets = $78,800 ($130,800 - $52,000)

Loss sharing ($78,800) $7,880 $31,520 $39,400

Contribution to cover deficiency $3,000 $12,000 $15,000

5 0

2 years ago