Answer:
Cash Dr $26,000
Accumulated depreciation $28,000
To Gain on sale of equipment $2,000
To Equipment $52,000
(Being the sale of equipment is sold)
Explanation:
The journal entry is shown below:
Cash Dr $26,000
Accumulated depreciation $28,000
To Gain on sale of equipment $2,000
To Equipment $52,000
(Being the sale of equipment is sold)
For recording this we debited the cash and accumulated depreciation as it increased the assets and decreased the accumulated depreciation balance as it has always credit balance while at the same time we credited the equipment as it reduced the assets and the balancing figure is credited to the gain on sale of equipment
Answer:
The new rate of return is 15.4%
Explanation:
The revised estimate on the rate of return on
the stock would be:
• Before
• 14% = α +[4%*1] + [6%*.4]
α = 7.6%
• With the changes:
• 7.6% + [5%*1] + [7%*.4]
The new rate of return is 15.4%
Answer:
The correct answer is option D.
Explanation:
A purely domestic firm can face competition from an MNC. An MNC has the advantage of more than one sources of inputs and more than one product market. But the domestic firm also possesses an advantage of having a thorough knowledge of the local market as they have operated there unlike MNCs.
The domestic even though operating in the domestic territories may still face foreign exchange risk. This is because their competitors may be operating internationally.
Answer:
Journal entry
31 December Debit Inventory write_down (loss) 1550, Credit inventory 1550
Explanation:
Inventory is accounted for at the lower of cost or net realizable value. inventory write_ down is impairment a loss to the organisation
there can never be a gain when revaluing inventory, either it remains at cost or goes down with NRV
cost market write down
closing inventory calculation
Alligator ( 70 units) 3220 2870 350
Bear (85 units) 6800 6800 0
Cougar ( 10 units) 900 920 0
Dingo ( 35 units) 1225 1225 0
Elephant ( 400 units ) 6000 4800 1200
<u> 18145</u> <u>16615</u> <u>1550</u>
COUGAR has a high market value so we value it at cost because it is the lower of the two.
Scarcity is to not have enough resources to fullfil a societies wants and needs. The 3 basic questions a society must ask inorder to deal with this are. what to produce? how to produce? and, for whom to produce? whoever answers those questions is how I societies economic system is decided. Though to answer your question in short, the basic goal of a society is to deal with scarcity, they achieve this by producing as much resources as possible with the little resources available.