All categories

3 years ago

On January 1, 2017, the ledger of Accardo Company contains the following liability accounts.

Business

1 answer:

JulsSmile [24]3 years ago

3 0

Answer:

Cash 21,492 debit

Sales Revenue 19,900 credit

Sales tax payable 1,592 credit

Unearned Service Revenue 10,000 debit

Service Revenue 10,000 credit

Sales tax payable 7,100 debit

Cash 7,100 credit

Accounts Receivables 48,600 debit

Sales Revenues 45,000 credit

Sales tax payable 3,600 credit

Cash 29,250 debit

Notes Payables 29,250 credit

Cash 12,744 debit

Sales Revenues 11,800 credit

Sales tax payable 944 credit

interest expense 156 debit

interest payable 156 credit

warranty expense 340.2 debit

warrnaty liability 340.2 credit

Explanation:

21,492 / (1 + 0.08) = 19,900 sales revenue

21,492 - 19,900 = 1,592 sales tax

900 x 50 = 45,000

45,000 x 0.08 = 3,600

12,744 / 1.08 = 11,800

12,744 - 11,800 = 944

interest on the note:

29,250 x 0.08 x 6days / 90 days = 156

warranty liability:

48,600 x 7% expected warranty cost = 340.2

You might be interested in

If the interest rate rises in the United States relative to other nations, then in the foreign exchange market the demand for d

34kurt

Answer:

B. increases; decreases

Explanation:

Foreign exchange market can be defined as type of market in which the currency of one country is converted into that of another country.

For example, the conversion of dollars of the United States of America can be converted into naira (Nigeria) at the foreign exchange market.

Efficient market school is the market school which argues that forward exchange rates do the best possible job for forecasting future spot exchange rates, so investing in exchange rate forecasting services would be a waste of time because it is impossible to have a consistent alpha generation on a risk adjusted excess returns basis as market prices are only affected by new informations.

The efficient market school also known as the efficient market hypothesis (EMH) is a hypothesis that states that asset (share) prices reflect all information and it is very much impossible to consistently beat the market.

Also, forward exchange rates are exchange rates controlling foreign exchange transactions at a specific future date or time.

An interest rate can be defined as an amount of money that is charged as a percentage of the total amount borrowed from an individual or a financial institution.

Generally, if the interest rate rises in the United States relative to other nations, then in the foreign exchange market the demand for dollars increases and the supply of dollars decreases because of the high value of the dollar compared to the other currency.

4 0

2 years ago

Read 2 more answers

The Bennet Family Enters into Legal Enforceable Contracts?

sveta [45]

Answer:

you need to describe more... then I will answer

4 0

2 years ago

Kameela says that a good choice of wine to pair with cheese is a Zinfandel. Annette says that a better choice to pair with che

Allisa [31]

B both women are correct

6 0

3 years ago

Read 2 more answers

Journalize the following transactions for Reed Company. Assume a perpetual inventory system. Also, assume a constant gross profi

igor_vitrenko [27]

Answer:

The Journal entries are as follows:

(i) On April 6,

Cash A/c Dr. $5,000

To Sales $5,000

(To record the cash sales )

(ii) On April 6,

Cost of goods sold A/c Dr. $3,000

To merchandise inventory $3,000

(To record the cost of goods sold)

(iii) On April 12,

Sales return and Allowances A/c Dr. $630

To cash $630

(To record the sales return)

(iv) On April 12,

merchandise inventory A/c[(630 ÷ 5,000) × 3,000] Dr. $378

To cost of goods sold $378

(To record the cost of sales return and allowances

4 0

3 years ago

Why do businesses take financial cost into account other than social cost when making decisions.

deff fn [24]

The correct answer to this open question is the following.

Although there are no options attached we can say the following.

Why do businesses take financial costs into account other than social costs when making decisions.?

The reason why is because businesses are created to make profits. And financial costs directly impact sales, revenue, and profits. Any other consideration that does not directly affect the balance sheet or the bottom line, is not considered a priority and takes the back seat when business decisions are made.

On the other hand, the social cost should be important and it is, but not as important as the financial costs for the above-mentioned reasons.

Social costs are more on the side of the ethics of the managers or leaders of the organizations. And ethics and moral values are not a prominent thing to be considered in the decision-making process of modern corporations.

7 0

2 years ago