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Natasha2012 [34]
2 years ago
13

Collins Landscape Company purchased various landscaping supplies on account to be used for landscape designs for their customers

. How will this business transaction affect the accounting equation
Business
1 answer:
hram777 [196]2 years ago
4 0

Answer:

Increase Assets (Supplies) and increase Liabilities (Accounts Payable).

Explanation:

In accounting the accounting equation is the basis for double entry recording of transactions. For every debit there must be an equal and credit.

Accounting equation= Liabilities+ Owners Equity

When Collins Landscape company made the purchase of landscaping supplies on account. That means the transaction was not payed for with cash, so there is an increase in accounts payable (a liability account)

We have an increase in landscaping supplies so Assets increases.

The journal entry will be a debit to Asset (supplies)to increase it, and a credit to account payable bro increase it.

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Kim’s flowers decided to borrow $26,000 from the bank and use the proceeds to purchase a new delivery vehicle. How should they c
Neko [114]

Based on the fact that Kim's flowers borrowed the money and used it to buy a new delivery vehicle, this business activity should be categorized as both a financing activity and an investing activity.

<h3>What should they classify this business activity as?</h3>

Because Kim's Flowers got the money as a loan, it would be recorded as an inflow for financial activities.

They then used it to purchase a delivery vehicle which is an investment and a capital asset so this will count as an investment activity.

Find out more on classifying business activities at brainly.com/question/14790406

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8 0
1 year ago
Patty and tina were exposed to the mumps at school. neither patty nor tina has ever had the mumps before, but several years ago
Mumz [18]
I think would be most susceptible to have mumps is the Patty. <span>
</span><span>If we review the conditions: Tina had mumps vaccine; her mother had mumps before; baby sister was breastfed, which is not a protection for mumps, and Patty wasn't vaccinated but was the one who had contact with the person who has mumps. Patty was the most vulnerable.</span>

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3 0
2 years ago
Read 2 more answers
APR on a loan may be adjusted based on a borrower’s
horsena [70]

APR on a loan may be adjusted based on a borrower’s

credit history

8 0
3 years ago
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Krazy Kayaks sells its entryminuslevel kayaks for​ $750 each. Its variable cost is​ $500 per kayak. Fixed costs are​ $25,000 per
Daniel [21]

Answer:

Net operating income= 565,000

Explanation:

Giving the following information:

Krazy Kayaks sells its entry-level kayaks for​ $750 each. Its variable cost is​ $500 per kayak. Fixed costs are​ $25,000 per month for volumes up to​ 1,100 kayaks. Above​ 1,100 kayaks, monthly fixed costs are​ $60,000.

Sales= 2,500*750= 1,875,000

COGS= (500*2,500)= (1,250,000)

Gross profit= 625,000

Fixed costs= (60,000)

Net operating income= 565,000

7 0
2 years ago
Zoum Corporation had the following transactions during the year: Issued $250,000 of par value common stock for cash. Recorded an
ANTONII [103]

Answer:

-$210,000

Explanation:

Issued Common Stock at par for Cash $250,000

Less:

Declared and paid a cash dividend $20,000

Repayment of 6-year note payable $440,000

Net Cash provided by Financing Activities ($210,000)

8 0
3 years ago
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