1answer.
Ask question
Login Signup
Ask question
All categories
  • English
  • Mathematics
  • Social Studies
  • Business
  • History
  • Health
  • Geography
  • Biology
  • Physics
  • Chemistry
  • Computers and Technology
  • Arts
  • World Languages
  • Spanish
  • French
  • German
  • Advanced Placement (AP)
  • SAT
  • Medicine
  • Law
  • Engineering
Alik [6]
3 years ago
5

The company purchases equipment with cash - The Equity account does the following:

Business
1 answer:
avanturin [10]3 years ago
3 0

Answer:

The correct answer would be C, No Effect.

Explanation:

In Balance Sheet, there are two sides, one side contains Assets and Liabilities, whereas the other side contains Owner's Equity. When ever there is a change in the accounts head, the changes are reflected in the balance sheet or the concerned financial statement. In this question, The company purchases equipment, which is an asset, from cash. This transaction can be shown by the following entry:

Debit                                            Credit

Equipment(Asset)                         Cash

In this entry, we can see that cash is being credited, which means, owners equity is decreased, but at the same time, equipment is debited, which means assets are increased, and when assets increase, it means owners equity is increased. So there won't be any effect on the owner's equity because equity is just converted from cash to assets. There will be no increase or decrease in the owners equity. It will remain same.

You might be interested in
A large corporation that has its headquarters in Boston, manufacturing plants in Indonesia, and regional offices and retail stor
Alla [95]
Multinational company
6 0
3 years ago
6 . How shifts in demand and supply affect equilibrium Consider the market for pens. Suppose that the number of students with an
Tresset [83]

Answer:

Suppose that the number of students with an allergy to pencil erasers increases, causing more students to switch from pencils to pens in school.

  • This will shift the demand curve to the right, increasing the total demand at all price levels.

Moreover, the price of ink, an important input in pen production, has increased considerably.

  • This will shift the supply curve to the left, increasing the price of pens at every demand level.

What is sure is that the price of pens will increase. It is likely that the quantity demanded increases, but the extent by which the quantity demanded will increase is unknown.

5 0
3 years ago
Wynn, Inc. manufactures beanies. The budgeted units to be produced and sold are below: Expected Production Expected Sales August
lora16 [44]

Answer:

Hence, the budgeted cost of purchases is 12,474 yards

Explanation:

To compute the budgeted cost of purchase, we need to require to do calculations which are shown below:

1. First, we have to compute the purchase amount

= Required production in august + ending inventory - beginning inventory

where,

required production equals to

= expected production × number of yards

= 3,500 units × 18

= 63,000 yards

The ending inventory is 5% of next month production which equals to

= September expected production × number of yarns × rate

= 2,800 units × 18 yards × 5%

= 2,520 yards

And, the beginning inventory is 3,150 yards

Now put these values to the above formula

So, the purchase amount would be equal to

= 63,000 + 2,520 - 3,150

= 62,370 yards

And the cost of a yard is $0.20

So, the budgeted cost of purchase equals to

= Purchase amount × cost of yard

=  62,370 × $0.20

= 12,474 yards

Hence, the budgeted cost of purchases is 12,474 yards

7 0
3 years ago
According to the contingency model, a relationship-oriented leadership style works best in ______ situations.
Shalnov [3]

The best answer would be best in (C) moderate control situations.

This is because in situations where relationship-oriented leadership style would be most suitable, <u>the task structures are generally already quite good, and thus a high degree of control is unnecessary.</u> That does not mean any kind of supervisory activities are unnecessary though, since any task should be carefully monitored in terms of their quality and effectiveness.

4 0
3 years ago
The purpose of economic systems is _____.
tangare [24]

Answer:

1.to answer the three key questions of economics

2.to help countries respond to the issue of scarcity

AND 3.to help make decisions concerning what, how, and for whom things are produced

Explanation:

(:

5 0
3 years ago
Read 2 more answers
Other questions:
  • John, a line supervisor, has decided to increase Kerry's responsibilities by delegating more work to her station. what is the fi
    12·1 answer
  • Roles that are concerned specifically with the activities that need to be carried out for the group to accomplish its goals are
    12·1 answer
  • A company normally sells its product for $20 per unit. However, the selling price has fallen to $15 per unit. This company's cur
    15·1 answer
  • Tina’s Manufacturing Company reported total variable cost of $1,000,000. The managerial accountant reported 50,000 total number
    7·1 answer
  • What are two advantages and two disadvantages of the informal economy
    11·1 answer
  • Brush Industries reports the following information for May: Sales $ 980,000 Fixed cost of goods sold 116,000 Variable cost of go
    12·1 answer
  • Ramos is an aggressive investor and likes to win at everything. He knows that it is impossible to win or beat the averages all o
    7·1 answer
  • The process in which a test or battery of tests is administered to a different sample (drawn from the same population) for the p
    14·2 answers
  • Port Ormond Carpet Company manufactures carpets. Fiber is placed in process in the Spinning Department, where it is spun into ya
    6·1 answer
  • State and explain the importance of marketing in small business ​
    13·1 answer
Add answer
Login
Not registered? Fast signup
Signup
Login Signup
Ask question!