Explanation:
The journal entry are as follows
On April 20
Sales returns A/c Dr $3,000
To Account receivable A/c $3,000
(Being the sales returned of goods is recorded)
While recording this given transaction, we debited the sales return account and credited the account receivable account so that the proper posting could be done
Answer:
Net income= $11,412.2
Explanation:
Giving the following information:
sales of $46,382
interest expense of $3,854
cost of goods sold of $16,659
selling and administrative expense of $11,766
depreciation of $6,415
t=0.35
We need to use the following formula:
Net income= (sales - COGS - selling and administrative expense - interest expense - depreciation) - tax + depreciation
First, we deduct Depreciation to decrease the tax base, but because it is not an actual payment, we have to sum it after tax.
Sales= 46,382
COGS= (16,659)
Gross profit= 29,723
Selling and administrative expense= (11,766)
Interest=(3,854)
Depreciation= (6,415)
EBT= 7,688
Tax= (7,688*0.35)= (2,690.8)
Depreciation= 6,415
Net income= $11,412.2
The answer is trade increases<span />
Answer: b. shoe-leather costs
Explanation:
This is the shoe-leather cost inflation. It refers to the time and effort expended by people to ensure that they are able to avoid their cash losing too much value to inflation. Includes for instance, going to the bank multiple times because you are holding little cash on hand so it does not lose value.
It is named shoe-leather costs as a play on words because it is assumed that the time and effort put will result in walking around alot and degrading the quality of your shoes.
Answer:
B) The Supply of corn will decrease and the price of corn will rise.
Explanation:
Option B is correct because the drought has damaged the corn crops. Therefore, this will affect the supply of corn in the market. Moreover, the damage of corn crops will shift the supply curve leftwards and this shift in the supply curve will push the prices upwards. Thus, the damage of corn crops will increase the prices due to a decrease in its supply.
