Answer:
Cash Dr $120,000
To Note payable $120,000
(Being the issued of note payable is recorded)
Explanation:
The journal entry is shown below:
On April 1
Cash Dr $120,000
To Note payable $120,000
(Being the issued of note payable is recorded)
For recording this entry we debited the cash as it increased the cash balance and at the same time it also increased the liabilities so liabilities is also increased so that the issuance of the note payable could be recorded
Answer: Adverse Selection.
Explanation:
The above situation described Adverse Selection because Adverse Selection refers to a situation where there is information asymmetry between buyers and sellers of a good or service. This means that a party involved has more information about the transaction than the other and this can lead to the person who has more information engaging in a transaction that is sure to benefit them at the expense of the person they are transacting with. A serious example is one of life insurance. Perhaps if a person knows that they will be dying soon but it won't show up on all medical scans and tests, they will get the life insurance and claim on it when they die. They had more information than the seller.
In the above scenario, Tim can make all the assumptions he wants to make but the fact is he simply will.not know what defects the television has because he is not the seller.
It is applaudible that he is approaching with caution though. He at least has a higher chance of success.
A check only has a routing number, account number, and a check number. if your question is multiple choice . it wont have a social security number <span />
<span>a hypothetical closed economy in which households spend the eDollars</span>
Answer:
The correct answer is: True.
Explanation:
The basic or fundamental problem in economics is people have unlimited wants and needs and the resources are limited. These limited resources have alternative uses and are used to satisfy unlimited wants and needs.
These resources are to be used rationally in such a way that total utility or consumption derived is maximized.
