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Alja [10]
3 years ago
13

Tom’s T.V.’s sold one of their premium products, a new 60" flat screen 3D T.V. to a customer who paid $2,000 in cash. How would

the receipt of payment from this sale impact the accounting equation?
Business
1 answer:
nikdorinn [45]3 years ago
5 0

Answer:

Impact of $2,000 sale on accounting equation is as follow:

Accounting Equation

 Asset             =        Equity           +      Liabilities

Cash+2000        Sales+2,000            No Effect

As cash an asset for the business, so the receipt will increase the balance of assets of the company. The revenue is ultimately adjusted to equity in the form of net income after deducting all the expenses. This transaction will result in increase of equity balance by the sale amount.

Explanation:

The Following journal Entry will support my answer:

Sales amount = 2,000

As this transaction is made on cash basis the following Journal entry will be recorded for this event.

                   Dr.          Cr.

Cash       $2,000

Sales                    $2,000

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The City issued $2 million in general obligation bonds to acquire a fleet of vehicles for the Central Motor Pool Internal Servic
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Answer:

a) Bonds Payable.

Explanation:

Since there is an issue of bonds as against cash, which need to be paid back in future, amount received will be credited to bonds payable.

Further the purpose of bonds will always be to acquire a capital asset as bonds are issued for long term finance generally, therefore, the bonds will be credited as bonds payable, rather than capital contributions.

Though a general note in notes to account can be added clearly specifying the purpose of issue of bonds.

a) Bonds Payable.

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3 years ago
The yield on a one-year bond is currently 3% and the expected yield on one-year bonds for the next two years is 5% and 4%. If th
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Answer:

5.75%

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Given that

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Most management researchers believe that modern management studies originated in the <u>c. 18th century.</u>

<h3>Origins of modern management </h3>
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The Industrial Revolution began in the 1700s or the 18th century and so we can conclude that modern management also started in the 18th century as well.

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