Answer:
The trader has incurred a loss because the price of crude oil futures has increased.
Loss = (Today's closing price - Yesterday's closing price) * 10 * 100
Loss = (57 - 55.30) * 100 Per contract
Loss = $170 per contract
Loss for 10 contracts = 170 * 10 = $1,700
Now the account balance = Current margin balance - Loss for 10 contracts
The account balance = 28,000 - 1,700
The account balance = $26,300
Maintenance margin for 10 contracts = 2,500 * 10 = $25,000
Since the account balance is greater than the required maintenance margin for 10 contracts, the investor is not required to deposit money into the margin account.
Explanation:
Answer:
Debit Depreciation Expense, $525;
Credit Accumulated Depreciation, $525.
Explanation:
Based on the information given in a situation where the financial statements are to be prepared on December 31, which means that the company should make the following adjusting entry:
Debit Depreciation Expense, $525
Credit Accumulated Depreciation, $525
Calculated as:
Debit depreciation expense $6,300/12
Debit depreciation expense=$525
Answer:
subdivision
Explanation:
A real property subdivision takes place when a real property (parcel of land, house, etc.) is divided into smaller areas. The whole idea behind a subdivision is that it should be easier to sell the property in smaller parts.
When a subdivision is carried out on a condominium, the physical space is not divided, rather the property time is divided into time share units. In this case, a person can purchase the right to use that condominium during 3 weeks each year.
The answer for this question is True
Answer:
Allowance for uncollectible accounts
Explanation:
This account is a contra asset account which says that the account receivable amount is not collected in near future
It is shown in the asset side of the balance sheet
Assets side
Current Assets
Accounts receivable XXXXX
Less: Allowance for doubtful debts (XXXXX)
Net accounts receivable XXXXX
It is an estimated amount which is not to be paid by the customer in respect to goods delivered to them
The journal entry would be
Bad debt expense A/c Dr XXXXX
To Allowance for uncollectible accounts A/c XXXXX
(Being the uncollected amount is recorded)
