Answer C bc process of elimination
<span>It definitely would be bad for most people. It would increase the price on a very common item that the majority of the population consumes and that would be harmful to the economy in an important aspect of the economy. It might also even limit the diversity of flavors and brand innovation.</span>
Answer:
A. Dr Cash 52,000
Cr Common Stock 10,000
Cr Paid-in Capital in Excess of Par-Common Stock 42,000
B. Dr Cash 52,000
Cr Common Stock 10,000
Cr Paid-in Capital in Excess of Stated Value-Common Stock 42,000
C. Dr Cash 52,000
Cr Common Stock 52,000
D. Dr Organization Expense 52,000
Cr Common Stock10,000
Cr Paid-in Capital in Excess of Stated Value-Common Stock 42,000
E. Dr Land 52,000
Cr Common Stock 10,000
Cr Paid-in Capital in Excess of Stated Value-Common Stock 42,000
Explanation:
Preparation of the entry for the issuance
A. Dr Cash 52,000
Cr Common Stock 10,000
(2,000 x 5 )
Cr Paid-in Capital in Excess of Par-Common Stock 42,000
(52,000 – 10,000)
B. Dr Cash 52,000
Cr Common Stock 10,000
(2,000*5)
Cr Paid-in Capital in Excess of Stated Value-Common Stock 42,000
(52,000 – 10,000)
C. Dr Cash 52,000
Cr Common Stock 52,000
D. Dr Organization Expense 52,000
Cr Common Stock10,000
(2,000*5)
Cr Paid-in Capital in Excess of Stated Value-Common Stock 42,000
(52,000-10,000)
E. Dr Land 52,000
Cr Common Stock 10,000
(2,000*5)
Cr Paid-in Capital in Excess of Stated Value-Common Stock 42,000
(52,000-10,000)
Given:
Principal = 11,000
return rate = 6%
term = 20 years
Without additional information, I can treat this problem as a simple interest problem.
Simple Interest = Principal * rate * term
Simple Interest = 11,000 * 0.06 * 20 years
Simple Interest = 13,200
11,000 + 13,200 = 24,200 total balance after 20 years.
Assuming that the interest is compounded once a year.
A = P (1 + i/n)^t*n
A = 11,000 (1 + 0.06/1)^20*1
A = 11,000 (1.06)^20
A = 11,000 * 3.207
A = 35,278.49 total amount after 20 years.
The amount involving compounding interest is greater than simple interest because in compounding interest, the interests earned in the previous years also earn its own interest. Whereas, in simple interest only the principal earns an interest.
