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3 years ago

9

When recording transactions in two or more accounts and the totals of the debits and credits are equal, it’s called A. debiting.

B. crediting. C. posting. D. double-entry bookkeeping.

1 answer:

zepelin [54]3 years ago

4 0

D. double entry bookkeeping

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On January 1, 2018, the Cook's Restaurant decides to invest in Lake Topsey bonds. The bonds mature on December 31, 2021, an

charle [14.2K]

Answer and Explanation:

The Journal Entry is shown below:-

Investment in bonds is at face value, no question about discount or premium.

Investment is rendered from the time the bonds mature before 2023. Hence, it is an investment as Working for Profit "Held until maturity"

Jan 1, 2018

Bonds receivables Dr, $140,000

To Cash $140,000

(Being Investment in bonds is recorded)

30 June 2018

Cash Dr, $2,400

To interest income $2,400

(Being six months interest received is recorded)

31 Dec 2018

3. Cash Dr, $2,400

To interest income $2,400

(Being six months interest received is recorded)

Working note:-

Bond Value $140,000

Interest rate 4%

Interest earned half

yearly, effective rate

(4% × 6 ÷ 12) 2%

Half Yearly interest amount

($140,000 × 2%) $2,800

3 0

3 years ago

Jefferson Company has sales of $300,000 and cost of goods available for sale of $270,000. If the gross profit ratio is typically

Ivenika [448]

Answer:

$60000

Explanation:

Given: Sales = $300000.

Cost of goods available for sale= $270000.

The gross profit ratio= 30%

First finding the gross profit out of total sales.

Gross profit= $30\% \times 300000$

Gross profit= $\$ 90000$

∴ Cost of goods sold= $Total\ sales - gross\ profit$

Cost of goods sold= $300000-90000$

Cost of goods sold= $\$ 210000$

Hence, cost of goods sold= $\$ 210000$

Now, finding estimated cost of the ending inventory.

Cost of ending inventory= $cost\ of\ goods\ available\ for\ sale - cost\ of\ goods\ sold$

⇒ Cost of ending inventory= $\$ 270000- \$ 210000$

∴ Cost of ending inventory= $\$ 60000$

Hence, estimated cost of the ending inventory under the gross profit method would be $60000.

3 0

3 years ago

The Weber Company purchased a mining site for $1,750,000 on July 1. The company expects to mine ore for the next 10 years and an

AlladinOne [14]

Answer:

The correct solution is "$26,000".

Explanation:

The given values are:

Cost

= $1,750,000

Salvage value

= $150,000

First Year Extraction

= 6,500

Total Extraction

= 400,000

Now,

⇒ $Depletion \ Expense = (Cost - Salvage \ value)\times (\frac{First \ Year \ Extraction}{Total \ extraction} )$

On putting the values, we get

⇒ = $(1,750,000 - 150,000)\times (\frac{6,500}{400,000} )$

⇒ = $1,600,000\times 0.01625$

⇒ = $26,000$ ($)

4 0

3 years ago

Explain four different groups/categories of people with whom the manager deals/ works with

Anvisha [2.4K]

Corporate/Managers higher than him
Employees/ his staff
Customers/ people who buy from his business
Deliveries/ the people who bring shipment to his store

8 0

3 years ago

What are some of the advantages and disadvantages of a) individuals as innovators, b) firms as innovators, c) universities as in

ch4aika [34]

Answer:

a. Individuals as innovators

<u>Advantages</u>

1. Individuals have no limits (no hard rules) as to whom they can sell their innovation to.

2. An individual can be able lead a successful career with their innovation is any company

<u>Disadvantages</u>

1. Capital is a major limit for most individuals who may not be able to market their innovations.

2. Lack of Knowledge in Patenting innovation ideas have led to most individuals losing their innovation to others.

b. firms as innovators

<u>Advantages</u>

1. Successful innovation can help a firm improve its processes and increase its revenues.

2. Innovation in a unique product can often lead a firm to monopoly as the product becomes a necessity

<u>Disadvantages</u>

1. Firms have more rivalry such that others can copy the innovation or produce another close substitute which can render all efforts to a loss.

2.It takes so much time for the innovation to be approved in a firm as some structures of authority have to be followed and also depending on the culture of the firm towards innovation.

c. universities as innovators

<u>Advantages</u>

1. Universities are better able to raise capital through the Research Funds granted to them by stakeholders.

2. Innovation increases a University`s reputation and improves it rankings.

<u>Disadvantages</u>

1. High dependence on government agencies for funding by Universities means Innovation successes are easily affected by the fiscus.

2. Universities are not effective at marketing Innovations on their own.

d. government institutions as innovators

<u>Advantages</u>

1. The government can increase revenue by improving processes and cutting costs.

2. Innovation can improve transparency and help improve governance and administration.

<u>Disadvantages</u>

1. Adoption of innovation is usually slow as it has to pass so much bureaucracy.

2. Most personnel prefer working in private institutions hence the personnel to drive innovation in governments may be unavailable or inadequate

e. nonprofit organizations as innovators

<u>Advantages</u>

1. There is so much option for funding of innovations ranging from Individuals, Companies and Government

2. Most innovations are driven by Human Need hence their increased success.

<u>Disadvantages</u>

1. The innovation may not be able to generate the revenue to cover the costs.

2. The organizations are usually lacking personal's to drive innovations as people prefer to be paid more for their work.

Explanation:

Innovation is defined as the creation, development and implementation of a new product, process or service. The aim of innovation is to improve efficiency, effectiveness or competitive advantage. Innovation presents advantages and disadvantages to various players as listed above.

6 0

3 years ago