Answer:
c. Debit: Discount on notes payable, $41,884.
Explanation:
The journal entry is shown below:
Equipment $883,116
Discount on Notes payable $41,884 ($740,000 - $698,116)
To Notes payable $740,000
To Cash $185,000
(Being the amount paid in cash and note payable is recorded)
Working note
= Note payable amount × PVF factor at 6% for one year
= $740,000 × 0.94340
= $698,116
For recording this we debited the equipment as it increased the assets and discount is always debited while the note payable and cash is credited as it increased the liabilities and reduced the assets
Positive. Positive Parenting is the answer. I just had this question and It is correct.
Answer:
c used goods were included in the GDP calculation
Explanation:
Gross domestic product is the sum of all final goods and services produced in an economy within a given period which is usually a year.
GDP calculated using the expenditure approach = Consumption spending + Investment spending + Government Spending + Net Export
If used goods are included in the calculation of GDP, it would be double counting because the good would have been included in the calculation of GDP when it was newly produced.
I hope my answer helps you
Answer: The amount of the loss can be reasonably estimated and it is probable that an asset has been impaired or a liability has been incurred.
Explanation:
A loss contingent is an expense that is based on a future event for instance, if the company loses a law suit and would have to pay settlement costs.
Loss contingents are only permitted to be accrued if the probability that they will happen is likely and even at that, the amount of loss needs to be capable of being reasonably estimated. This way, a proper estimate can be made that will represent the situation adequately.
Answer:
Assets and liabilities both will increase by $70,000.
Explanation:
Given data provided
Purchase land = $100,000
Cash payment = $30,000
The computation of net effect is shown below:-
= Purchase land - Cash payment
= $100,000 - $30,000
= $70,000
Therefore, for computing the net effect we simply deduct cash payment from purchase land. So, Assets and liabilities both will increase by $70,000.
