Answer:
The amount of total assets at the end of the year is $15,600
Explanation:
The computation of the total assets is shown below:
= Borrowed amount + issued stock to owners + purchase of supplies - paid to supplies
= $5,000 + $10,000 + $1,000 - $400
= $15,600
We considered all the items which are given in the question. The payment made to supplies should be deducted as it reduced the balance of cash So, the remaining items would be added
Answer:
B. Prepaid insurance is shown on the income statement
Explanation:
Prepaid insurance first and foremost is a current asset and as such will not reflect in the income statement but in the statement of Financial Position or Balance Sheet.
Although, prepaid insurance will be shown as paid within the year, it must be deducted from the insurance premium paid for the current year and then reported in the balance sheet as a current asset.
Prepaid insurance is treated as a current asset because it is an indication of insurance premiums paid for by the company in advance. It is a payment for economic benefits that will be enjoyed in the future, therefore it is a current asset. The only part of an insurance premium that shows in the income statement is the insurance expense paid for insurance benefit enjoyed in the current period
Overdraft Protection is a financial institution's decision to honor your checks even when you have exceeded your balance. A fee is charged to you for every overdraft.
Many people are entrepreneurs. My dad actually is, but anyway...
Entrepreneurs are people who own a company or business. They are not working for another company but working for themselves.
Many citizens don't feel confident in entrepreneurship and many don't know where to start.
Some people prefer following orders instead of making them.
Or even some don't prefer hard work. Just to point out, entrepreneurship is very hard, not all are successful.
I hope this helped!
Answer:
The correct answer are option D for both questions.
Explanation:
Recessions is characterized with decrease in consumer and investment spending. During recessions there is a decline in inflation rate and the unemployment rate increases.
While during expansion, there is a boost in economy. So, with increase in investment and production, the unemployment rate falls. There is a rise in inflation rate as well.
Though even in the stages of recovery, the unemployment rate continues to increase because some firms are pessimistic and are operating below their capacity. Also, the rate of growth of labor force is higher than rate of employment growth, which leads to increase in unemployment.
