Answer:
May 24
Dr Retained earnings $1,500
Cr Cash $1,500
Being cash dividend paid to shareholders.
October 11
Dr Advertising Expense $1,000
Cr Cash $1,000
Being cash payment for monthly advertising expenses.
Explanation:
Rules:
Debit side:
Increase in asset
Increase in expense
Decrease in liability
Decrease in equity
Decrease in income or sales
Credit side:
Decrease in asset
Decrease in expense
Increase in liability
Increase in equity
Increase in income or sales
May 24
Dr Retained earnings $1,500
Cr Cash $1,500
Being cash dividend paid to shareholders.
October 11
Dr Advertising Expense $1,000
Cr Cash $1,000
Being cash payment for monthly advertising expenses.
Answer: A. Owners' equity for proprietorships and partnerships is usually referred to as capital.
B. No distinction is made between invested capital and retained earnings for a proprietorship or a partnership.
C. Neither proprietorships or partnerships issue stock.
Explanation:
The statements that are true regarding owners' equity and ownership rights held in noncorporate entities include:
• No distinction is made between invested capital and retained earnings for a proprietorship or a partnership.
• Neither proprietorships or partnerships issue stock.
• Owners' equity for proprietorships and partnerships is usually referred to as capital.
We should note that sole proprietorships and partnership typically don't have stockholders and shouldn't issue stock as they aren't separated from their founders.
Also, the owners' equity for proprietorships and partnerships is usually referred to as capital. We should note that for a sole proprietorship or a partnership, the equity is the owners capital account which can be seen on the balance sheet.
Based on the above explanation, all the options given above are correct.
Product-service bundling is adding Value-added services to a firm's product offerings to create more value for the customer.
Answer:
The answer is D.
Explanation:
Short selling is a trading strategy that speculates on the fall or decline of a particular security price.
Here, investor borrows a stock from a dealet, sells the stock, and then purchases the stock back to return it to the dealer. Short sellers are hoping that the stock they sell will fall or decline.
The maximum possible loss is unlimited because the price increase (which will be at a disadvantage to the investor might not be known).
Answer: D.I, II, III, and IV .
Explanation:
Hedge Funds are a form of Financial Partnerships where people pool money together and invest in various instruments. What sets them apart from Mutual funds is that they legally have the right to invest in just about anything, and they do.
Hedge Funds are very Aggressive in investing because they aim to make above average profits for their partners and indeed the only thing that normally reduces their investment scope is their own mandate or set limitations.
As such Hedge funds are allowed to invest in futures and options, merger arbitrage, currency contracts, and companies undergoing Chapter 11 restructuring and reorganization etcetera.
