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4 years ago

The stockholders' equity of Verrecchia Company at December 31, 2013, follows:

Business

1 answer:

liq [111]4 years ago

5 0

Answer:

Verrecchia Company

Financial Statement effects:

1. Jan. 5 Issued 10,000 shares of common stock for $12 cash per share:

Assets (Cash) would increase by $120,000

Equity (Common Stock) would increase by $120,000

2. Jan. 18 Repurchased 4,000 shares of common stock at $15 cash per share.

Assets (Cash) would decrease by $60,000

Equity (Common Stock) would decrease by $60,000

3. Mar. 12 Sold one-fourth of the treasury shares acquired January 18 for $18 cash per share.

Assets (Cash) would increase by $18,000

Equity (Common Stock) would increase by $18,000

4. July 17 Sold 500 shares of the remaining treasury stock for $13 cash per share.

Assets (Cash) would increase by $6,500

Equity (Common Stock) would increase by $6,500

5. Oct. 1 Issued 5,000 shares of 8%, $25 par value preferred stock for $35 cash per share.

Assets (Cash) would increase by $175,000

Equity (Preferred Stock) would increase by $125,000

Equity (Additional Paid-in Capital - Preferred) would increase by $50,000

Explanation:

The Financial Statement effects of each transaction is a reflection of how each transaction affects at least two opposite elements of the financial statement. Every transaction affects the elements of the financial statement in one way or another, which enables the accounting equation to remain in balance.

For example, a transaction may increase the assets and also increase either the liabilities or equity side of the balance sheet.

In our example, the transactions affected only the balance sheet. This means that each transaction increases or decreases the assets, liabilities, or equity sections.

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your well-deserved reputation as a reliable person who does their work well cares about the people they work with and for, upholds high moral standards and values both personally and professionally, and keeps their word. The extent to which others trust or believe in you is referred to as credibility.

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1 year ago

WHAT IS A Parliamentary System ABOUT

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Answer:

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Explanation:

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3 years ago

Chase believes that most of his subordinates dislike work and would avoid it if possible. He also believes that his employees ha

Mice21 [21]

Answer: Option B

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Generally, the relationship of such managers with their subordinates are very formal and remains occupied within the firm. Under such management style all the employees have to work by following a predetermined framework and there is very less flexibility in the job.

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3 years ago

Beautiful Lawns Company estimates its doubtful accounts by aging its accounts receivable and applying percentages to various age

Nadusha1986 [10]

Answer:

The correct answer is C

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So, computing the bad debt expense as:

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= $3,600 - $600

= $3,000

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3 years ago

Libel is a defamatory or hurtful remark told about someone to others, and slander is when this remark or comment is broadcast ov

NemiM [27]

Answer:

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