The answer is D. 45 to 55%
Answer:
58.81% annual
or 3.93% monthly
Explanation:
Using a financial calculator, we can determine the internal rate of return of this investment. The initial outlay is -$110,000, and the 60 $4,800 cash flows follow. The IRR is 3.93 per month. In order to determine the effective annual rate, we can use the following formula:
effective annual rate = (1 + 3.93%)¹² - 1 = 58.81%
Answer:
C. $3,687.
Explanation:
amount of the adjusting entry for Uncollectibleminus−Accounts Expense
= $6,622 - $2,935
= $3,687
Therefore, The amount of the adjusting entry for Uncollectibleminus−Accounts Expense is $3,687.
Answer:
Lets see what are the double entries of borrowings and purchase of new manufacturing equipment and their implications:
Double Entry for borrowings:
Dr Bank $500,000
Cr Notes Payable $500,000
The above double entry shows that the total assets and Notes Payable are increased due to this transaction. Furthermore, in the Statement of Cash flow we see an increase in Cash from Financing activities and decrease in the Cash from investing activities.
The second transaction is purchase of new manufacturing equipment. It must be accounted for as under:
Dr Manufacturing Equipment $500,000
Cr Bank $500,000
This transaction shows that net impact on the total assets is same as one asset has been increased by spending the other asset. This transaction also has no impact on Cash for financing, inventories and notes payable balances. However, their is increased negative balance in cash from investing activities.
Answer:
See below
Explanation:
1. Supply expense. 700
Supplies inventory. 700
2. Insurance expense. 650
Prepaid insurance. 650
3. Depreciation expense. 200
Accumulated Depreciation. 200
4. Wages expense. 100
Wages payable. 100
