Answer:
(a) the purchase of the investment
Dr. Investment in trading security $55,000
Cr. Cash $55,000
(b) the interest receive
Dr. Interest receivable $2,200
Cr. Interest on Investment (income) $2,200
Dr. Cash $2,200
Cr. Interest receivable $2,200
(c) the fair value adjustment
Dr. Unrealized Loss $2,500
Cr. Investment in trading security $2,500
Explanation:
Trading Investment Bonds are recorded as assets and these are reported at fair value. Any gain or loss arising from the fair value adjustment will be recorded. Fair value adjustment should be made at end of each reporting period and when a significant difference arose. Gain from the fair value adjustment will increase the value of Investment in trading security and loss will decrease the value.
Unrealized gain = Current Book value of Investment - Fair value
Unrealized gain = $55,000 - $52,500
Unrealized gain = $2,500
Answer:
According to Orlando:_____.
(a) workers have obligations to, but are owed consideration by, their employers.
Explanation:
Workers are employed by their employers to carry out their obligations as per instruction. They owe the duty of reasonable care to their employers. They are supposed to be honest in their dealings with their employers. Workers are also required to take safety and health measures to protect themselves and others from harm at the workplace. For all these obligations, the employers of labor must pay adequate consideration to their workers and ensure their safety at work.
Explanation:
Apperel maker and footwear maker are industries that use as common resources such as packaging, distribution, marketing and selling operations.
On the other hand, the resources that are unlikely to be shared, we can mention different types of machinery for confection, raw material and specialized professionals.
Answer:
Accounting for trade in goods and services
Indication of the combined effects of transactions on the U.S. national accounts for the current year:
1. Dmitri orders 40 bottles of wine from a French distributor at a price of $30.00 per bottle.
Amount (Dollars) $1,200
Consumption 0
Investment 0
Government Purchases 0
Imports Exports 0
Net Exports 0
Gross Domestic Product (GDP) 0
2. A U.S. company sells 200 spark plugs to a Korean company at $5.00 per spark plug.
Amount (Dollars) $1,000
Consumption 0
Investment 0
Government Purchases 0
Imports Exports $1,200 Exports
Net Exports $1,200
Gross Domestic Product (GDP) $1,200
3. Jake, a U.S. citizen, pays $670 for a surfboard he orders from Greatwaves (a U.S. company).
Amount (Dollars) $670
Consumption $670
Investment 0
Government Purchases 0
Imports Exports 0
Net Exports 0
Gross Domestic Product (GDP) $670
Explanation:
The Gross Domestic Product (GDP) is the total market value of goods and services produced within an economy for a given period. It is calculated with this formula: GDP=C+I+G+(X−M) where, C = Consumption of goods and services, I = Investments, G = Government Spending, X = Exports and M = Imports. It is in turn influenced by transactions that take place on a daily basis. Some of the transactions do not really affect a country's GDP. For example, the order of bottles of wine by Dmitri (supposedly a Greek citizen) from a French distributor into (Greece).
B. credit to Unearned Warranty Revenue, $871
