Answer:
Debit Notes Receivable for $86,000; credit Cash $86,000
Explanation:
The journal entry to record the cash loan is given below;
Notes Receivable $86,000
To Cash $86,000
(Being cash loan is recorded)
Here the note receivable is debited as it increased the assets and credited the cash as it decreased the assets
Therefore the first option is correct
Answer: $13125
Explanation:
Firstly, we should note that in section 83(B), tax is being paid based on the stock's fair market value. Therefore, the income tax that will be due on this transaction in the year of election will be:
= Number of shares × Price × Tax rate
= 1500 × $25 × 35%
= 1500 × $25 × 0.35
= $13125
<span>Telecom company is preparing its annual cash budget. What is the best place to locate the amounts for the purchase of a new building? Capital expenditures budget. When a company is wanting to upgrade asset such as property and equipment they usually have money set aside for when the time comes. The money set aside is located in the capital expenditures budget. Capital expenditures budget is also known as CapEx.</span>
Answer:
- Credit to Accounts Receivable
- Debit to Cash
Explanation:
Accounts Receivable is an asset account that represents the cash owed to the company by customers who bought goods or services on credit.
When the credit is paid, the accounts receivable account will reduce and so will be credited because assets are credited when they reduce.
Cash on the other hand will be debited to show that it has increased as assets are debited when they increase.
Answer:
Improved decision making
Explanation:
The information system in which the firm has invested money will allow it to improve its decision making process because now the information needed to take those decisions will be classified, systematized, sorted by relevance, and so on.
Managers will be able to draw statistical conclusions that will allow them to reduce the "noise", and focus on what is important for the business.
