Answer:
(a) $17,900
(b) $800
Explanation:
Given that,
Current assets = $4,900
Net fixed assets = $27,300
Current liabilities = $4,100
Long-term debt = $10,200
(a) Total assets = Current assets + Net fixed assets
= $4,900 + $27,300
= $32,200
Total liabilities = Current liabilities + Long-term debt
= $4,100 + $10,200
= $14,300
value of the shareholders’ equity:
= Total assets - Total liabilities
= $32,200 - $14,300
= $17,900
(b) Net working capital:
= Current assets - Current liabilities
= $4,900 - $4,100
= $800
Answer:
c. Decrease liabilities and increase revenues
Explanation:
The correct adjusting journal entry which shall be recorded by the Duluth Co. in accounts in respect of advance income as as at December 31, is given below:
Debit Credit
Advance income(Liability) $2,000
($6,000/6*2)
Revenue $2,000
Since the liability has been debited in the above mentioned journal entry, which mean that it has been decreased and the revenue has been credited, which means that it has been increased.
So based on the above discussion, the answer is c. Decrease liabilities and increase revenues
Answer:
First Question
1. B
2. A
3. B
Second Question
The $200 Paolo spends to purchase software from PC Pros.
Explanation:
1. Paolo's transaction falls under the product market cash flow because he wittingly spends on a product–the software.
2. Paolo's earnings comes to the resource market, since he is been paid for his human resourcefulness in the organization.
3. Sharon's payment for washing her car is best placed on the Product market flow since she is spending on a personal product–the car.
The $200 Paolo spends to purchase software from PC Pros in this scenario represent a flow from a household to a firm because he (an individual belonging to a household) transfers his money to the firm.
I’m sorry but like what is that supposed to be?
Answer: (D) buy more ice cream and fewer cookies
Explanation: When a consumer spends all of his income and consumes a bundle of goods such that the marginal utility per dollar from all goods is equal, then the consumer's total utility is maximized. Buying more of ice-cream gives the only combination that gives him the same marginal utility per dollar Bobby spends on cookies as on ice cream.
Marginal utility estimates the added satisfaction a consumer gets from consuming additional units of goods or services. It is used to determine how much of a product consumers are willing to purchase.
