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Deffense [45]
3 years ago
9

Owens Industries is trying to increase its profile in the community. As part of this effort, Owens sponsors a Little League base

ball team. The cost of sponsorship is $850. How should Owens record this transaction in order to maintain a balanced accounting equation (A = L + SE)?
A) They should credit $850 to assets and debit $850 to stockholders' equity.
B) They should debit $850 to assets and debit $850 to stockholders' equity.
C) They should credit $850 to assets and credit $850 to stockholders' equity.
D) They should debit $850 to assets and credit $850 to liabilities.
Business
1 answer:
vitfil [10]3 years ago
4 0

Answer:

They should credit $850 to assets and debit $850 to stockholders' equity (A)

Explanation:

The cash outflow of $850 will reduce the cash position of the company (i.e cash balance under current assets, hence it should be credited) while the stockholders's equity account needs to be debited because the transaction represents a depletion in the value of the company.

Asset account is reduced by crediting while common stock account is reduced by debiting.

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Managing values in the workplace legitimizes managerial actions and strengthens the coherence and balance of the organization’
Juli2301 [7.4K]

Answer:

False

Explanation:

Managing values in the workplace legitimizes managerial actions and strengthens the coherence and balance of the organization's culture. ETHICS IMPROVES RELATIONSHIPS BETWEEN EMPLOYEES AND THE WORK GROUPS. THEY ULTIMATELY HELP TO ENHANCE THE PRODUCTS' QUALITIES AND TO CULTIVATE GREATER SENSITIVITY TO THE IMPACT OF THE CORPORATION'S VALUES AND MESSAGES.

7 0
3 years ago
Which of the following is an example of the effective use of email communications?​ When sending an email, Jake avoids using a d
hichkok12 [17]

Answer:

When sending an email, Ellis restates the subject in the body of the message.

Explanation:

Email has some standard guidelines for preparing the email.

It includes that the subject shall also be defined again in the descriptive area, where entire content of email is discussed.

There must be a descriptive line showing the purpose of email.

There shall be supportive subject for the description of email.

If the email has some quantitative data then it shall be summarized using graphs, pictures etc:

In a single email, least topics shall be discussed as that will not confuse the reader, and will be logical, towards the response for such email.

4 0
4 years ago
In the short run, a supply shock will _________ the equilibrium level of prices and ___________ the equilibrium level output. re
Taya2010 [7]

Answer: raise; reduce

Explanation:

A Supply shock is described as a situation where the supply of a good changes suddenly/ abruptly due to an unforeseen event.

Supply shocks can be positive but are usually negative so we will assume the supply shock is negative here.

If there is a negative supply shock, the amount of goods being produced will reduce abruptly which will force the supply curve to shift left.

It will then intercept the the demand curve at an equilibrium level that has a higher price and a lower quantity of output.

Think of it this way. Negative supply shock ⇒ less goods ⇒ scarcity ⇒ higher prices.

5 0
3 years ago
What is Equity financing
MakcuM [25]
Equity Financing is when a business owner exchanges a qualified support in the company towards to an investor. Examples that I can name are Initial Public Offering, Small Business Investment Companies, Royalty Financing, and many more that I just listed. I hope it helps to your question and have a blessed day.
7 0
3 years ago
Suppose that you deposit $4,500 in your bank and the required reserve ratio is 18 percent. the maximum loan your bank can make a
NNADVOKAT [17]

Suppose that you deposit $4,500 in your bank and the required reserve ratio is 18 percent. The maximum loan your bank can make as a direct result of your deposit is 3690.

<h3>What exactly is a bank loan and the required reserve ratio?</h3>
  • A loan is a quantity of money that one or more people or businesses obtain from banks or other financial organizations in order to handle their finances in connection with anticipated or unforeseen circumstances.
  • By doing this, the borrower creates a debt that must be repaid with interest within a predetermined time frame.
  • The percentage of deposits that authorities mandate a bank maintain in reserves and refrain from lending out is known as the required reserve ratio.
  • If the required reserve ratio is 1 to 10, a bank can only lend out $0.90 of every dollar it has on deposit, but it must retain $0.10 in reserves.

Hence, The maximum loan your bank can make as a direct result of your deposit is 3690.

To learn more about the loan, refer to the following link:

brainly.com/question/25599836

#SPJ4

6 0
2 years ago
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