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seraphim [82]
3 years ago
7

On March 8, Monty Candy Company bought supplies on account from the Arcade Fire Company for $664. Monty Candy Company incorrectl

y debited Equipment for $600 and credited Accounts Payable for $600. The entries have been posted to the ledger. the correcting entry should be _________.
Business
1 answer:
GalinKa [24]3 years ago
3 0

Answer:

Correcting Entry

March 8         Dr.       Cr.

Supplies     $664

Equipment             $600

Account Payable   $64

Explanation:

Entry Should be

March 8         Dr.       Cr.

Supplies     $664

Account Payable  $664

Entry Recorded

March 8         Dr.       Cr.

Equipment  $600

Account Payable  $600

Firs error is amount recorded as $600 rather $664 and the second is account of equipment debited rather the account of Supplies Inventory.

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What is the most common method of measuring flows of trade?
kakasveta [241]

The most common method to measure flows of trade is the comparison between the exportation of merchandise, services, and the capital of the countries.

<h3>What is trade?</h3>

Trade is the situation where the countries buy (import) from or sell (export) to the countries outside the boundaries of their own territories.

Exports referred to the scenario where one country provides goods and services to another country abroad. The comparison of goods, services, and monetary capital of foreign countries with respect to their own countries can be used as a common method to measure the trade flows.

Therefore, the exporting of goods, services, and capital to other countries is the method to determine trade flows.

Learn more about the trade from the related link:

brainly.com/question/3617318

#SPJ4

4 0
2 years ago
A company sold equipment that originally cost $100,000 for $60,000 cash. The accumulated depreciation on the equipment was $40,0
Maurinko [17]

Answer:

$0 Gain or Loss

Explanation:

Given that,

Original cost of the equipment = $100,000

Accumulated depreciation on the equipment = $40,000

Book value of the equipment:

= Original cost of the equipment - Accumulated depreciation on the equipment

= $100,000 - $40,000

= $60,000

Gain/Loss = Sale value - Book value of the equipment

                 = $60,000 - $60,000

                 = $0

Therefore, the company should recognize a $0 Gain or Loss.

7 0
3 years ago
You need $20,000 to purchase a used car. Your wealthy uncle is willing to lend you the money as an amortized loan. He would like
Serga [27]

Answer:

The annualy payment for theamortized loan is $6,802.44

Explanation:

First we will find the total loan payment TP for the $20,000 borrowed over the next four years with a annual return of 8%:

TP = $20,000 *(1+8%)^4

TP = $20,000 *(1.08)^4

TP = $20,000 *1.3605 = $27,209.7

The annual payments AN is obtained by dividing the TP into the 4 years:

AN  = $27,209.7 / 4 = $6,802.44

4 0
3 years ago
Lyons Company deducts insurance expense of $210,000 for tax purposes in 2018, but the expense is not yet recognized for accounti
djyliett [7]

Answer:

The total income tax expense for 2019 =152.000. Is not available in the options given by the exercise.

Explanation:

  • Tax on insurance expense deductible for accounting purposes in 2019= 70000*40%=28.000

  • Income tax expense for 2019 = 180.000-28.000=152.000

4 0
3 years ago
John borrows $10,000 for 10 years at an effective interest rate of 10%. He can repay the loan using the amortization method with
Ierofanga [76]

Answer:

The balance in the Sinking Fund immediately after repayment of the loan will be $2,133.19

Explanation:

Hi, John will pay the loan by paying the yearly interest and the rest is going to go to the sinking fund, so, if he has $1,627.45 and the annual interest of the loan are $1,000, he will be depositing $627.45 into the sinking fund for ten years. Therefore, the future value of the annual deposits of the sinking can be found by using the following formula.

FutureValue=\frac{A((1+r)^{n} -1)}{r}

Where:

A = equal annual savings into the sinking fund (that is $627.45)

r = effective rate of the sinking fund (14%)

n = 10 years

Everything should look like this.

FutureValue=\frac{627.45((1+0.14)^{10} -1)}{0.14}

Future Value=12,133.19

Now, this is the balance after 10 years, but remember that John has to pay the loan, which is $10,000 (not $11,000 because John pays the interest of the loan and then deposits the balance into the sinking fund). Therefore, the balance after repaying the loan is $12,133.19 - $10,000 = $2,133.19.

Best of luck.

8 0
3 years ago
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