Internal growth rate = Net income / Total Assets
Net income = $68,200
Total assets = $687,300
Internal growth rate
= $68,200 / $687,300
= 0.099228 x 100%
= 9.92 %
Fried Donuts has an internal growth rate of 9.92%.
Answer:
Journal Entries are as follows.
Explanation:
1. Cash $25,000 (Debit)
Common Stock $ 25,000 (credit)
2. Wages $10,000 (debit)
Cash $10,000 (credit)
3. Land $ 50,000 (debit)
Common Stock $50,000 (credit)
4. Dividend Declared $ 1000 (debit)
Dividend Payable $ 1000 ( credit)
And
Dividend Payable $ 1000 ( debit)
Cash $ 1000 (credit)
5. Cash $ 3000 (debit)
Long Term Investment $ 3000 (credit)
6. Cash $ 20,000 (debit)
Sales $ 20,000 ( credit)
7. Inventory $2000 (debit)
Cash $ 2000 (credit)
8. Investment $ 6000 ( debit)
Cash $ 6000 (credit)
9. Bonds Payable $ 10,000 (debit)
Discount $ 1000 (credit) ( if there's any)
Common Stock $ 9,000 ( credit ) ( in case of discount)
10. Notes Payable $ 10,000 (debit)
Interest on Notes Payable $ 1,000 (debit) ( suppose there's interest of $ 1000 on $ 10,000 Notes Payable)
Cash $ 11,000 (credit)
Answer: $83050
Explanation:
Based on the information given in the question, the total reserves of First National Bank will be given as follows:
Total deposit = $675000
The Required reserve ratio will be:
= 675000 × 9%
= 675000 × 9/100
= $60750
Since the bank has excess reserves of $22,300, then the total reserve will be:
= $60750 + $22300
= $83050
Answer:
B. just-in-time
Explanation:
Just in time (JIT) is an inventory management approach that is used by companies that want to reduce their inventory costs and they purchase their materials in smaller quantities whenever their productive system needs them. The goal is to keep the lowest possible inventory levels.
