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GrogVix [38]
4 years ago
13

Maxwell and Smart are forming a partnership. Maxwell is investing a building that has a market value of $180,000. However, the b

uilding carries a $56,000 mortgage that will be assumed by the partnership. Smart is investing $120,000 cash. The balance of Maxwell's Capital account will be:_________
A. $180,000.
B. $124,000.
C. $56,000.
D. $64,000.
E. $60,000.
Business
1 answer:
erastovalidia [21]4 years ago
3 0

Answer:

B. $124,000

Explanation:

The balance for Maxwell's capital account will be $124,000 i.e the total Market value of the building he is investing minus the mortgage that is supposed to be paid by the partnership.

$180,000 - $ 56,000 = $124,000

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Answer:

(a) Issued $50,000 par value common stock for cash = Financing Activities

b) Purchased a machine for $30,000, giving a long-term note in exchange. Financing Activities = Non-cash Investing and Financing Activity

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(d) Declared and paid a cash dividend of $18,000 = Financing Activities

(e) Sold a long-term investment with a cost of $15,000 for $15,000 cash = Investing Activities

(f) Collected $16,000 from sale of goods = Operating Activities

Explanation:

The Cash flows related to raising of capital is known as Cash flow from Financing Activities.

The Cash flows related to growing and selling of Assets of the business is known as Cash flow from Investing Activities.

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3 years ago
What is land as a factor of production?
marta [7]
Could be cause of trade , if you have land it is also good for crops which is production 
3 0
4 years ago
Below are six statements. indicate whether each on pertains micareconomics.
Law Incorporation [45]

Answer:

B), C) and F)

Explanation:

Microeconomics refers to the study of individuals, households, firm behavior for making the decision and distribution of resources. It is useful for the markets that offered goods and services and also handle an individual and economic issues

Therefore in the given case, the microeconomics covered in B, C and F options

5 0
3 years ago
A Japanese insurance company purchases U.S. government securities. From the perspective of the United States, the balance of tra
Zinaida [17]

Answer:

The balance of trade will not change but the balance of payment will improve.

Explanation:

A balance of trade is defined as the difference between country's export and import value during a given period of time.

A balance of payment can be defined as a statement which keeps record of all the monetary transaction, that are made between the country's resident and rest of the world during a specific period of time.

Purchase of U.S government securities by Japanese insurance company will surely improve the balance of payment from the U.S perspective but the balance of trade with Japan is not likely going to change.

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Answer:

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Explanation:

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6 0
4 years ago
Read 2 more answers
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