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3 years ago

What are the five conditions that must exist for an exchange to occur?

Business

1 answer:

WARRIOR [948]3 years ago

5 0

Answer:

Please check below for answer.

Explanation:

Exchange can be defined as the process of providing goods and services by an individual or organization, to meet the needs of customers in exchange for an amount of money.

Hence, the five conditions that must exist for an exchange to occur are;

1. There must be at least two parties involved.

2. Each party has something that might be of value to the other party.

3. Each party is capable of communication and delivery.

4. Each party is free to accept or reject the offer.

5. Each party believes it is appropriate or desirable to deal with the other party.

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The company shipped merchandise valued at $100,000 F.O.B. destination on December 28, Year 3, and recorded the sale and relief o

kondor19780726 [428]

Answer:

The company must not make any adjustment entries in year x3 since the FOB means "Free on board" and at the moment the buyer delivers the goods at the port of shipment, at that time the risks of loss or damage of merchandise are transferred to the buyer from the seller

When this happens, the sale is made since the seller no longer owns the merchandise.

n this case, the seller does not own the merchandise since December 28 and has already made the corresponding records. so he should not make any adjustments.

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3 years ago

Real estate is a great investment for everyone, particularly since the money is more liquid than common stocks.

sveta [45]

This answer is FALSE - FUN FACT - Liquidity of money refers to the ease with which the owner of an asset can convert it into cash it is easier to convert common stocks into cash rather than attempt to raise cash from sale or mortgage of real estate assets

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3 years ago

Read 2 more answers

Compute net income for 2019 by comparing total equity amounts for these two years and using the following information: During 20

satela [25.4K]

Answer:

net income during 2019 = $109,045

Explanation:

total stockholder equity 2018 = assets - liabilities = $293,500 - $79,245 = $214,255

total stockholder equity 2019 = assets - liabilities = $497,512 - $177,212 = $320,300

change in equity from 2018 to 2019 = $106,045

$33,000 can be explained by additional capital invested, and the remaining $73,045 corresponds to change in retained earnings

change in retained earnings = net income - dividends distributed

$73,045 = net income - $36,000

net income = $109,045

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3 years ago

bought 2,000 shares of Print Company stock for $12,780. She sold the stock for $7 per share and paid a sales commission of $26.

Svetach [21]

Answer:

$1,194

Explanation:

The buying price of the shares was $12,780

The selling price was $7 dollars for each.

The total amount realized is 2000 share x $ 7

=$14,000

The commission paid is $26

Net amount obtained is $14,000 -$26

=$13,974

Profit will be $13,974 -$12,780

=$1,194

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3 years ago

Tim Company had sales of $30,000, increase in accounts payable of $5,000, decrease in accounts receivable of $1,000, increase in

ipn [44]

Answer:

$31,000

Explanation:

decrease in accounts receivable = $1,000

Sales = $30,000

Cash collected from customers = Sales plus decrease in accounts receivables

= $30,000 + $1000

= $31,000

The decrease in account receivables represents the collection of cash from a customer. If sales amount to $30,000, all must have been collected in cash hence no amount was outstanding to increase receivables. Hence the addition of the two items gives the cash collected from customers.

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3 years ago