Answer:
ltem of important must be shown separately
what is that GAAP
Answer:
$1,000
Explanation:
The above means that for every $1 increase in the market value in a long margin account, the SMA increases by $0.50
If the market value rises to $22,000, the account will show
Long market value - Debit = Equity % SMA
$22,000 - $10,000 = $12,000
Against $22,00 of market value, 50% can be borrowed or $11,000. Since the debit is $10,000, an additional $1,000 can be borrowed . This is the SMA
Answer:
Option (A) A debit to inventory for $200
Explanation:
The entire cost of purchasing products (including the cost of having the inventory shipped to the buyer) is reported as part of the cost of the inventory in a perpetual inventory system.
The entry of paying the charges for shipping is included in debit to inventory for $200 and a credit to cash for $200.
Hence,
The answer is option (A) A debit to inventory for $200
One guideline is
the degree of risk should not be greater than the seriousness of the problem that needs to be solved.
Answer:
The change in Accounts Receivable is added to net income; The change in Inventory is added to net income.
Explanation:
Account receivable:
= Ending balance - Beginning balance
= 24,000 - 28,000
= -4,000
Decrease in account receivable
Inventory:
= Ending balance - Beginning balance
= 65,000 - 68,000
= -3,000
Decrease in inventory
Since the Current assets have decreased therefore they should be added to net income.
The change in Accounts Receivable is added to net income; The change in Inventory is added to net income.
Note: The options are missing from the question, so i have attached the options with the answer.
