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3 years ago

The return of merchandise was recorded as a debit to accounts payable and a credit to purchases. This error would cause

Business

1 answer:

elena-s [515]3 years ago

4 0

Answer:

D. None of the above

Explanation:

Proper double entry bookkeeping requires that there must always be an offsetting debit and credit for all entries made into the general ledger. To record accounts payable, the accountant credits accounts payable when the bill or invoice is received. The debit offset for this entry is typically to an expense account for the good or service that was purchased on credit. The debit could also be to an asset account if the item purchased was a capitalizable asset. When the bill is paid, the accountant debits accounts payable to decrease the liability balance. The offsetting credit is made to the cash account, which also decreases the cash balance.

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For the year ended December 31, Lopez Company implements an employee bonus program based on company net income, which the employ

Mrac [35]

Answer:

Lopezâs bonus expense is computed as $40,777. Therefore,

The Journal entries are as follows:

(i) On December 31,

Employee bonus expense A/c Dr. $40,777

To Bonds payable A/c $40,777

(To record the bonus due)

(ii) On January 19,

Bonds payable A/c Dr. $40,777

To Cash A/c $40,777

(To record the payment of the bonus to employees.)

4 0

2 years ago

_____________ is by far the most popular target for american franchisors seeking to establish franchises in other countries.

Ostrovityanka [42]

Canada is by tar the most popular target for american franchisors seeking to establish franchises in other countries. Canada is a great market for franchisors because it's close/easy to travel to. They have a large market and are similar to the U.S. with their expansion and growth as an economy.

8 0

3 years ago

How much is a 1941 wheat penny worth today??

bearhunter [10]

10,000-15,000 american dollars

7 0

3 years ago

Read 2 more answers

Oriole Inc. reported total assets of $2407000 and net income of $324000 for the current year. Oriole determined that inventory w

swat32

Answer:

Total Asset $2,381,500

Net income $298,500

Explanation:

Overstated Inventory Leads to the overstatement of Total Assets value and Net Income. Ending Inventory Value is added in the total asset balance, overstatement in ending inventory causes overstatement in total assets.

The Ending Inventory is also used in the calculation of Cost of Goods sold. Overstated Inventory will cause understatement in Cost of Goods sold and overstatement in Net Income.

To rectify its effect we will deduct the overstated value of Inventory from Total Asset balance and Net Income value.

Total Asset = $2,407,000 - $25,500 = $2,381,500

Net Income = $324,000 - $25,500 = $298,500

4 0

3 years ago

A qualitative forecasting method which utilizes structured questionnaires submitted to potential customers soliciting opinions a

kati45 [8]

A qualitative forecasting method that utilizes structured questionnaires submitted to potential customers soliciting opinions about potential products to estimate likely demand is build-up forecasting.

<h3>Build-up forecasting</h3>

It is referred to as zero-based sales forecasting.

Market identification: describe the market for the product/service being investigated by checking all the appropriate industries.

Market diagnosis: analyze the basis for evaluating the number of institutions within that industry that are likely to utilize the product/service.

The objective of a bottoms-up forecast should be to output informative data that leads to decision-making backed by tangible data.

Bottom-up forecast models enable administration teams to develop a better perception of their company, which precedes improved functional decision-making.

To learn more about Build-up forecasting visit the link

brainly.com/question/13289439

#SPJ4

8 0

2 years ago