A customer tells his broker "Sell my position in ABCD (a NASDAQ stock) and use the proceeds to buy EFGH (another NASDAQ stock)."

The Toy Store has beginning retained earnings of $318,423. For the year, the company earned net income of $11,318 and paid divid

kherson [118]

Answer: $322 241

Explanation: Retained earnings is the capital that is left over after total dividends has been deducted and paid out. It is calculated as follows:

Retained earnings = retained earnings at the beginning of the year + net profits made during the current year - dividends paid out.

∴ Retained earnings = $318, 423 (opening Retained earnings)+ $11,318 (net profits / income) - $7,500 (dividends)

=$322,241

The $25,000 new stock issued generated income to the business, but this does not fall in the retained earnings line item. Rather it falls under the Ordinary Share Capital line item, which includes all the company's issued share capital.

7 0

3 years ago

The balance of an account is determined by

AlladinOne [14]

Answer:

(B) adding all of the debits, adding all of the credits, and then subtracting the smaller sum from the larger sum

Explanation:

While calculating the closing balance of any account,

There includes two possibilities that the account might have debit balance or the account might have credit balance. And for computing this:

All the debits shall be accumulated and then their total shall be computed.

Similarly, all the credits shall be accumulated and their total shall be done.

Which ever is more then the account will have that nature of balance, accordingly the smaller shall be deducted from the larger one and the larger one will decide the nature of balance whether debit or credit.

4 0

3 years ago

Bramble Company uses the percentage of receivables method for recording bad debt expense. The accounts receivable balance is $59

shusha [124]

Answer and Explanation

Given:

Accounts receivable balance = $598,000

Percentage of receivables that are uncollectible = 5% or 0.05

Uncollectible receivables = 0.05 × 598,000 = $29,900

Adjusting journal entry to record bad debt expense is:

Particulars Debit Credit

Bad debts expense XXXXX

Allowance for doubtful debts XXXXX

(Being bad debts incurred)

Noe, Allowance for doubtful debts has a credit balance of $4,800.

Bad debt incurred = 29,900 - 4,800 = $25,100

So adjusting entry :

Particulars Debit Credit

Bad debts expense $25,100

Allowance for doubtful debts $25,100

(Being bad debts incurred)

7 0

4 years ago

On June 3, Arnold Company sold to Chester Company merchandise having a sale price of $3,000 with terms of 2/10, n/60, f.o.b. shi

IgorC [24]

Answer:

<u>Journal entries for Arnold Company:</u>

June 3, merchandise sold to Chester Company

Dr Accounts receivable 3,000

Cr Merchandise inventory 3,000

Dr Cost of goods sold XXX (not specified)

Cr Sales Revenue 3,000

June 12, payment received from Chester Company

Dr Cash 2,940

Dr Sales discounts 60 ($3,000 x 2%)

Cr Accounts receivable 3,000

<u>Journal entries for Chester Company:</u>

June 3, merchandise purchased from Arnold Company

Dr Merchandise inventory 3,000

Cr Accounts payable 3,000

June 8, shipping invoice received

Dr Merchandise inventory 90

Cr Accounts payable

June 12, payment made to Arnold Company

Dr Accounts payable 3,000

Cr Cash 2,940

Cr Purchase discounts 60

June 12, payment made to John Booth transport

Dr Accounts payable 90

Cr Cash 90

4 0

3 years ago

Imagine two economies that are identical except that for a long time, economy a has had a money supply of $1,000 billion while e

Nuetrik [128]

The economy with extra money.

If the govt takes no action to counter this, then the particular price index is below the worth level that individuals expected. Various factors can shift both the short-run economy and long-run aggregate supply curve rightwards like an increment within the technology level, a rise within the level of human capital, a rise within the level of existing capital stock, et cetera.

When the economy is doing well, the financial market is additionally certain to have best. Whether or not the economy is declining, the financial market can still do best. A pecuniary resource increase will tend to lift the worth level within the future. A finances increase can also increase national output.

A funds increase will raise the economy worth level more and national output less the lower the per centum of labor and capital is. A rise within the pecuniary resource level in an economy within the short run translates to a decline in charge per unit. the autumn within the rate further causes an increase in investment because of borrowing costs.

learn more about economy: brainly.com/question/26262298

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6 0

2 years ago