Answer:
The journal entries are given as follows;
Explanation:
Jan 5
Cash Dr.$20,520
Sales Tax Payable 20,520-(20,520/1.08) Cr.$1,520
Inventory Cr.$19,000
Unearned Service Revenue Dr.$12,000
Service Revenue Cr.$12,000
Employee payroll Expense Dr.$452,000
Social Security payable Cr.$3,978
Federal Income Tax payable Cr.$5,686
State Income Tax payable Cr.$1,706
payroll Expenses payable (452,000-3,978-5,686-1,706) Cr.$440,630
Answer:
D. higher than the equilibrium interest rate.
Explanation:
The Fisher equation at equilibrium ; i = r + τe helps you to answer this question whereby;
i = nominal interest rate
r = real interest rate
τe = expected inflation rate
If we re-write it beginning with real interest rate ; r = i - τe .
So, considering the above equation, if the <em>actual</em> inflation rate turns out to be lower than <em>expected</em> , we will have a lower τe and the difference (i - τe) will be bigger making the real interest rate higher than equilibrium.
Answer:
There is no entry to be made on April 17, 2014
Explanation:
Following The accrual principle - an accounting concept that requires accounting transactions to be recorded in the time period in which they actually occur, rather than the period in which the cash flows related to them occur or the transaction are received.
On April 17, 2014, Naughton Ltd. received an order from a customer for a delivery to be made in May 2014 and the delivery does not occur yet on that day. I should be occur in May 2014.
Therefore, there is no entry to be made on April 17, 2014. In May, when the company finish delivering, the entry would be made:
1. Debit Cash (or Accounts Receivable) $11,000
Credit Revenue $11,000
2. Debit Cost of goods sold $7,500
Credit Cash $7,500
Answer:
Explanation:
To run a business you firstly need investors or shareholders to help or run your business with you. They should have experience as running a business is tricky and can collapse within weeks. You also need large amounts of money to promote nad hire staff etc. You should also have an idea of what you want it to be like and what growth routes it should take. Make sure you have a target market to promote your ideas to. But make sure it is all realistic as silly ideas can be very costly.
Answer:
Current year = 204%
Prior year = 100%
Explanation:
Detailed solution is given below