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Grace [21]
3 years ago
5

On June 30, Petrov Co. has $128,700 of accounts receivable. July 4 Sold $7,245 of merchandise (that had cost $5,000) to customer

s on credit. 9 Sold $20,000 of accounts receivable to Main Bank. Main charges a 4% factoring fee. 17 Received $5,859 cash from customers in payment on their accounts. 27 Borrowed $10,000 cash from Main Bank, pledging $12,500 of accounts receivable as security for the loan. Prepare journal entries to record the above selected July transactions. (The company uses the perpetual inventory system.) (If no entry is required for a transaction/event, select "No journal entry required" in the first account field.)
Business
1 answer:
harina [27]3 years ago
6 0

Answer:

The Journal entries are as follows:

(i) On July 4,

Accounts receivable A/c         Dr. $7,245

To sales                                                      $7,245

(To record sold merchandise)

(ii) On July 4,

Cost of goods sold A/c        Dr. $5,000

To Merchandise inventory                      $5,000

(To record cost of goods sold)

(iii) On July 9,

Factoring fee expense A/c Dr.  $800

Cash A/c                               Dr. $19,200

To Accounts receivable                            $20,000

(To record sold accounts receivables)

(iv) On July 17,

Cash A/c      Dr. $5,859

To accounts receivables        $5,859

(To record cash received from accounts receivables)

(v) On July 27,

Cash A/c     Dr. $10,000

To Notes payable             $10,000

(To record borrowing from bank)

(vi) No entry for accounts receivable as security for the loan.

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Automatic stabilizers create ________ during recessions from increased government spending on welfare and unemployment insurance
Nadya [2.5K]

Answer:

stimulation ; stabilization

Explanation:

Automatic stabilizers act to stimulate the economy during recessions and stabilize the economy when it becomes overheated

8 0
3 years ago
many say that companies have a right to drug-test their employees because drug use impairs an employee's performance. how do des
marin [14]

The workplace is the location of the arbitrary drug testing. This is done to see if any of the workers are using drugs. The testing aids in determining the quantity and frequency of recent alcohol and illegal substance usage.

The impairment brought on by stress or other factors is not tested during random testing.Employees are subjected to random exams, which are probably inspections of their physical conditions to determine whether they are drug users and how their bodies have been impacted by drugs to the point where they are unable to perform their regular jobs.

Employees who are discovered to be using illicit drugs receive warnings and are fired from their positions.Any unannounced, without prior notice chemical screening for the presence of typically illicit narcotics in a sample of one's blood, hair, or urine is known as a "random drug test."Being unexpected and without prior notice, it is random. This is done to weed out workers who use heavy drugs, which frequently renders them ineffective or ineligible for employment.

To know more about drug- testing visit:

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7 0
8 months ago
Read the following actual bill. Sawtooth National Recreation Area and Jerry Peak Wilderness Additions Act Designates specified p
JulijaS [17]
The answer is "Amendments can be added to the bill in committee." This is because they can add some legal document to the bill and more programs to it. Programs such as building the subjects like c<span>emeteries and funerals, forests, land transfers, parks, recreation areas, and trails.</span>
8 0
2 years ago
If the economy is at equilibrium above potential output:
babunello [35]

Answer:

B) There is an inflationary gap, and contractionary fiscal policy is appropriate.

Explanation:

One of the macroeconomic cases is inflationary gap. It means that the difference between the current level of real gross domestic product (GDP) and the predicted or forecasted GDP that would be experienced and achieved if an economy is at full employment. It could be claimed that when the demand for goods and services gets over the production in the factors such as: higher levels of overall employment, increased trade activities or increased government expenditure.

In order to overcome this gap, the contractionary fiscal policy must be considered. The mechanism of that policy is to increase the taxes decrease the government expenses due to inflationary pressures. This policy consequently will affect the level of consumption and private investment, respectively, these also will decrease the real GDP.

Other concept of macroeconomics is recessionary gap. In comparison to inflationary gap, this concept indicates the economy operating at lower level than its full equilibrium level, in turn, the level of real GDP is also less than full equilibrium level. We used to see this situation when the economy was intending to recess.

In order to overcome this gap, the expansionary fiscal policy will work well. Because of decreasing taxes and increasing government expenditures, the recessionary gap can be fought anymore. Since the taxes decreases, the business will revive and the confidence to the investment will increase, as a result the GDP will rise. Moreover, the growing government expenditures will stimulate the GDP to accrue.

To summarize, according to the question we need the gap in which the economy is above of potential, this means inflationary gap. Following this finding, the contractionary fiscal policy will be solution.

6 0
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