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Virty [35]
2 years ago
11

On December 15, Jay Cleaning Co. agreed to provide Kay Co. with bimonthly cleaning services for its offices. The services will b

e billed to Kay Co. on the fifteenth of each month at a rate of $400. As of December 31, Jay Cleaning has provided its first cleaning of Kay's offices. The adjusting entry for Jay's Cleaning should include a
a. credit to Accounting Receivable for $400.
b. debit to Accounts Receivable for $200.
c. debit to Accounts Receivable for $400.
d. credit to Accounts Receivable for $200.
Business
2 answers:
ivann1987 [24]2 years ago
8 0

Answer:

B) debit to Accounts Receivable for $200.

Explanation:

Since Jay Cleaning has only performed half a month of cleaning, they can record an accounts receivable for half the months regular bill. The revenue recognition principle allows this, but generally it would be done because it is December 31 and the revenue account needs to be closed. If not, Jay should probably wait until the 15 of the following month before recording the total monthly bill.

The journal entry should be:

December 31, cleaning services performed at Kay Co.

Dr Accounts receivable 200

   Cr Sales revenue 200

Anna [14]2 years ago
3 0

Answer:

the correct answer is

b. debit to Accounts Receivable for $200.

good luck ❤

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3 years ago
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PolarNik [594]

Answer:

market premium = 0,0781 = 7.81%

Explanation:

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We multiply each outcome by the stock weight. and then for the probability of occurence of that state of economy

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\left[\begin{array}{cccccc}Stock&&B&A&C&Totals\\Weights&&0,45&0,45&0,1&&Boom&0,25&0,15&0,27&0,11&0,05&Normal&0,65&0,11&0,14&0,09&0,078975&bust&0,1&-0,04&-0,19&0,05&-0,00985&&&&&return&0,119125&\end{array}\right]

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5 0
2 years ago
On January 1, Year 1, Greenfield, Inc. issues $100,000 of 9% bonds maturing in 10 years when the market rate of interest is 8%.
ELEN [110]

Answer:

When using a financial calculator to compute the issue price of the bonds, the applicable periodic interest rate ("I") is 3.923%

Explanation:

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Now we know we have to choose 8%, but this is an effective rate (I know this is an effective rate because no units were mentioned), and by definition it is a periodic rate, but it is not the rate that we need since the payments are going to be made in a semi-annual way, therefore we need to use the following equation.

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Best of luck.

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astraxan [27]

Answer:

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