All categories

4 years ago

At the beginning of Year 2, Oak Consulting had the following normal balances in its accounts:

Business

1 answer:

kvv77 [185]4 years ago

6 0

Answer:

Cash Accounts receivable

debit credit debit credit

42,000 25,000

c. 140,000 a. 185,000

d. 120,000 c. 140,000

e. 31,400 70,000

30,600

Service revenue Accounts payable

debit credit debit credit

a. 185,000 8,400

185,000 b. 45,800

0 0 e. 31,400

22,800

Common stock Retained earnings

debit credit debit credit

24,000 34,600

24,000 f. 10,000

19,200

43,800

Operating expenses Salaries expenses

debit credit debit credit

b. 45,800 d. 120,000

45,800 120,000

0 0 0 0

in order to determine the balance of the retained earnings account at the end of the year, we must first close all the temporary accounts:

Dr Service revenue 185,000

Cr Income summary 185,000

Dr Income summary 165,800

Cr Operating expenses 45,800

Cr Salaries expense 120,000

Dr Income summary 19,200

Cr Retained earnings 19,200

You might be interested in

A group of university students toys coconuts from farmers' markets. The students consume the meat of the coconuts for food and u

Karo-lina-s [1.5K]

Answer: The free- rider problem

Explanation:

The free-rider problem is one off the type of economical issue that cause the market failure problem due to the unsystematic distributing of the various types of goods resources and also the services.

This type of problem is basically occur due to the overuse or degradation of the products and the resources.

According to the given question, the free rider problem is one of the example that best illustrating the given scenario. The main cause of the free rider problem is due to the unequal use of the resources and also the public goods without paying for their particular share.

Therefore, The free-rider problem is the correct answer.

7 0

4 years ago

Hardy Inc. has two operating departments (1 and 2) and is considering renting a new machine to help automate the printing proces

gayaneshka [121]

Answer:

$6,900

Explanation:

When you use the incremental cost allocation method, you must rank cost activities and how they will be allocated. In this case, department 2 is the primary user, and therefore, rental costs must be allocated first to them. Rental costs will be allocated at a $25/hour rate.

Since department 1 is the next user, 100 hours will be allocated using the same rate as department 2, but the next 200 hours will be allocated at the lower $22/hour rate. Total rental cost allocation to department 1 = (100 x $25) + (200 x $22) = $2,500 + $4,400 = $6,900

5 0

3 years ago

Maud, a calendar year taxpayer, is the owner of a sole proprietorship that uses the cash method. On February 1, 2019, she leases

gtnhenbr [62]

Answer:

She can deduct the full $120,000. the answer is $120,000.

Explanation:

Therefore, M is following cash basis of accounting , She can deduct the full $120,000 amount. Under cash system, expenses are recorded when cash is paid irrespective of whether it is accrued or not.

5 0

4 years ago

Suppose that the bankruptcy law firm had previously loaned $20,000 to Henry Anderson. The law firm filed a financing statement s

pantera1 [17]

Answer: This loan would would have priority over the other unsecured claims in this bankruptcy case.

Explanation:

Since the trucks are secured collateral the loan is a secure loan. It will be the priority in the bankruptcy case since the other claims were unsecured. The law firm would have a right to the trucks since he owed them 20,000$ and put them up as collateral.

Everything that was an unsecured loan does not have anything to take from and will be a loss for the other companies who filed against Henry Anderson.

8 0

4 years ago

Stocks X and Y have the following data. Assuming the stock market is efficient and the stocks are in equilibrium, which of the f

s344n2d4d5 [400]

Answer:

b. Stock Y has a higher dividend yield than Stock X

Explanation:

Hope it helped...Please mark brainliest. Have a nice day!

7 0

4 years ago