Answer:
Alphabet stock; Acme Investing; New York Stock Exchange.
Explanation:
Susie buys a share of Alphabet stock through her broker, Mr. Diaz, who works for Acme Investing and purchases the stock at the New York Stock Exchange. In this transaction, Alphabet stock is a financial instrument, Acme Investing is a financial institution, and New York Stock Exchange represents a financial market.
Financial instruments can be defined as assets which are having monetary value or used to record a monetary transaction. Financial instruments are generally classified on the basis of their risks, maturity, issuers etc. Some examples of financial instruments are stocks, treasury bills, commercial paper, money market mutual fund, certificate of deposits, corporate bonds etc. The market where these financial instruments (securities and derivatives) are being traded at a low transaction rate is referred to as the financial market.
Furthermore, financial institutions can be defined as a business firm or company that is involved in the business of trading financial instruments.
Different factors contribute to commerce including the export and import of a country, their ease of doing business and their own situation in the market.
Explanation:
The factors that affect commerce are the ones that dictate the face of a given market. if the market is considered easy to trade in then the commerce is supposed to be easy and smooth flowing
This is hampered by laws and the import and export tariffs of a country. The more inviting these are the more commerce happens in a place.
It also depends on how many businesses are able to function in the setup and the more businesses there are the more commerce happens in the end.
C.prepare a list of ledger accounts used in the business
b.balance the ledger accounts
a.total the debit column of the trial balance and then total the credit column of the trial balance
d.transfer.the ledger accounts To a trial balance or list the balance account. if the ledger account shows a debit,balance the debit side of the trial balance.if the ledger account shows a credit,balance the credit side of the trial balance.
Answer: Bad Debt Expense 28,000 Allowance for Doubtful Accounts 28,000
Explanation:
Account receivable = 300,000
Percentage uncollectible = 10%
Current balance = 2000
Adjustment to allowance for uncollectible accounts is given by :
(Account receivable ×percentage uncollectible) - current balance
(300,000 × 10%) - 2000
(300,000 × 0.1) × 2000
30,000 - 2000 = 28,000
Therefore, adjustment should be :
bad debt expense debit 28,000
allowance for doubful account credit 28,000
Answer: 1. 18 times
2. Park is in better position
Explanation:
1. Times interest earned is a financial ratio that measures interest coverage. It's essentially to check if a company can pay it's debt payments and is calculated by either EBIT or EBITDA divided by the total interest expense. The higher the better and anything above 2.5 times is usually considered.
Calculating would therefore be,
= $6,120,000 /$340,000
= 18 times.
2. As mentioned in the first answer, for the Times interest earned, the higher it is, the more favourable it is. So Park Company will be considered safer and are most definitely in a better or worse position than its competitor to make interest payments if the economy turns bad. The fact that theirs is 18 means that they can pay off their interest expense 5 times more than their competitor who can only repay 12 times.
If you need any clarification do comment.
