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kap26 [50]
2 years ago
10

An owner withdrawal of $20,000 would: A. decrease owner’s equity and increase assets by $20,000. B. increase owner’s equity

and decrease liabilities by $20,000. C. increase liabilities and assets by $20,000.
Business
1 answer:
ch4aika [34]2 years ago
6 0

Answer:

C)  increase liabilities and assets by $20,000.

Explanation :

Any financial transaction affects both assets and liability equally. If asset is increased , liability also is increased and vice-versa.

In the given problem , Option  A and option B states that while one increases , other decreases. which is not possible .

So option C is correct.  

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Below are Company Y's financial statements:
kow [346]

Answer:

Company Y

The external financial needed is:

= $1,290.

Explanation:

a) Data and Calculations:

Company Y's financial statements:

Income Statement

Sales                    $7,900

Costs                     5,500

Taxable income $2,400

Taxes (25%)            600

Net income        $1,800

Balance Sheet

Current assets          $3,900

Fixed assets                8,600

Total assets             $12,500

Current liabilities       $2,100

Long-term debt           3,700

Equity                          6,700

Total liab. & equity $12,500

Projected Income Statement:

Sales                    $9,085 ($7,900 * 1.15)

Costs                     6,325 ($5,500 * 1.15)

Taxable income $2,760

Taxes (25%)            690

Net income        $2,070

Dividends = 40% $828

Retained earnings $1,242

Projected Balance Sheet

Current assets          $4,485 ($3,900 * 1.15)

Fixed assets                9,890 ($8,600 * 1.15)

Total assets             $14,375

Current liabilities       $2,415 ($2,100 * 1.15)

Long-term debt           4,018 ($14,375 - 2,415 - 7,942)

Equity                          7,942 ($6,700 + $1,242)

Total liab. & equity $14,375

Working capital = $2,070 ($4,485 - $2,415)

Capital expenditure = $1,290 ($9,890 - 8,600)

External financing needed = Net income minus (working capital plus capital expenditure)

= $2,070 - ($2,070 + 1,290)

= $1,290

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A growing population
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ohaa [14]

Answer:

Please consider the following explanation

Explanation:

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Vaseline can incorporate extra ingredients like aloevera, or turmeric, etc, i.e. the beauty or health fashions prevalent in the market this information can be obtained by a thorough research of the beauty blogs available online.

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a company purchased supplies for cash, which will be consumed during future months. which of the following correctly describes t
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The answer choice that correctly describes the impact of the supplies purchase on the financial statements is A. total assets will remain unchanged.

<h3>What is an Asset? </h3>

This refers to financial property owned by a company or individual that has some degree of value.

Hence, we can see that given the fact that a company purchased supplies for cash that would be used in a few months, this would leave the total assets unchanged.

Read more about assets here:

brainly.com/question/11209470

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Mexico cuenta con apoyos suficientes para promover el comercio internacional ?
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No Habla Espanol e tu?

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