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Sever21 [200]
3 years ago
13

Jack’s Snow Removal Company received a cash advance of $14,700 on December 1, Year 1 to provide services during the months of De

cember, January, and February. The year-end adjustment on December 31, Year 1, to recognize the partial expiration of the contract will __________
a. increase liabilities by $4,900
b. increase assets by $4,900
c. increase assets by $4,900 and increase equity by $4,900
d. increase equity by $4,900
Business
1 answer:
Ipatiy [6.2K]3 years ago
8 0

Answer:

d. increase equity by $4,900

Explanation:

Jack Snow received $14,700 on December 1 for services to be rendered in December, January and February. It will not be recorded as income because it hasn't been earned.

Adjusting entries will be passed at the end of each month to recognise amount earned.

Since it is for 3 months, monthly amount earned = 14,700/3= $4,900

At December 31 Retained earnings will be credited for $4,900.

Retained earnings is part of owner's equity.

So equity will increase by $4,900

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A $10,000 face value Treasury bond is quoted at a price of 101.6533 with a current yield of 4.87 percent. What is the coupon rat
musickatia [10]

Answer:

D) 4.95 percent

Explanation:

The current yield formula can be used to determine the coupon payment which would thereafter be used to compute coupon rate as required:

current yield=coupon payment/current market price

current yield=4.87%

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current market price=$10,165.33  

4.87%=coupon payment/$10,165.33  

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4 0
3 years ago
The characteristics that make a team effective include ________.
Sonbull [250]

Answer:

- context, composition, work design, and processes

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While all the option have important parts which makes a team effective there are options with characteristics which do not affecrt the team effectiveness.

The resources available can vary between the projects thus, cannot determinated the effectiveness of a team. Thus, the second cannot be correct.

The size is a variable part as well thus, the third option cannot be correct neither.

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