People buy franchise because franchising helps franchisors gain areas where a market may be for their company, but the problem is they might not be familiar with. Franchising allows for the business to grow without spreading its top level human materials across too thin unlike stores. Franchisees can pay outlets in your chain of the system, you can large the number of locations without having to tap of your capital or needing to ask financing from banks.
Answer:
Interest expense for the year: 25,401.6
Explanation:
Carrying value of the note x 8% = interest on note payable
317,520 x 8% = 25,401.6
The interest expense will be for this amount
And the journal entry will be as follow
Interest Expense 25,401.6
Note Payable 25,401.6
As the note is discounted, we will recognize interest until maturity against the note, so it reach their face value at maturity.
Because this interest won't be exigible until maturity, they are accrued interest but do not invovle a cash disbursmement for the period.
Answer:
Yes, sales have increased as a result of the advertising campaign.
Explanation:
Find attached the explanation.
Note: I had to convert the explanation into both jpeg and files (both contains the same answer) when the answer box kept on rejecting my answer claiming it contains swear words when it does not.
Answer:
An increase in the change in supply shifts the supply curve to the right, while a decrease in the change in supply shifts the supply curve left....
Answer:
Debit Cost of Goods Sold $500
Explanation:
When inventory is purchased, debit inventory and credit cash or accounts payable. When inventory is sold, credit inventory (with the cost of inventory sold) and debit cost of goods sold(p/l).
Further more, sales is recognized by crediting sales account and debiting cash or accounts receivables.
As such, if original cost of the merchandise to X-Mart was $500, entries required would include a credit to merchandise inventory $500 and Debit Cost of Goods Sold $500.
