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beks73 [17]
3 years ago
7

On March​ 15, Maxwell Plush sold and shipped merchandise on account for​ $6,000 to Kittson Amusement​ Park, terms FOB shipping​

point, n/30.​ Maxwell's cost of goods sold is​ 40% of sales. How is Maxwell impacted by this sale on March​ 15? (a)- Its assets will​ increase, as will its equity. (b)- Its assets will remain the​ same, while its equity decreases. (c)- Its assets will remain the​ same, while its equity increases. (d)- Its assets will​ increase, while its equity remains the same
Business
1 answer:
a_sh-v [17]3 years ago
8 0

Answer:

(a)- Its assets will​ increase, as will its equity

Explanation:

The commercial terms state FOB shipping​ point therefore the transfer succeeds once the cargo enter the port.

The sale is thus completed. The revenue can be recognize thus, increasing the company's equity and assets.

Account receivable(+Assets)     debit

             Sales Revenue(+Equity)           credit

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Answer:

At the end of one accounting period result in cash receipts in a future period.

Explanation:

Accrued revenues is money owed by customers for goods bought or services purchased.

Accrued revenue is recorded as an asset on the balance sheet as receivables.

For example, if a customer buys a dress and is yet to pay for the dress. the amount the customer is supposed to pay is recorded as an accrued revenue at the end of the accounting period

Unearned revenue is money received by a company for services that are yet to be rendered.

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Zinaida [17]

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The use of normal distribution in option A would produce an error. That is the number of houses individuals own.

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dusya [7]

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A business plan is basically a map which visualize a goal desired outcome and draws out the steps needed to reach the goals.

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