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shutvik [7]
3 years ago
13

If retained earnings decreased during the year, and no dividends were paid, which of the following statements must be true? (A)

Expenses for the year exceeded revenues.(B) The company did not have enough cash to pay its expenses.(C) Total equity decreased.(D) Liabilities increased during the year.
Business
1 answer:
Fynjy0 [20]3 years ago
3 0

Answer:

The answer is (A) Expenses for the year exceeded revenues.

Explanation:

If retained earnings decreased during the year, and no dividends were paid this would mean the company would have made a loss in the financial period.  A loss occurs when expenses  for the year exceed revenues.

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Dunay Corporation is considering investing $750,000 in a project. The life of the project would be 11 years. The project would r
photoshop1234 [79]

Answer:

The Net Present Value is - $20324

Explanation:    

We can use our financial calculator to work out the NPV using the cashflows from the different periods and using the discount rate given. Which is 18%.

We have 11 periods. Starting off with CF 0. ( CF = cashflow ) We will work in Thousands to make it easier to read and compute. $ ' 000

CF 0 Machine Investment (750) Working Capital Investment (25) Total=(775)

CF 1 160 inflow

CF 2 160 inflow

CF 3 160 inflow

CF 4 160 inflow

CF 5 160 inflow

CF 6 160 inflow

CF 7 160 inflow

CF 8 160 inflow

CF 9 160 inflow

CF 10 160 inflow

CF 11 160 inflow. 35 salvage value from machine. Working capital 25. Total Cashlow = 220

We now use our financial calculator and input these amounts into the calculator.

We start of by entering the data and hitting ENT and do so for every Cash flow. At the end we press 2nd function CFI on our calculator. We then enter the discount rate of 18%. and press down button to get to NPV and then press COMP.

We get an answer of -20,32400407

We now need to put the amount into thousands. Thus = -20324,004

rounded to the nearest dollar we get - $ 20324

7 0
3 years ago
Which of the following is true of source documents in an accounting information​ system?
MA_775_DIABLO [31]

Answer:

a. Source documents provide control and reliability in an accounting information system.

Explanation:

The source documents are the documents that support all types of business transaction. It can be in terms of bank statement, purchase order, sales order, supplier invoices, etc. It can also known as vouchers

With the help of the source documents the accounting system provides the reliable and controlling of transactions

This is the first step to verify the transactions after that recording, posting of transactions could be done.

3 0
3 years ago
On July 1, 20X1, James and Short formed a partnership. James contributed cash. Short, previously a sole proprietor, contributed
Brrunno [24]

Answer:

James and Short LLC

Short's capital account on July 1, 20X1 should be recorded at the fair value of contributed property minus the mortgage liability, which the partnership assumed.

Explanation:

The fair value of contributed property is the current market value of the contributed property by Short.  It is the market value that will determine how the contributed property can be valued.  The market value assumes that the contributed property is being sold in pieces and not as a whole.  This is why the value is considered a fair basis for recognizing the capital contribution of Short into the partnership.

3 0
3 years ago
Hadley Corporation issued 200,000 shares of $5 par value common stock for $25 per share. During that year, the corporation susta
kari74 [83]

Answer:

D : common stock of $1,000,000

Explanation:

Hadley Corporation

Issued shares × par value common stock

Issued shares 200,000

Par value common stock $5

Hence:

200,000 x $5

= $1,000,000

Therefore the year-end balance sheet would show a common stock.of $1,000,000

8 0
3 years ago
Select all the decision-makers that experience scarcity.
g100num [7]
Here are the answers of the given question above. The decision-makers that <span>experience scarcity are the following: governments, companies, and individuals, except for capital goods since capital goods is not a decision-maker. Hope this is the answer that you are looking for. Have a great day!</span>
3 0
3 years ago
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