Any sort of funds used In financing a firm is recorded in the Financing activities while the loans cash will be recorded in the Financing activities of the statement of cash flows as well.
<h3>What is the
Financing activities of cash flows?</h3>
This part of cash flows record the financing activities such as raising money through lending or issuing a bond as well as paying back to the investors.
Therefore, both transactions will be recorded in the financing activities of cash flows.
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Answer:
retained earnings 40,000 debit
common stock 8,000 credit
additional paid-in Common Stock 32,000 credit
Explanation:
shares issued:
800,000 shares x 5% = 4,000 new shares
face value of the shares
4,000 x $2 = 8,000
market value 4,000 x $10 = 40,000
additional paid-in 40,000 - 8,000 = 32,000
we decrease retained earnings and increase the euqity account to balance.
Answer:
105
Explanation:
base year = 2016
cost of market basket of goods in base year = $2,000
CPI for base year = 100
year 2018
cost of market basket of goods in 2018 = $2,100
CPI for 2018 = (cost of basket of goods in 2018 / cost of basket of goods in base year) x 100 = ($2,100 / $2,000) x 100 = 105
According to the graph A + B + C + D + E + F + G it represent the amount of consumer surplus domestic consumers will enjoy after the tariff has been imposed.
<h3>What concept will be applied when the domestic nation acts as a price taker, and its consumption and production have no impact on the global price?</h3>
Due to its tiny size in comparison to global markets, the domestic market is a price taker, and neither its production nor consumption affects global prices. Therefore, the nation uses the international price as the domestic price for any good, service, or resource.
<h3>
What distinguishes a tariff imposed by a big country from a small country's tariff?</h3>
Due to its size, the huge nation's tariff not only lowers the amount of the thing that is sought, but it also could lower the product's global price.
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