Answer:
Dr Service cost 245,000
Cr Interest 166,400
Cr Cash 411,400
Dr Plan assets - pension 411,400
Cr Service cost 245,000
Cr Interest 166,400
Explanation:
Preparation of the journal entries to record annual pension expense for the enterprise fund of Amherst City
Since we are Assuming that the plan investments was $184,300 while the service cost component is the sum of $245,000, and interest on the pension liability is the sum of $166,400 for the year this means the Journal entries to record annual pension expense for the enterprise fund of Amherst City will be:
Dr Service cost 245,000
Cr Interest 166,400
Cr Cash 411,400
(245,000+166,400)
Dr Plan assets - pension 411,400
(245,000+166,400)
Cr Service cost 245,000
Cr Interest 166,400
The phrases that describes money the best would be: Medium of exchange
Before money were made, in order to obtain a product that we don't own, we need to exchange it with another product that we own. This system is commonly known as barter.
With money, we can obtain a product that we don't own without exchanging it with anything. This function is the reason why money is called medium of exchange
Answer:
No, because the second method has lower total costs of production.
Explanation:
In a bid to make profits businesses must always compare different processes and choose the cheapest one.
This will eventually reflect in the profitability of the business.
In this instance let's get the cost of each process.
Fabric costs $110 a bolt and labor costs $20 an hour.
The first dress maker can sew 400 garments with 100 bolts of fabric and 1,500 hours of labour
Total cost = (100 bolts * 110) + (1500 * 20)
Total cost = $41,000
For the second dress maker he can sew 400 garments with 150 bolts of fabric and 1,000 hours of identical labour
Total cost = (150 *110) + (1000 * 20)
Total cost = $36,500
As can be seen the second dressmaker has a lower cost of production so he is more efficient than the first dress maker
Answer:
=$140
Explanation:
At the beginning of the year, the account had a credit(positive balance of $760)
Previously bad debt that has been reinstated, $120
The new balance will be $760 + $120 = $860
adjusting for the written-off accounts
=$860 - $740
=$140