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3 years ago

Which of the statements correctly represents the accounting equation?

Business

1 answer:

Anna007 [38]3 years ago

6 0

Answer:

What the accounting equation tells us is that everything that a firm owns, it acutally either owes it to the owners of the firm, or to creditors.

Explanation:

This is why the accounting equation is represented as:

Assets = Liabilities + Stockholders' Equity

Where Assets represent what the firm owns, liabilities is what the firm owes to creditors, and Stockholders' Equity (or Owners' Equity) is what the firm owes to the owners.

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The rent for a one-bedroom apartment in Southern California follows the normal distribution with a mean of $2,200 per month and

andriy [413]

Answer:

The probability is 1.

Explanation:

Despite that the he distribution is positively skewed, the distribution of sample means of one-bedroom apartments will still be a a normal distribution based on Central Limit Theorem.

Since we have

μ = mean = 2200

SD = standard deviation = 250

n = sample size = 50

Therefore,

Standard error = SD ÷ √n

= 250 ÷ √50

= 250 ÷ 7.07106781186548

= 35.3553390593274 approximately 35.36

Standardize xbar to z = (xbar - μ) ÷ (SD ÷ √n)

Therefore, we have:

P(xbar > 1,950) = P(z > (1,950 - 2200) ÷ 35.36)

= P(z > - 250 ÷ 35.36)

= P(z > -7.07) = 1

Therefore, the probability of selecting a sample of 50 one bedroom apartments is 1 which can be said to be certain.

5 0

3 years ago

The company is currently selling 5,000 units per month. Fixed expenses are $243,000 per month. The marketing manager believes th

REY [17]

Answer:

If the company decides to increase its advertising budget, its net profits will decrease by $200 (= $56,800 - $57,000).

Explanation:

The company is currently selling 5,000 units per month at $150 per unit, and its total variable costs are $90 per unit.

Fixed expenses are $243,000 per month.

Current income statement:

sales revenue = $750,000

minus variable costs = ($450,000)

<u>minus fixed costs = ($243,000) </u>

net income = $57,000

If the company increases its advertising budget be $11,000 it should sell 180 more units per month, the new income statement would be:

sales revenue = $777,000

minus variable costs = ($466,200)

<u>minus fixed costs = ($254,000) </u>

net income = $56,800

If the company decides to increase its advertising budget, its net profits will decrease by $200 (= $56,800 - $57,000).

7 0

3 years ago

How do most companies pay the current liabilities incurred by day-to-day operations?.

elixir [45]

Current assets, or possessions used up within a year, are generally used to settle current liabilities.

<h3>Why do you use the term "current liabilities"?</h3>

Current liabilities are debts or commitments that fall due within a year or during the regular business cycle. Additionally, current obligations are paid off by using a current asset, either by generating a fresh current liability or by using cash.
In accounting, current liabilities are frequently interpreted as all debts owed by a company that must be paid in cash within the fiscal year or the operational cycle of that particular company, whichever is longer.
Current assets, or possessions used up within a year, are generally used to settle current liabilities. Accounts payable, short-term loans, dividends, and notes payable are a few examples of current liabilities, along with any outstanding income taxes.

To learn more about Current assets refer to:

brainly.com/question/13188114

#SPJ4

6 0

1 year ago

If a new home can be constructed for 120,000 what is the opportunity cost of federal defense spending assume a defense budget of

Alex_Xolod [135]

Answer:

58,333.33

Explanation:

Opportunity cost is the value of the next best alternative. It is the forgone benefits as a result of choosing one option over the others. Opportunity cost occurs due to the scarcity of resources that forces people to make choices. The value of the sacrificed option is the opportunity cost.

If the cost of constructing a new home is 120,000, the opportunity cost of one house equals the next best alternative of spending the 120,000. With a budget of 7 billion, the opportunity cost of spending 7 billion will be 7 billion divided by 120,000.

=7,000,000,000/120,000

=58,333.33

4 0

3 years ago

Speedy has net income of $30,955, and assets at the beginning of the year of $212,000. Assets at the end of the year total $258,

Talja [164]

Answer:

13.17%

Explanation:

Given that;

Net income = $30,955

Asset at the beginning of the year = $212,000

Asset at the end of the year = $258,000

Return on assets = Net income / Average total assets

But,

Average total assets = (Assets at the beginning of the year + Assets at the end of the year ) / 2

Average total assets = ($212,000 + $258,000) / 2

Average total assets = $235,000

Therefore,

Return on assets = ($30,955 / $235,000) × 100

Return on assets = 13.17%

4 0

2 years ago