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Simora [160]
3 years ago
5

Squeaky Shine provides car washing services in Jersey City, New Jersey. A three-month pass for automatic car wash sells for $60,

which entitles the customer for an unlimited number of car washes during the contract period. Squeaky Shine estimates that pass holders wash their cars equally throughout the three-month period. On December 1st, customers purchased $1,260 of the three-month passes, with purchases of the passes occurring evenly throughout December. Required: 1. Prepare the journal entries that Squeaky Shine would record on December 1 and on December 31, 2016, with respect to this transaction. (If no entry is required for a transaction/event, select "No journal entry required" in the first account field. Do not round intermediate calculations.) 2. State the account titles and amounts that will be included in Squeaky Shine’s 2016 income statement and balance sheet.
Business
1 answer:
soldi70 [24.7K]3 years ago
7 0

Answer:

Explanation:

1. The journal entries are shown below:

On December 1

Cash A/c Dr $1,260

     To  Deferred Service Revenue $1,260

(Being cash is received)

On December 31, 2016

Deferred Service Revenue $420                 ($1,260 ÷ 3 months)

      To Service revenue                    $420

(Being service revenue is recorded)

2. Income statement

Earned income from car washing services    $420

Balance sheet

Assets

Cash              $1,260

Liabilities

Deferred Service Revenue       $840        ($1,260 - $420)

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A covered call position is A. the simultaneous purchase of the call and the underlying asset. B. the purchase of a share of stoc
user100 [1]

Answer:

D. the purchase of a share of stock with a simultaneous sale of a call on that stock.

Explanation:

A covered call position is the purchase of a share of stock with a simultaneous sale of a call on that stock. A covered call position is created in the financial market when investors buy stock and sell call options on a share for share basis. It is the same as a short put, stock plus a short call.

Under covered call, investors having a long-position in an asset has the inherent obligation of writing call options on that same asset because they feel that underlying stock price won't rise anytime soon but wish to increase income getting call option premiums.

4 0
3 years ago
What did Apple and other publishers seek to do?
pantera1 [17]

Answer:

they wanted to eliminate prices

Explanation:

hope this helped :)

3 0
2 years ago
Removal for cause is a device used to prevent a prospective juror who is biased from serving on a case. true or false
olasank [31]

Answer:

True

Explanation:

A Juror is a member of a jury in a court of law. It is expected that a Juror carries out his  / her duty with a maximum objectivity without being partial or bias. For this reason , a set of criteria are used to screen potential Jurors during selection and if any is sound unqualified , such will be prevented from being part of a Jury.

The two methods of screening are peremptory where the attorney removes a Juror without giving any reason and the removal for cause where the potential Juror is removed because it is perceived that he will be impartial in the course of duty.

5 0
4 years ago
Dividing customers into different categories and offering different prices based on customer segments is the pricing strategy kn
morpeh [17]

Dividing customers into different categories and offering different prices based on customer segments is the pricing strategy known as Price discrimination.

Demographic, psychographic, behavioral, and geographic segmentation are considered to be the four main types of market segmentation, but there are many other strategies that can be used, including different variations of the four main types. there is. Below are some methods you might want to consider further.

Customer segmentation is the process of dividing customers into groups based on common characteristics so that companies can effectively and appropriately market to each group. B2B marketing allows companies to segment their customers based on many factors, including industry.

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8 0
2 years ago
As an elected official, you have been informed that real GDP is below its potential and that action should be taken to encourage
OverLord2011 [107]

Answer: <em>a. Multiplier = 3.33</em>

<em>b. Stimulation = $2000 billion</em>

Explanation:

In this particular case , it's given:

Marginal propensity to consume(MPC) = 0.7

Government spending = $600 billion

Therefore, we can evaluate the  multiplier using the following formula:

Multiplier\ = \frac{1}{(1-MPC)}

Multiplier\ = \frac{1}{1-0.7}

Multiplier = 3.33

Noe, in order to find the stimulation in the economy we will multiple the new government spending with the multiplier. We will get ;

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Stimulation\ = 600\times3.33

Stimulation = $2000 billion

5 0
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