Answer:
Dr Cash (3,000)
Cr Deferred Revenue (4,000)
Cr Service Revenue (Clinic) (7,000)
Explanation:
Preparation of the appropriate journal entry
Since we were told that kayakers pay the sum of $3,000 at $150 each, by adding to the $4,000 that was already paid in advance on July 30 this means we have to record the transaction by Debiting Cash with the amount of (3,000); Crediting Deferred Revenue with the amount of (4,000) and Crediting Service Revenue (Clinic) with the amount of (7,000)
Note that the credit side of the transaction which is Deferred Revenue of 4,000 -Service Revenue (Clinic) of 7,000 will give us (3,000)
Journal entry
Dr Cash (3,000)
Cr Deferred Revenue (4,000)
Cr Service Revenue (Clinic) (7,000)
Answer:
C. The choice of consumers regarding what to purchase to satisfy their wants and the choice of producers regarding what to produce to maximize profits.
Explanation:
The extremely large amount of products that large hardware stores, such as Office Depot, carry, are most likely a consequence of the combination of these factors. On the one hand, the customers who go to this stores have a particular want, and their purchases are intended to satisfy these wants. On the other hand, the producers also have to make a choice, and they generally chose the products that are most likely to maximize their profits.
Answer:
Summary entry is shown below
Explanation:
The preparation of the summary entry is shown below
Salary expense $15.1 million
To Cash $9.4 million
To Salary payable $5.7 million
(Being the salary expense is recorded)
Simply we debited the salary expense by $15.1 million as the expenses account is debited while on the other hand, the cash is paid for $9.4 million and the salary payable is credited for $5.7 million
Answer:
The correct answer is letter "D": $24.
Explanation:
Opportunity cost can be defined as the cost of the best next available option after taking another decision in regards to a situation. It is also the return that the chosen option provides compared to the return that could have provided the option that was forgone.
In this case, choosing to go to the local carnival will represent losing one hour of working as a coach assistant ($15). Besides, as there is a $9 admission fee to the carnival, you will need to spend that money. Thus, the total opportunity cost of going to the carnival instead of working is $24 (<em>$15+$9=$24</em>).
Answer:
$320,000
Explanation:
Since the season starts in January and lasts until June, by April 30 the balance of the deferred revenue (or unearned revenue account) would be = $960,000 - {($960,000 / 6) x 4} = $960,000 - $640,000 = $320,000
The journal entries should be:
Accumulated tickets until December 31
Dr Cash 960,000
Cr Deferred (Unearned) revenue 960,000
By April 30th, the adjusting entry should be:
Dr Deferred (Unearned) revenue 640,000
Cr Ticket revenue 640,000
