In this case, the $6,000 refers to your sales. If expenses and returns were deducted it will be your net sales. Sales refers to the activity of selling an amount of goods or services to consumers who enter your storefront. The goal is to make sure your sales are greater than all of our expenses to make sure you are turning a profit each month.
Answer:
Assets increase by $5,000 increase, equity decrease by $5000
Explanation:
The accounting equation is expressed as below.
Assets = Liabilities + shareholders equity
- Assets are valuable items that the business owns.
- Liabilities are the debts of the business.
- Shareholder equity is the owner's capital, plus the retained earnings.
The transaction by Celery Company involves buying supplies valued at $5000 by cash.
- Since celery paid cash, no liabilities were incurred. The shareholder money (Equity) decreased by $5000.
- Supplies worth $5000 were acquired. The suppliers belong to the business; they are valuable items( assets) to the business.
Answer:
The Truth in Lending Act (TILA)
Explanation:
TILA was passed in 1968 in an attempt to protect loan consumers from unfair practices carried out by lenders. TILA requires lenders to disclose the credit terms in a simple and understandable manner so that potential consumers can compare credit terms offered by different lenders. The information disclosed must include the loan's APR, principal, finance charges, payment schedule and monthly payments.
TILA applies to most types of consumer credit, including car loans, home mortgages, credit card, home equity loans, etc.
Hedge funs are private investments that are only open to the wealthy.
