Answer: Orientation to internal, unique self
Explanation: In simple words, orientation refers to the process of determining the position of one self or the others with respect to a particular situation.
In the given case, Joey has to make a decision that impacts his personal life and he has to make it himself. Therefore, the confusion he is having about the decision depicts that he is at the stage of internal orientation.
Answer:
2nd January
Dr Machinery $178,000
Cr Cash $178,000
( to record the purchase of used machine)
3rd January
Dr Machinery $4,000
Cr Cash $4,000
(to capitalized the cost of wire electricity and installation to put the purchased machine in a ready-to-use stage).
Explanation:
- According to the information, all the expenses relating to the purchase of used machine are in cash. Thus, Cash is credited at the total amount of $182,000, in which $178,000 is credited in 2nd January to record the purchased price and the other $4,000 (2,840 + 1,160) is credited in 3rd January.
- Under GAAP, the recorded costs of a purchased fixed asset should included all the costs incurred which are necessary to bring the fixed asset to a ready-to-use stage. As wire electricity cost & cost for securing the machine in its position are all necessary for the machine's operation, these costs should be capitalized.
Answer:
a. 9%
b. Yes, the firm earning an economic profit of 2%
c. Yes, Industry will see entry or exits
d. Rate of return of economy = 7%
Explanation:
a. Percentage rate of return = Earning ÷ Investment by founders × 100
= $18 ÷ $200 × 100
= 9%
b. Company rate of profit - Rate of profit of economy
= 9% - 7%
= 2% > 0
Yes, the firm earning an economic profit of 2%
c. Yes, Industry will see entry or exits because industry is competitive in nature and would to like to compete to others by satisfying the consumers . In perfect competitive markets there will be no entry or exits and critical characteristics reason companies are free for entry and exit for marginal profits.
d. Industry is competitive , there will be supplier to serve the market and its hard to decide the price of the product.
Hence, the rate of return long run equilibrium earned by firm = Rate of return of economy = 7%
Answer:
an unpredictable and long work schedule
Explanation:
Being an entrepreneur requires a lot of effort, passion and time. The most scarce resource of all is time, since not even the richest person in the world can add more hours to a day. An entrepreneur must work a lot in order to make his/her company succeed and a lot of work takes a lot of time. An entrepreneur's work schedule is both unpredictable and extremely long. Such a combination is sometimes terrible for your personal life. That is why many entrepreneurs actually work with their partners, e.g. small businesses are generally run by families. If work will absorb so much of your time, you might share your work with your loved ones.
Answer:
This entry would be recorded by Young with a credit to <u>cash account</u> in the amount of <u>$1,020</u>.
Explanation:
The complete journal entry for June 29 should be
- Dr Notes Payable account 1000
- Dr Interest Expense account 20
- Cr Cash account 1020
The total interest due = $1,000 x 6% x 4/12 =$20
Notes payable is a liability account and it decreases, so it should be debited.
All expenses are debited.
Cash is an asset account and it decreases, so it should be credited.
