1. Most angel investors expect a return on investment of

Shane's Catering began with cash of $10,000. Shane then bought supplies for $2,300 on account. Separately, Shane paid $7,500 for

dolphi86 [110]

Answer:

Part (a) Shane has $ 12,300 in total assets

Part (b) Shane owes $ 2,300 in liabilities

Explanation:

Shane's Catering began with cash of $10,000

At the beginning the Accounting Records of Shane should reflect the following Account Balances

Cash $10000 (debit)

Owners Equity $ 10000 ( credit)

Shane then bought supplies for $2,300 on account.

When Shane buys supplies on account the transaction is recorded as follows

Inventory $2300 (debit)

Account Receivable $ 2300

Shane paid $7,500 for equipment

When Shane pays for equipment in cash the transaction is recorded as follows

Equipment $7500(debit)

Cash $7500(credit)

Balance of Assets is calculated as:

Cash 10000+Inventory 2300- Cash 7500+ Equipment 7500 =$12300

Balance of Liabilities is calculated as:

Trade Receivable $ 2300

6 0

3 years ago

Lamp Light Limited (LLL) manufactures lampshades. It applies variable overhead on the basis of direct labor hours. Information f

dmitriy555 [2]

The answer is a , make sure you pick that oneb

7 0

3 years ago

Maria is the sole proprietor of an antique store that she has operated at the same location for the past 16 years. The store ren

My name is Ann [436]

Answer:

e. I, II, III, and IV

Explanation:

I. Sell the inventory and use the cash raised to apply to the debt

II. Sell the store fixtures and use the cash raised to apply to the debt

III. Take funds from Maria‘s personal account at the bank to pay the store‘s debt

IV. Sell any assets Maria personally owns and apply the proceeds to the store‘s debt

5 0

3 years ago

1. Discuss the following statement: "Corporations are not really run by their owners."

sergij07 [2.7K]

1. Discuss the following statement: "Corporations are not really run by their owners." Corporations are run by everyone who works for the corporation and without everyone working together, it will not run smoothly and bring in revenue.
 
2. Why might an investor choose to become a partner in a limited partnership instead of purchasing the stock of an open corporation? If an investor decided to join in a limited partnership instead of purchasing the stock on an open corporation they would have less to do with the business side as they would in an open corporation. When an investor joins in a limited partnership they have less management responsibility and little to no liability besides their initial investment.
 
3. Is growth a good thing for all firms? How does management know when a firm is ready to grow? Growth is not a good thing for all firms. Depending on what a company is looking to achieve long term, the financial assets they have now to achieve their growth and other goals are all subject to what the company is able to do with the finances and staffing they have. When a corporation is trying to decide whether or not they should grow, management will examine all aspects of the company to make sure they align with the growth plan.
 

4. If you were to start a business, which ownership form would you choose? What factors might affect your choice? If I were to start a business, I would probably choose a limited liability company (LLC) as the ownership form and structure. An LLC is where the members within the company are not held personally liable for the company’s debts or liabilities. Think ownership form works well if you were to join forces an open up a business with a friend or family member. An LLC keeps the tax side of the business easier as allowing the individuals to be self-proprietors. When considering factors that may change this decision they would include: who I am going in business with, what I am in business for, my end goals, current goals and current financial status.

3 0

3 years ago

A service contract for a video projection system costs $90 a year. You expect to use the system for three years. Instead of buyi

xenn [34]

Answer:

$245.09

Explanation:

A service contract for a video projection system costs $90 a year. You expect to use the system for three years.

Instead of buying the service contract, the future value of these annual amounts after three years if you earn 5 percent on your savings will be:

PV

Ordinary Annuity

=C×[ ((1−(1+i) ^−n ) / i ]

where

n = number of years = 3

i = interest rate = 5%

Present Value of the annuity = 90 x [ ((1 - (1+0.05)^-3) / 0.05] = $245.09

3 0

3 years ago