Answer:
The Journal entries are as follows:
(i) Sale of Equipment
Cash A/c Dr. $20,300
Accumulated Depreciation A/c Dr. $22,500
To Equipment $40,000
To Gain $2,800
(To record the sale of equipment)
(ii) Sale of Equipment
Cash A/c Dr. $12,700
Accumulated Depreciation A/c Dr. $22,500
Loss A/c Dr. $4,800
To Equipment $40,000
(To record the sale of equipment)
Workings:
Accumulated Depreciation = [(40,000 - 2,500) ÷ 5] × 3 years
= 7,500 × 3 years
= $22,500
The rationale for internal control principle, segregation of duties is that the work of one employee should, without duplication of effort, provide a reliable basis for evaluating the work of another employee. Segregation of Duties is a basic building block of sustainable risk management and internal controls for business. It is based on shared responsibilities of a key process that disperses the critical functions of that process to more than one person or department.
Answer:
The company be able to continue without positive cash flows or additional financing for 39 Months
Explanation:
in given information assessed negative income from activity is (155,000), this is expected that there won't be any income from contributing or financing exercises.
information given for records of sales and stock is superfluous since both are a piece of working income which is as of now evaluated.
there for shutting balance toward the finish of year is $500,000 separated by negative income of (150,000) equivalents to months organization will ready to proceed without positive income or extra financing
Answer:
Ease of transfer and limited liability
Explanation:
The Corporation can easily transferable as the number of shares could be divided that are purchased and sold over the stock exchange
Also they have the limited liability when there is any contigency arise due to which the corporation would be closed this would be limited to the shared amount that owned by the shareholders
Therefore the last option is correct
