1answer.
Ask question
Login Signup
Ask question
All categories
  • English
  • Mathematics
  • Social Studies
  • Business
  • History
  • Health
  • Geography
  • Biology
  • Physics
  • Chemistry
  • Computers and Technology
  • Arts
  • World Languages
  • Spanish
  • French
  • German
  • Advanced Placement (AP)
  • SAT
  • Medicine
  • Law
  • Engineering
lianna [129]
3 years ago
14

(a) Purchased $110 of supplies for cash. –$110 $0 (b) Recorded an adjusting entry to record use of $20 of the above supplies. en

ter a dollar amount enter a dollar amount (c) Made sales of $1,500, all on account. enter a dollar amount enter a dollar amount (d) Received $850 from customers in payment of their accounts. enter a dollar amount enter a dollar amount (e) Purchased equipment for cash, $2,550. enter a dollar amount enter a dollar amount (f) Recorded depreciation of building for period used, $740.
Business
1 answer:
miss Akunina [59]3 years ago
6 0

Question Completion:

Transactions that affect earnings do not necessarily affect cash. Identify the effect, if any, that each of the following transactions would have upon cash and net income.

Answer:

Effects of transactions on cash and net income:

(a) Purchased $110 of supplies for cash.

Cash–$110 Net income $0

(b) Recorded an adjusting entry to record use of $20 of the above supplies.

Cash - $0 Net Income -$20

(c) Made sales of $1,500, all on account.

Cash -$0 Net Income +$1,500

(d) Received $850 from customers in payment of their accounts.

Cash +$850 Net Income $0

(e) Purchased equipment for cash, $2,550.

Cash -$2,550 Net Income $0

(f) Recorded depreciation of building for period used, $740.

Cash $0 Net Income -$740

Explanation:

As stated earlier, business transactions that affect earnings do not necessarily affect cash.  This fact is demonstrated in the above examples.  Unless the transaction is for cash and affects a revenue or expense account, it will not affect cash and earnings at the same time.  An example of a transaction that affects both is the sale of goods for cash.  This will increase the cash balance as well as boasting the earnings.  Another example is the cash payment for rent expense.  This will reduce the cash balance as well as reduce the earnings.

You might be interested in
Which of the following is true?
Deffense [45]

Which of the following is true?

b.

net cash flow + cash outflow = cash inflow

Total Cash Inflow is basically Cash Reciepts, Cash inflow from Sale of Assets and the like. Cash Outflow refers to Expenses paid, Assets purchased etc. Net Cash flow is basically the difference between Cash Inflow and Cash Outflow, It could be negative if outflow is more than inflow and positive if inflow is more than outflow.

Observing the above explanation, B Seems like the correct Option.

8 0
3 years ago
Read 2 more answers
Management by objective is part of which type of performance appraisal system?
Solnce55 [7]
Management by objective is part of the goal-oriented appraisal system.

Using the goal-oriented appraisal system managers and their staff is focused on their current task and the end result of completing it. The set goals (what the want to accomplish) and strive for the end result to be a direct reflection of that goal. 
7 0
3 years ago
If you spend $35 using a credit card, you have created:
Virty [35]
<span>If you spend $35 using a credit card you have created, a $35 financial liability for yourself. </span>
6 0
3 years ago
Ceviche is prepared by marinating fresh raw fish in citrus juice for several hours, until the fish becomes opaque and firm, as i
diamong [38]

Answer:

since citrus is acidic it cooks the fish making it safe to eat

Explanation:

7 0
3 years ago
The demand for football tickets is Q = 360 â 10P and the supply of football tickets is Q= 20P. The government levies a per-ticke
grandymaker [24]

Answer:

After tax price paid by consumers

Supply function n terms of price;

P = Q / 20

P = 0.05Q

Add the tax;

P = 0.05Q + 4

Demand function in terms of price is;

Q = 360 – 10P

P = (Q - 360) / -10

Price will be;

Demand = Supply

(Q - 360) / -10 = 0.05Q + 4

36 - 0.1Q = 0.05Q + 4

0.15Q = 32

Q = 213

After tax price = 36 - 0.1Q

= 36 - 0.1 * (213)

= $14.70

Gross price for ticket sellers is;

= Price - tax

= 14.7 - 4

= $10.70

Consumer and Producer tax burden.

Without tax, price is;

36 - 0.1Q = 0.05Q

0.15Q = 36

Q = 240

P = 36 - 0.1 * 240

= $12

Consumer tax burden = 14.70 - 12 = $2.70

Producer tax burden = Tax - consumer tax burden = 4 - 2.7 = $1.30

8 0
3 years ago
Other questions:
  • What global trend is evident with regard to alcohol? affluent nations have more abstainers and abusers than low-income nations.
    12·1 answer
  • Which of the following products is likely to have an inelastic supply reaction to a change in price?
    10·2 answers
  • Lerner Co. had 200000 shares of common stock, 20000 shares of convertible preferred stock, and $600000 of 10% convertible bonds
    5·2 answers
  • Your credit card as a credit limit of $1,000 in your credit card company reviews your credit line every six months they will not
    9·1 answer
  • Fuente, Inc., has identified an investment project with the following cash flows. Year Cash Flow 1 $ 1,075 2 1,210 3 1,340 4 1,4
    8·1 answer
  • Predetermined Factory Overhead Rate Exotic Engine Shop uses a job order cost system to determine the cost of performing engine r
    13·1 answer
  • Martin Company manufactures a powerful cleaning solvent. The main ingredient in the solvent is a raw material called Echol. Info
    10·1 answer
  • Pera Inc. wishes to issue new bonds. These are 5-year bonds with semi-annual interest; $1,000 par value, and a yield to maturity
    6·1 answer
  • Why language is an important of communication tools? <br>​
    14·2 answers
  • leadership has many facets, but the central feature of leadership is the ability to command and control others.
    13·1 answer
Add answer
Login
Not registered? Fast signup
Signup
Login Signup
Ask question!