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3 years ago

Recording Initial Transactions and Subsequent Adjustments

Business

1 answer:

aalyn [17]3 years ago

4 0

Answer:

a. On September 1, paid rent on the track facility for six months at a total cost of $12,000.

September 1

Dr Prepaid rent 12,000

Cr Cash 12,000

September 30

Dr Rent expense 2,000

Cr Prepaid 2,000

b. On September 1, received $60,000 for season tickets for 12-month admission to the race track.

September 1

Dr Cash 60,000

Cr Deferred revenue 60,000

September 30

Dr Deferred revenue 5,000

Cr Revenue 5,000

c. On September 1, booked the race track for a private organization that will use the track one day per month for $2,000 each time, to be paid in the following month. The organization uses the track on September 30.

September 30

Dr Accounts receivable 2,000

Cr Revenue 2,000

d. On September 1, hired a new manager at a monthly salary of $3,000, to be paid the first Monday following the end of the month.

September 30

Dr Wages expense 3,000

Cr Wages payable 3,000

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Jlenok [28]

Answer:

1. AirEurope should produce if it wants to maximize its profit.

2. False

Explanation:

New payoffs after subsidy:

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3 years ago

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Ymorist [56]

I believe the correct answer from the choices listed above is the first option. Regulatory policies protect consumers by overseeing and limiting businesses. Hope this answers the question. Have a nice day. Feel free to ask more questions.

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3 years ago

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How long would it take for Nico to save an adequate amount for retirement if he deposits $40,000 per year into an account begin

dalvyx [7]

Answer: It will take Nico approximately 12 years

Explanation:

Payments = $40000

r = 12%

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40000((1.12)^n - 1) = 1000000 x 0.12

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3 years ago

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In a free market society, what are some things the government has to do because the market won’t?

kompoz [17]

Answer:

Intervene to protect the nature and the environment: government has to play an active role in preserving the nature from the industrial activities.

Protection of consumers and customers from malicious business activities.

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Establishing required antitrust laws to prevent unjust monopolies from taking over industries.

To enact labour laws and necessary regulations to regulate the labour market.

Explanation:

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3 years ago

Nachman Industries just paid a dividend of D0 = $1.32. Analysts expect the company's dividend to grow by 30% this year, by 10% i

Nuetrik [128]

Answer:

Stock's current market value = $44.87

Explanation:

We can solve this stock valuation problem using DDM (Dividend Discount Model).

Lets find the dividends for the years:

D0 = $1.32

D1 = $1.32*1.3 = $1.716

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$P_n=\frac{D_{n+1}}{k_e-g}$

Lets calculate the terminal value after Year 3 afterwards:

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Note: rate of return, k_e = 0.09 (given) and growth rate (g) is 5% or 0.05

Now,

The present value of the stocks is gotten using formula:

$P_n=\frac{D_{n+1}}{(1+r)^n}+\frac{Terminal}{(1+r)^n}$

So, we have:

$P_0=\frac{1.716}{1.09}+\frac{1.888}{1.09^2}+\frac{49.55}{1.09^2}\\P_0=44.87$

Stock's current market value = $44.87

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3 years ago