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3 years ago

Prepare the issuer's journal entry for each of the following separate transactions.

Business

1 answer:

jeka57 [31]3 years ago

3 0

Answer:

March 1

Debit : Cash $318,500

Credit : Common Stock $198,000

Credit : Excess of Par $120,500

Being Issue of Par value Shares for $318,500 cash

April 1

Debit : Cash $84,000

Credit : Common Stock $84,000

Being Issue of no Par value shares for $84,000 cash

April 6

Debit : Inventory $53,000

Debit : Note Receivable $103,000

Credit : Common Stock $68,000

Credit : Excess of Par $88,000

Being Issue of Par value Shares for Inventory and Note Receivable

Explanation:

Note: We are instructed to prepare journals from the issuer`s point of view and this needs to be followed.

When shares are issued, the Common Stock increases :

a. For par value Common Stocks, any price paid in excess of par value is accounted in Excess of Par Reserve.

b. For no par value shares, there is no Excess of Par Reserve, we simply record the increase in Common Stock at the price paid for.

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Jupiter Explorers has $5,600 in sales. The profit margin is 3 percent. There are 4,000 shares of stock outstanding, with a price

Irina18 [472]

Answer:

Price-earning ratio is 28.57 .

Explanation:

Price earning is a ratio widely used by common stock holder in stock market. The ratio is used to measures share price in relation to earning per share. The ratio tells us years require to recover amount spend on acquisition of share.

Detail calculation is given below.

Sales $ 5,600 -A

Net profit $ 168 -B

EPS $ 0.042 -B/4000

Price-earning ratio = 1.2/EPS = 28.57

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3 years ago

A new exercise video contends that with one day of fasting and a one-hour period of intense cardiovascular exercise, the average

zlopas [31]

Answer:

D) Usage

Explanation:

Usage barriers or obstacles to use are basically reasons why a customer will cease purchasing a good or service, or might even return a purchased good just after purchasing it. Sometimes enthusiastic customers may falsely believe that a product is easy to handle and use, while it's not, e.g. a Sedgeway that initially had very high sales but then they plummeted. Usage barriers result in high customer churn.

In this case, some users might actually believe that eating a small amount for one day and exercising for a couple of hours will radically change their body structure. The bad thing is that after a few days they will realize that it was all a lie, and they will get either frustrated or mad.

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3 years ago

A man works for a marketing firm that has just landed a contract with Run-of-the-Mills to help them promote three of their produ

Lelu [443]

Answer and Explanation:

According to the given situation, when the amount of splishy splashies decrease by 5%, quantity of frizzles increases by 4%.

So, The cross price elasticity of frizzles relative to splishy splashies = Percentage change in quantity demand for frizzles ÷ Percentage change in price for splishy splashies

= 4 ÷ -5

= -0.80

Now,

Cross-price elasticity between splishy splashies and kipples = Percentage change in quantity demand for Kipples ÷ Percentage change in price for splishy splashies

= -6% ÷ -5%

= 1.20

b. Since there is negative cross-price elasticity between splishy splashies and frizzles, these products are complementary.

The elasticity of the cross-price between splendid splashies and kipples is positive, these goods being substitutes.

c. Here, I would therefore recommend Raskels marketing, since these two are used together.

The required Table are as shown below:-

Particulars Cross-Price Elasticity Complements Recommended

of Demand or Substitute Marketing with

splishy splashies

Frizzles 0.80 Complements Yes

Kipples 1.20 Substitute No

8 0

3 years ago

Suppose a firm that produces for this market is able to dump toxic chemicals into a river next to its factory, which poisons wil

DerKrebs [107]

Answer: an externality, market failure

Explanation:

Externality, simply refers to the gains and the costs that a third party gets due to the productivity or consumption activities of an individual or firm. In the above question, a negative externality occurs as the production of the firm has a negative effect on wildlife and the people living in the area.

In this case, the externality results in market failure which is due to the inefficiency with regards to the distribution of the goods in the free market.

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3 years ago

What is duplicate coverage and why should I avoid it

VARVARA [1.3K]

Insurance companies have always been very concerned about the problem of a policyholder having duplicate coverage with more than one insurance company with the result that you make a profit from the claims you submit to more than one insurance company for the same expenses.

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3 years ago

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