Answer:
A. credit card
Explanation:
A credit card is a card issued by a bank to its customer which allows the credit card holder to borrow money from the bank.
A maximum amount that can be borrowed through the credit card is known as the credit limit of the card.
The bank provided certain interest free period to the credit card holder to return the amount borrowed and charges an interest on the amount due.
Answer: The answer is e. $215,000.
Explanation: Based on the information provided in the question, see the cash flows statement below:
XYZ Cash Flows Statement
Net income $180,000
Increase in account receivable (15,000)
Increase in accounts payable 50,000
Cash flows from operating activities $215,000
- Note that the purchase of equipment of $50,000 cash would not be considered under cash flows from operating activities but would rather be considered under cash flows from investing activities.
- Increase in accounts receivable means outflow of cash while increase in accounts payable means non-payment of debt, that is, inflow of cash.
Answer:
V(n)=140,000-10000n
V(7)=$70,000
Explanation:
Purchase Cost= $140,000
Value After 11 Years =$30,000
Depreciation per Year = 
The truck depreciates at a rate of $10000 per year.
Using straight-line depreciation, the value of the truck in dollars, V
The linear function of its age in years n, V(n)=140,000-10000n
When the truck is 7 years old
n=7
Truck's Value, V(n)=140,000-10000n
=140,000-(10000X7)
=140,000-70000
=$70,000
Answer:
The correct answer is Option B.
Explanation:
Based on IAS 10 Events after the Reporting Period, subsequent events can be an adjusting event or non-adjusting event. If it is an adjusting event, it means an event after the reporting date before the audited financial statements are signed that provides further evidence of conditions that existed at the reporting date. However, non-adjusting events are events after the reporting date that are indicative of a condition that arose after the reporting date, this requires disclosure in the financial statements while for adjusting events, the financial statements are adjusted for condition that arose after the reporting date.
The declaration of the customer as bankrupt is an adjusting event since it affects the receivable collection, hence the need to adjust it as uncollectible,
Answer:
John takes $100 of currency from his wallet and deposits it into his checking account. If the bank adds the entire $100 to reserves, the money supply <u>WILL NOT CHANGE</u>, but if the bank lends out some of the $100, the money supply <u>WILL INCREASE</u>.
Explanation:
Any monetary injection to the banking system will increase the money supply only if the banking system (the whole set of banks) lends the money. The total effect is calculated by the increase in money x the money multiplier. The money multiplier = 1 / required reserves.
If the bank does not lend the money, then the money supply will not change.
