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3 years ago

What is the impact on the accounting equation when an accounts receivable is collected?

1 answer:

5 0

DONT TRUST THAT LINK! IT IS USED TO STEAL PERSONAL INFORMATION! Report any links people give you.

Answer for your question!

Because one asset increases and another decreases by the same amount, the accounting equation remains unchanged and in balance, suggests Principles of Accounting. For example, if you collect $100 from an account receivable, cash increases by $100 and accounts receivable decreases by $100.

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A Japanese worker can produce 6 units of steel or 3 televisions per hour. A Korean worker can produce 8 units of steel or 2 tele

kifflom [539]

Answer:

2 and 4

Explanation:

Japanese worker can produce 6 units of steel or 3 televisions per hour.

Korean worker can produce 8 units of steel or 2 televisions per hour.

Opportunity cost is the cost of the lost alternative. So when the country decides to produce only televisions it has to give up on steel production. Thus, the units of steel forgone for each unit of television gained is an opportunity cost of a television.

$Opportunity cost = \frac{Units of Steel lost}{Units of Television gained}$

Thus,

Opportunity cost of television for Japan = $\frac{6}{3} = 2$

Opportunity cost of television for Korea = $\frac{8}{2} = 4$

7 0

3 years ago

Help pleaseeeeeeeeeeeee

valkas [14]

Answer:

Income

Explanation:

A budget shows a plan of how one will spend their income. It is, therefore, a plan of expenditure. A budget shows total expected income on one side and projected expenditure on the other side. The budget is balanced when income and expenses are equal.

6 0

3 years ago

A company purchased a weaving machine for $206,520. The machine has a usedul life of 8 years and a residual value of $11,000. It

Alex777 [14]

Answer:

The amount of depreciation expense that should be recorded for the second year is $28,600

Explanation:

The computation of the depreciation per units or bolts under the units-of-production method is shown below:

= (Original cost - residual value) ÷ (estimated production bolts)

= ($206,520 - $11,000) ÷ (752,000 bolts)

= ($195,520) ÷ (752,000 bolts)

= $0.26 per bolt

Now for the second year, it would be

= Production units in second year × depreciation per bolts

= 110,000 units × 0.26

= $28,600

4 0

3 years ago

A company purchased $11,600 of merchandise on June 15 with terms of 3/10, n/45, and FOB shipping point. The freight charge, $1,3

dlinn [17]

Answer:

$10,534

Explanation:

Net purchases before discount = $11,600 - $2,080 = $9,520

Since the company paid before 10 days, it takes 3% discount as follows:

Discount = $9,520 * 3% = 9,234.40 = $285.60

Net purchases after discount = $9,520 - $285.60 = $9,234.40

The company pays for the freight charge of $1,300 and net purchases after discount. Therefore, we have:

Cash paid = $9,234.40 + $1,300 = $10,534.40, or $10,534 approximately.

7 0

3 years ago

Little Book LTD has total assets of $860 000. There are 75

malfutka [58]

a)Little book LTD earning per share is $1.118 per share.

Explanation:

To calculate earning per share we will use following formula:

$\frac{net income}{weighted average shares outstanding}$

Now to find net income we will take help of asset turnover ratio : $\frac{net sales}{total asset}$

Asset turnover ratio = $\frac{x}{860000}$

$\begin{align}\frac{x}{$86000}\end{align}$ 1.5 × $860000 = x

x (net sales) = $1290000

Outstanding shares = 75000 shares

So Net Income = $1290000×.065

= $83850

Now Earning per share = $\frac{83850}{75000}$

Earning per share = $1.118

b) Market to Book Ratio will be 1.2 for Little Book LTD.

Explanation:

Market to Book Ratio = $\frac{Market Capitalization}{Total Book Value}$

Market Capitalization = $ 75000× $ 12

= $900000

So, Market To Book Ratio = $\frac{900000}{750000}$

Market To Book Ratio = 1.2

5 0

3 years ago