Answer: revenue of $14,000 and expense of $6,000 in Year 1.
Explanation:
In accrual accounting, it should be noted that for this accounting method, the revenue or expenses that are made by the individual or company will be recorded as at the time that the transaction took place and not when the payment for the transaction was gotten.
Since Costello company performed $14,000 of services and also incurred $6,000 of wage expenses, then Costello will report revenue of $14,000 and expense of $6,000 in Year 1.
Answer:
Nexium & Associates Journal entries
March 1
Dr Accounts Receivable800
Cr Service Revenue 800
March 9
Dr Office Furniture1,060
Cr Office Supplies 160
Cr Accounts Payable1,220
March 15
Dr Accounts Payable1,220
Cr Cash1,220
March 23
Dr Electricity Expense430
Cr Accounts Payable430
March 31
Dr Salaries Expense850
Cr Cash850
Explanation:
The details given about Nexium & Associates are straight forward and required no further
adjustment.
Answer:
<u>Corporations </u> comprise about 20% of all businesses but account for about 81% of u.s. business receipts.
Explanation:
A corporation is kind of a business that is set up by a legal organization headed by a person or several partners together. Examples including Microsoft, Apple Inc. etc
While corporations make up just 20% of registered businesses, they are usually quite larger and have national foot print. They can employ thousands of people, have a number of subsidiary companies and work with hundreds of smaller businesses.
Hence, while they are smaller in number, their impact on the economy is very large.
Answer:
Each should be used as follows:
Weight of peppermints = X = 25 lb
Weight of Chocolates = Y = 15 lb
Explanation:
Suppose
Weight of peppermints = X
Weight of Chocolates = Y
So According to given condition
X + Y = 40 (Eq. 1)
1.2X + 2.4Y = 1.65*40
1.2X + 2.4Y = 66 (Eq. 2)
By multiplying (Eq. 1) with 1.2 we get
1.2X + 1.2Y = 48 (Eq. 3)
Now by subtracting (Eq. 2) from (Eq. 3)
(1.2X + 1.2Y) - (1.2X + 2.4Y) = 48 - 66
1.2X + 1.2Y - 1.2X - 2.4Y = -18
1.2X - 1.2X + 1.2Y - 2.4Y = -18 (Rearrange)
-1.2Y = -18
1.2Y = 18
Y = 18/1.2
Y = 15
By placing value of Y in (Eq. 1)
X + 15 = 40
X = 40 - 15
X = 25
<u>Check</u>
1.2X + 2.4Y = 66
1.2 (25) + 2.4 (15) = 66
66 = 66
