Answer:
Explanation:
As we know that
All revenues generated and expenses incurred during a given period are reported in the income statement.
The balance sheet records the assets and the liabilities of the business organization
So, the categorization is shown below:
a. Sales = revenue (R). It is shown in the credit side of the income statement
b. Store Supplies = Current asset reflects on the balance sheet
c. Commissions Earned = revenue (R). It is shown in the credit side of the income statement
d. Utilities Expenses = expense (E). It is shown in debit side of the income statement
e. Insurance Payable = liability (L). It reflects on the liabilities side of the balance sheet as a current liabilities
f. Advertising Expense = expense (E). It is shown in debit side of the income statement.
g. Notes Payable = liability (L). It reflects on the liabilities side of the balance sheet
h. Owner, Capital = equity (EQ) = It is shown on the balance sheet i. Accounts Payable = liability (L). It reflects on the liabilities side of the balance sheet as current liabilities
D.
Whenever we credit or debit a transaction, it is ALWAYS in equal amounts. No more, no less.
Full question attached
Answer and Explanation:
1. Hearts R Us should account for the preferred shares series A financing as equity at issuance since it is not mandatory to redeem at issuance according to ASC 480-10-15-3
2. Here Hearts R Us may have to reclassify the preferred shares series A financing from Bionic considering no FDA approval yet and the failure of the heart valve product. Bionic has the option/right to redeem at par value in the fifth year if there is no FDA approval and so Hearts R Us would have to buy back the security from Bionic at par value(amount sold to Bionic) and classify as common stock.
The Tragedy of the Commons is eliminated when property rights are assigned to individuals.
Explanation:
The tragedy condition of the popular is that particular users, individually behaving according to their needs, are opposed to the general good of each user by their collective behaviour by depleting or spoiling the public resources.
The top-down policy oversight or overt supervision of a common pool tool is one potential remedy. Regulating use and use, or prohibiting such persons lawfully, can minimize over consumption and government expenditure in resource management and regeneration can help avoid this degradation.
Answer:
Variable manufacturing overhead spending variance= $2,000 favorable
Explanation:
<u>First, we need to calculate the predetermined overhead rate:</u>
<u></u>
Predetermined manufacturing overhead rate= total estimated overhead costs for the period/ total amount of allocation base
Predetermined manufacturing overhead rate= 2,400,000 / 240,000
Predetermined manufacturing overhead rate= $10 per machine hour
<u>To calculate the variable overhead spending variance, we need to use the following formula:</u>
<u></u>
Variable manufacturing overhead spending variance= (standard rate - actual rate)* actual quantity
Variable manufacturing overhead spending variance= (15 - 214,000/21,600)*21,600
Variable manufacturing overhead spending variance= $2,000 favorable