Answer:
A) Trying to determine whether the company's net income will result in a stock price increase - Investors in common stock
B) Trying to determine whether an advertising proposal will be cost-efficient - Marketing managers
C) Trying to determine whether the company can pay its obligations - Creditors
D) Trying to determine whether the company should employ debt or equality financing - Chief Financial Officer
E) Trying to determine whether the company complied with tax laws - Internal Revenue Service
Answer: Option C
Explanation: Sovereignty is a governing body's absolute right and authority over itself, without intrusion from third party sources or bodies.
Sovereignty is a substantive term in political theory defining supreme authority above a certain polity.Hence any law that is implemented in USA will be followed only by american companies or foreign companies operating there. These laws are not applicable for German firms due to their principle of sovereignty
Answer:
North Star
Adjusting Journal Entries:
December 31:
Rent Expense $1,280
Prepaid Rent $1,280
To accrue rent for the period.
Depreciation Expense $1,080
Accumulated Depreciation $1,080
To accrue Depreciation charge for the year.
Utilities Expense $9,800
Utilities Payable $9,800
To accrue unpaid utilities.
Income Tax Expense $470
Income Tax Payable $470
To accrue income tax liability.
Explanation:
Adjusting entries are journal entries that are made at the end of an accounting period to ensure that all expenses and incomes pertaining to the period are recognized in accordance with the accrual concept and the matching principle. These accounting concepts require that all expenses incurred whether paid for or not and income whether received or not, which relate to the period, are matched respectively.
