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Mrac [35]
2 years ago
12

A city uses an Enterprise Fund to provide electricity to its citizens and to its General Fund. A total of $50,000 was billed to

the General Fund and collected 30 days later. Prepare the journal entries necessary to record these transactions, and label the fund(s) used.
Business
1 answer:
uranmaximum [27]2 years ago
8 0

Answer:

Enterprise Fund due from General Fund  (Dr.) $50,000

Service Revenue (Cr.) $50,000

Explanation:

The enterprise used its general fund to provide electricity to the citizens. It has a collection period of 30 days for the general fund. This collection period is receivable duration during which company service revenue is to be collected. The general fund used by enterprise fund is collected 30 days later.

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knowledge management

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a) He will ask the audience to stand and do a simple yoga pose.

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REFLECTION QUESTIONS
telo118 [61]

Answer:

Expenses must be close or above $2000 per month

Explanation:

For a business to operate at a profit, its revenues must exceed the expenses by a sizable proposition. Revenues refer to income from business activities, while expenses are the cost incurred in generating that income. Should the costs match or be higher than the revenue, a business will find it challenging to continue operating.

In this case, the business owner is generating revenues of $2000 per month. If he is struggling to stay open, it means the monthly expenses are around or above $2000. The $2000 that the business is generating per month is not sufficient to cater for all expenses and the desired profits. The business owner is probably making losses, and that why he is having trouble keeping the doors open.

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