Answer:
1. Cash $5000 Dr
Common Stock (at par) $5000 Cr
2. Cash $4000 Dr
Loan Payable $4000 Cr
3. Supplies $500 Dr
Account Payables $500 Cr
4. Account Receivables $8000 Dr
Service Revenue $8000 Cr
5. Salaries Expense $3900 Dr
Cash $3900 Cr
6. Prepaid Rent $2400 Dr
Cash $2400 Cr
7. Office Furniture $3500 Dr
Account Payable $3500 Cr
8. Cash $1800 Dr
Unearned Service Revenue $1800 Cr
9. Cash $3000 Dr
Account Receivables $3000 Cr
10. Utilities Expense $1200 Dr
Cash $1200 Cr
11. Dividends $1000 Dr
Cash $1000 Cr
12. Certificate of Deposit Receivable $2000 Dr
Cash $2000 Cr
13. Loan Payable $1600 Dr
Cash $1600 Cr
14. Land $2700 Dr
Cash $2700 Cr
15. Interest Expense $400 Dr
Interest Payable $400 Cr
16. Unearned Service Revenue $1800 Dr
Service Revenue $1800 Cr
17. Supplies Expense $400 Dr
Supplies $400 Cr
18. Salaries Expense $2300 Dr
Salaries Payable $2300 Cr
19. Interest Receivable $150 Dr
Interest Revenue $150 Cr
Explanation:
Answer: B. stockholders expropriate value from bondholders by selecting high-risk projects.
Explanation:
Bankruptcy simply means when an individual or business cannot pay back the funds that is owed to the creditor. When bankruptcy is declared by a particular business, the assets for the business are used in paying back the debt.
One of the indirect costs of bankruptcy is the effect that a potential bankruptcy has on the firm's decisions. The general result is that stockholders expropriate value from bondholders by selecting high-risk projects.
Therefore, option B is the answer.
Answer with Explanation:
The introducing of newest technology would definitely have financial and operational implications. These implications are given as under:
Financial implications
- Cost Reduction: The operational costs would be reduced by investing in the newest technology which will make the cash flow position better with time.
- Benefits Lost Risk: It is possible that the investment might not bring value to the company because of any emergent problems, whose mitigation requires incurring of additional costs.
- Cost Advantage: The lower operational cost can drive higher sales because the company will be charging lower fare prices to its customer thus giving Cost Advantage.
- Investing in newest technology might not bring value to the company because it is not attracting potential customers but it might pay off later in the form of developed customer loyalty.
Operational implications
- Implementing a newest technology might improve the operational processes through which the customer go through, which would increase the customer satisfaction.
- Implementation problems of newest technology.
- Long term Customer retention will easy for the airline company due increased customer satisfaction.
- Operational efficiencies related to services will process the customer fastly saving the companies precious time wasted in these process thus reducing the future human resource cost.
- Using robots might bring adverse marketing because the people might think that the human resource are no more required and risks associated with the acceptance of technology due to cultural differences.
- Better Security systems would increase the security level and safety levels for the customers.
Answer:
to obtain 10,000 hours of light you would need:
option 1)
10 incandescent light bulbs costing $0.50 each = $5
this incandescent light bulbs will consume 60 x 10,000 = 60,000 watts or 60 kWh = 60 x $0.10 = $6 in electricity
total costs using incandescent light bulbs = $5 + $6 = $11
option 2)
1 fluorescent light bulb = $4
this fluorescent light bulb will consume 15 x 10,000 = 15,000 watts or 15 kWh = 15 x $0.10 = $1.50
total costs using fluorescent light bulbs = $4 + $1.50 = $5.50