I would choose D. By outsourcing certain processes to small businesses
Answer:
The accrued interest payable to be reported on December 31, 2014 will be $240 and option a is the correct answer.
Explanation:
The interest rate given on the notes payable is the annual rate. Following the accrual basis of accounting, the revenues and expenses for a period should be matched and recorded in their respective periods. Thus, the interest relating to the period from October to December will be recorded as an expense on 31 December 2014 and debited to interest expense and credited to interest payable as the interest will be paid at maturity.
The interest expense for the 3 month period from October to December is,
Interest expense = 16000 * 0.06 * 3/12 = $240
The entry will be,
31 Dec 2014 Interest expense $240 Dr
Interest Payable $240 Cr
Answer:
Line.
Explanation:
A line organizational structure can be defined as a type of structure in which the level of authority ranks from the top to the bottom i.e from the top executives to the lowest level employees. A line organizational structure makes use of downward communication technique for the dissemination of informations.
A downward communication can be defined as the formal flow of information and messages within an organizational hierarchy; which is mainly from a higher level (senior management) of an organization to a lower level (middle management) and lastly, to the least (subordinates).
In this scenario, Larry Gomez is a warehouse manager for a company that markets electric generators. In this small entrepreneurial firm, there are direct lines of communication and authority flowing from the company's CEO down to Gomez and through her to the workers in the warehouse. Therefore, Gomez works in a line organization.