Answer:
No change
Explanation:
The complete question is <em>"The fictional country of Alpetra increases the income tax rate so that tax revenues increase by $50 million. If GDP, consumption, and Government spending remains the same and Alpetra is a closed economy, what is the change in investment?"</em>
<em />
The closed economy equilibrium is at: Y = C + I + G. Where Y = Real GDP, C = Consumption, I = Investment and G = Government spending.
The Y, C, G are constant so the investment is not changed. I = Y - C - G. So, this is the same before-tax and after-tax change.
50*12 =600 put 600$ a year
600(1.08)^6 the power represents 6 years and 1.08 represents the percentage. (its gain so remember to add the 1 with 0.08.)
You earn $952.12 .
= Cash flow from assets - change in net working capital + net capital spending
= - $ 247,500 - $ 124,000 + $ 950,000
= $ 578,500
Answer:
Explanation:
The reversing entries are shown below:
a. Salary and wages Payable A/c Dr $4,380
To Salary and wages Expense A/c $4,380
(Being reversing entry passed)
b. Salary and wages Expense A/c Dr $7,560
To Cash A/c $7,560
(Being reversing entry passed)
c. Salary and wages Payable A/c Dr $4,380
Salary and wages Expense A/c Dr $3,180
To Cash A/c $7,560
(Being reversing entry passed and the difference is debited to the Salary and wages Expense Account)
Answer:
J.K. Builders
<u><em>General Journal</em></u>
Cash $72,000 (debit)
Common Stock $72,000 (credit)
<em>Cash Received in Exchange of Common Stock</em>
Land $62,000 (debit)
Cash $62,000 (credit)
<em>Cash Paid for the Purchase of Land</em>
Supplies $10,560 (debit)
Accounts Payable $10,560 (credit)
<em>Supplies Bought on Credit</em>
Cash $27,000 (debit)
Loan Payable $27,000 (credit)
<em>Cash Loan Received</em>
Explanation:
See the Journal Entries and Narrations that i have prepared above.
Notes.
1. Trade discounts are note recorded in the entity`s records.
2. We only record transactions and events that originated from entity (The Dual Entity Concept) not amount shareholder.
