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3 years ago

A trial balance has total debits of $197,900 and total credits of $199700. which account may contain a transposition error

Business

1 answer:

kiruha [24]3 years ago

5 0

Answer:

Accounts Receivable with a balance of $1,800

Explanation:

Transcription error is the kind of error, which has a particular kind of error of data entry, which is usually made through the human operators or through the programs of optical character recognition.

Trial balance is the account which is prepared to verify the aggregate of all accounts with the debit balance with the aggregate of total of all accounts with credit balance.

When there is error on the credit and debit balance, then the account of accounts receivable will contain the balance of the error which amounts to $1,800.

You might be interested in

What is a major difference between the world trade organization (wto) and the world bank?

Murrr4er [49]

The World Trade Organization (WTO) is the global international organization that deals with trade rules between different nations. The World Bank handles all financial assitance with developing countries around the world. Though they both help different nations, one handles the trade between nations and the other handles financial monetary assets.

8 0

3 years ago

Read 2 more answers

Heather's interest and gains on investments for the current year are as follows:

Leviafan [203]

Answer:

c. $1,400

Explanation:

Gross income

= Interest on U.S. government bonds + Interest on a Federal income tax refund + Gain on the sale of Madison County school bonds

= $700 + $200 + $500

= $1,400

Therefore, Heather must report gross income in the amount of $1,400.

5 0

3 years ago

Jeremy operates a business as a sole proprietorship. The proprietorship uses the cash method of accounting. He decides to incorp

ollegr [7]

Answer:

$13,000

Explanation:

Given that:

Jeremy operates a business as a sole proprietorship which uses a cash method of accounting. Now he is planning transfer them into a new corporation in exchange for its stock.

The assets are :

$10,000 of accounts receivable with a zero basis

have a basis of $20,000 and an FMV of $40,000

Liabilities

payable of $12,000

The note payable on medical equipment is $7,000.

Therefore , Jeremy's basis for his stock is : $20,000 -$7,000 = $13,000

since that will reduce the basis by amount of the note payable.

The liabilities payable will be deducted and taken care of by the corporation.

8 0

3 years ago

Windspire is starting a firm in the small-scale wind-generated power industry. This industry is still so new that no standard op

liq [111]

Answer:

Emerging

Explanation:

An emerging industry is a group of companies that is created around a new product or idea that is still in the early stages of development. An emerging industry consists of just a small number companies and is often centered around new technology. A example is the small wind generated power industry because wind is not a common source that is used for the generation of power.

4 0

3 years ago

Tanner is choosing between two mutually-exclusive investment options. These options have absolutely no risk, and Tanner can al

Reika [66]

Answer:

D) Tanner should be indifferent between the two investments, since both are equivalent to the same amount of cash today.

Explanation:

Here are the options to this question:

A) $531.40 later today, since $1 today is worth more than $1 in one year.

B) $550 in one year, since it is $50 more than he invested rather than $31.40 more than he invested.

C) Neither - both investments have a negative NPV.

D) Tanner should be indifferent between the two investments, since both are equivalent to the same amount of cash today.

Net present value is the present value of after tax cash flows from an investment less the amount invested.

NPV can be calculated using a financial calculator:

For the first option:

Cash flow in year 0 = $500

Cash flow in year 1 = $550

I = 3.5%

NPV = $31.40

For the second option:

NPV = $631.40 - $600 = $31.40

The npv of both options are equal and postive. So, Tanner should be indifferent between the options.

To find the NPV using a financial calacutor:

1. Input the cash flow values by pressing the CF button. After inputting the value, press enter and the arrow facing a downward direction.

2. After inputting all the cash flows, press the NPV button, input the value for I, press enter and the arrow facing a downward direction.

3. Press compute

I hope my answer helps you

5 0

4 years ago