Answer:
a) Bonds Payable.
Explanation:
Since there is an issue of bonds as against cash, which need to be paid back in future, amount received will be credited to bonds payable.
Further the purpose of bonds will always be to acquire a capital asset as bonds are issued for long term finance generally, therefore, the bonds will be credited as bonds payable, rather than capital contributions.
Though a general note in notes to account can be added clearly specifying the purpose of issue of bonds.
a) Bonds Payable.
Answer:
Empathy
Explanation:
Empathy is the ability of a person of business entity to understand the thoughts, feelings, and emotions of their customers. It is the ability to personalise the customer's situation.
This makes the business go the extra mile in solving the customer's problem.
In this scenario Northwestern mutual felt the pain and understood the financial needs of the families of first responders during the 9-11 attack.
So without official death certificates they paid death benefits only 3 days after the attacks.
Other insurance companies however did not empathise with their customers and only paid death benefits some months to a year.
Answer:
The answer is B.
Explanation:
Capital is what is used to start a business. It is what the owner's contribution in the business. In advanced class, it is called stock or equity. Capital is usually from the owner's savings. But if this money is borrowed either from an individual or a bank, the person is a borrower while the other party is the lender.
Option A is incorrect because money raised from someone makes the person borrowing a borrower and not a saver.
Option C and D are incorrect because the items needed for the business are not consumables, they are needed for the smooth running of the business, hence they are not consumption.
The Income Statement is a financial statement that reports the revenues, expenses, and net income or loss that resulted from a firm’s operations over an accounting period.
<u>Explanation:</u>
The Income Statement is one of the company’s center financial reports that confers their gain and loss over a remarkable time. The gain or loss is circumscribed by practicing all revenues and deducting all liabilities from both working and non-operating exercises.
The income statement is a vital element of a company’s execution reports that need to be yielded to the Securities and Exchange Commission (SEC). An income statement presents worthy insights into a company’s operations, the performance of its management, underperforming areas and its production applicable to industry rivals.
Answer:
The balance in the Paid-in Capital from Treasury Stock account at December 31, 2014 is $36,000
Explanation:
The computation of the balance in the treasury stock account is shown below:
= Number of shares sold × (Selling price of share - purchase price of share)
= 18,000 shares × ($13 per share - $11 per share)
= 18,000 shares × $2 per share
= $36,000
The other items which are mentioned like issued shares, authorized shares are irrelevant because we have to compute for the treasury stock, not for the common stock. So, these parts would be ignored in the computation part.
