Answer:
They should organize their firm as a corporation.
Explanation:
Joel and Mike would like to start a new business selling a product new to the U.S.
They have done a considerable amount of research on this product, and think it would be successful in the U.S.
Both would like to avoid losing any personal assets. They should organize their firm as a corporation.
Corporation is a legal entity which acts as a person. It is separate from its owners but enjoy most of the rights of a person. It has limited liability. It is funded by issuing shares to the stockholders.
A corporation can be for profit or not for profit. There are several types of corporations such as:
- C corporations.
- S corporations.
- Limited Liability Companies (LLCs)
- Nonprofit Organizations.
I’m not to sure I would say true but I’m not sure
Answer:
C. Credit Balance of $ 1,000
Explanation:
Classic Artists' Services at the time of making a contract with maintenance service company will not make any entry in financial statements as there is no services taken at the moment.
At the end of each month starting from February Classic Artists' Services will recognize an maintenance expense and a liability of accrued maintenance of $ 500 ($ 2,000 ÷ 4).
Entry will be:
Dr: Maintenance Expense $ 500
Cr: Accrued Maintenance Payable $ 500.
This entry will continue till May 31.
So the balance on account payable account in March will be $ 1,000 ($500 for Feb + $ 500 for March)
Answer: A. people in the northeast did not have enough oil to heat their homes, but people elsewhere in the U.S. had enough oil to heat their swimming pools.
Explanation:
1973 saw the beginning of the energy crises after the Arab world placed an oil embargo on the U.S. As a result, gasoline and oil products became very expensive in the U.S. and had to be appropriately used.
The North-East did not suffer as much during this time New York receiving some of the lowest amounts of snow in modern history so less oil went to the north east for heating as it was ruled not to be cold enough.
Answer:
Cash 20,200 debit
Sales revenue 20,200
COGS 15,500
Finished Goods Invenotry 15,500
Explanation:
The revenue will be recognize by the amount billed to the customer. It is paying on cash, so our cash increases. We record that by debiting cash.
And we credit the sales revenue to increase our revenue.
Then we recognize the cost of goods sold, which are 15,500
This decrease our finished goods inventory by this ammount. Also, we post the expense for the cost of the goods sold.