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2 years ago

Which account will a merchandising business close out at the end of the year?

Business

1 answer:

Paha777 [63]2 years ago

8 0

Answer: B. Sales returns and allowances

Explanation:

Accounts receivable is not closed out because people will still be owning at year end. Prepaid Insurance is an unrecognized payment for an expense in another period so it is not closed out either.

Land is a fixed asset so it is not closed and Accumulated depreciation will be left open to keep depreciating assets.

Only account that will be closed is the Sales returns and Allowances account as these are periodic entries and so should be closed out in the period.

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Arthur, an Air Force major, received a permanent change of station transfer from Alabama to Spain. His spouse did not accompany

daser333 [38]

Answer:

Explanation:

Generally speaking, military housing allowances, subsistence allowances, overseas housing allowances and family separation allowances are not included in gross income. They are not taxed by the federal or state governments. Military personnel are not relocated based on the country's national security needs, not their own personal needs.

If the moving expenses exceed the amount given to them by the Air Force, the extra amount is generally tax deductible.

6 0

3 years ago

Epsilon Co. can produce a unit of product for the following costs: Direct material $ 8 Direct labor 24 Overhead 40 Total costs p

mylen [45]

Answer:

It is cheaper to make the units in-house.

Explanation:

Giving the following information:

Make in-house:

Direct material $ 8

Direct labor 24

Overhead 40

Total costs per unit $72

Buying price= $60

We need to determine which option provides the lower cost. Because 40% of overhead will remain constant, we have to take it out of the equation.

Production cost:

Direct material $ 8

Direct labor 24

Overhead= 40*0.6= 24

Total production cost= $56

It is cheaper to make the units in-house.

8 0

2 years ago

Four students are storing this fact: "europeans first settled at st. augustine, florida, in 1565." which student is probably goi

Oksi-84 [34.3K]

The student who is probably going to have the most difficult time retrieving the information from long-term memory a few days later would be: “Alexander who repeats the fact to himself 10 times in a row.”

Aside from Alexander, all other students are using visual representation or other facts to help them remember the original fact. The method of memorization Alexander doing is very prone to be overlooked since he is storing it word by word rather than trying to associate it with other easier things to remember.

3 0

3 years ago

Here is the accounting equation for Sam's auto parts $18,000= $12,000 +$6,000 The owner withdrew $1,500 for personal use. Write

Eva8 [605]

Answer:

$18000=$12000+$4500

5 0

3 years ago

A business rents bicycles and in-line skates. Bicycle rentals cost $25 per day, and in-line skate rentals cost $20 per day. The

Alja [10]

Answer:

25 b+20 s=455...equation 1

b+s=20...equation 2, where b and s are the number of bicycle and in-line skate rentals per day.

b. The business had 11 bicycle rentals and 9 in-line skate rentals.

Explanation:

Step 1: Determine an equation for total revenue today

Since the business rents bicycles and in-line skates, the total revenue will be as a result of amount received in revenue from renting the bicycles and in-line skates. This can be expressed as shown;

T=(B×b)+(S×s)

where;

T=total revenue

B=bicycle rental cost per day

b=number of bicycles

S=in-line skate rental cost per day

s=number of in-line skates

In our case;

T=$455

B=$25 per day

b=unknown

S=$20 per day

s=unknown

Replacing;

(25×b)+(20×s)=455

25 b+20 s=455...equation 1

Step 2: Determine an equation for total rentals today

The equation for the total number of rentals is;

R=b+s

where;

R=total number of rentals today

b=number of bicycles

s=number of in-line skates

In our case;

R=20

b=unknown

s=unknown

Replacing;

b+s=20...equation 2

Step 3: Combine equation 1 and 2 ans solve simultaneously

1(25 b+20 s=455), multiplying equation 1 by 1=25 b+20 s=455

20(b+s=20), multiply equation 2 by 20=20 b+20 s=400

25 b+20 s=455

20 b+20 s=400

5 b+0 s=55

(5 b)/5=55/5=11

b=11, replace the value for b in equation 2 and solve;

(20×11)+20 s=400

220+20 s=400

20 s=400-220=180

20 s=180

s=(180/20)=9

The business had 11 bicycle rentals and 9 in-line skate rentals.

8 0

2 years ago