Answer and Explanation:
The journal entry is shown below:
Cash Dr $24,560
Accounts receivable Account Dr. $ 155,310 ($161,390 - $6,080)
Merchandise Inventory Account Dr. $ 99,950
Equipment Account Dr. $ 89040
To Kimberly Payne, Capital Account $364,180
To Allowance for Doubtful accounts $4,680
(Being the Payne investment is recorded)
For recording this we debited the cash, account receivable, merchandise inventory, and the equipment as it increased the assets and credited the capital and allowance for doubtful accounts as it increased the stockholder equity and also increased the allowance for doubtful balance
Answer:
D. Cash 8,000
Accounts Receivable 8,000
Explanation:
The commercial terms of the transactions are as follow:
2/10 within the first 10 days of the invoice The payment will be grnated with 2% discount
n/30 during the next 30 days of invoice date, the payment to cancel will be the nominal
The payment is after the discount period, it will be at nominal which is 8,000
Answer:
$205,500
Explanation:
The computation of the total amount of liabilities at the end of the year is shown below:-
The Total amount of liabilities at the end of the year is
= Long−Term Notes Payable + Accounts payable + Interest payable + Income tax payable
= $150,000 + $41,000 + $4,500 + $10,000
= $205,500
Therefore for computing the total amount of liabilities at the end of the year we simply applied the above formula.
Restricting free trade or trade among nations creates outside market influences that cause markets to act in unpredictable ways. This could artificially makes prices higher or lower than they should be. It can also cause shortages in goods or services produced. This prevents market optimization.
Answer:
$1000
Explanation:
Operating income is the income from the regular business operation before adjusting for taxes and interest. Operating income is similar to EBIT, which stands for earnings before interest and taxes.
For ABC company, revenue is $ 5,000
Operating expense is $ 4,000
Income tax is $200
operating income
= $5000-$4000
=$1000
