Explanation:
The journal entry is as follows
Notes receivable A/c Dr $11,100
To Sales A/c $11,100
(Being the sales is recorded)
Since the merchandise transaction is done through note receivable so we debited the note receivable account and the transaction is of sale type so the sales account is credited. Both the transactions are recorded at $11,100
Answer:
True
Explanation:
statement of cash flows can be regarded as financial statement which gives analysis of how cash as well as cash equivalent is affected by any changes in balance sheet accounts.
The indirect method of statement of cash flows begins with loss or the net income as well as the substraction of values from non cash revenue which result in case flow as a result of operating activities.
Answer:
a. $12.08 per share
Explanation:
For computing the next year stock we have to do the following calculations
Current Earning per share = Net Income ÷ Number of Common Shares Outstanding
= $9,750,000 ÷ 5,500,000 shares
= $1.77
Current Price Earning ratio = Current stock price ÷ Current EPS
= $14.74 ÷ $1.77
= 8.33
Now Next year earning per share = $9,750,000 × 1.25 ÷ 8,400,000 shares = $1.45
So, the next year stock price = $1.45 x 8.33
= $12.08 per share
Answer:
$619.75
Explanation:
This is a problem of future value with compounded interest.
The equation that describes the future value of an amount (P) deposited for a period of 'n' years at an annual rate (r) compounded quarterly is:
For a $550 investment at 4% per year for 3 years, the future value is:
In 3 years, Jose will have $619.75 available towards the down payment for his motorcycle.
