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3 years ago

A motor vehicle sold on credit to C. Kelly will require which of the following entries:

1 answer:

4 0

When a motor vehicle is sold to C. Kelly on credit, the relevant entries would be Debit C. Kelly, Credit Motor vehicle.

When an item is sold on credit to an entity, that entity becomes an Accounts Receivable. As this is an asset, it is debited when it increases which is the case here with C. Kelly purchasing the car on credit.

The motor vehicle account is an asset and assets are credited when they decrease. By selling the vehicle, the motor vehicle account will be credited to show that motor vehicles have decreased.

In conclusion, the accounting entry for the above scenario would be Debit C. Kelly, Credit Motor vehicle.

Find out more at brainly.com/question/20519391.

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Which term describes the reduction in an asset’s value over its lifespan?

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Answer:

Depreciation / Amortization

Explanation:

Depreciation is an accounting concept that describes the process of allocating the cost of an asset over its meaningful life. Assets require a substantial amount of capital investments. Expensing the entire cost of an asset in one financial year is against the income and expense matching principle.

The business spreads the cost of the asset in each year that the asset is expected to generate revenue. The cost of the asset is divided equally with the number of its useful years. At the end of each year, the depreciation amount is charged to the profit and loss statement of the business.

Depreciation is the term used for tangible assets, while amortization is used for intangible assets. The two operate on the same concept.

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3 years ago

Non-trade receivables should be reported separately from trade receivables. Why is this statement either true or false?

kozerog [31]

Answer:

The answer is: C) It is true because non-trade receivables do not result from business operations and should not be included with accounts receivable.

Explanation:

Usually non-trade receivables are current assets that should be converted into cash with a one year period, e.g. employee loans, tax refunds. Sometimes they will need more than one year to be converted into cash, so they have to be classified as non current assets.

These assets were not generated by normal business operations, therefore they should not be included under accounts receivables.

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4 years ago

Joanna, a manager at TravelWorld, has set up a committee to develop procedures for dealing with company-wide training needs and

KengaRu [80]

Answer:

Organizing.

Explanation:

As Joanna is a manager at TravelWorld. She has set up a committee to develop procedures for dealing with company-wide training needs and assigned people to conduct specific training programs. Joanna is engaged in organizing management function. In organizing function, effective managers arrange the work to achieve the defined organisational goals. Managers perform the organizing function when they organize and determine the particular tasks which are required to be done, who would be doing what, grouping the tasks, who will be reporting to whom and who is going to make the decisions accordingly.

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3 years ago

Daniela is a 25% partner in the JRD Partnership. On January 1, JRD makes a proportionate, liquidating distribution of $16,000 ca

zavuch27 [327]

Answer: The amount and character of Daniela's gain or loss from the distribution will be $0.

Explanation:

Given : Daniela is a 25% partner in the JRD Partnership, liquidating distribution of $16,000 cash, inventory with a $16,000 fair value (inside basis $8,000), and accounts receivable with a fair value of $8,000.

Here, Daniela will not recognize any gain or loss on the distribution. She will instead reduce the basis of the inventory she receives in complete liquidation of her interest.

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3 years ago

Problem 15b.) Suppose that, three years ago, the small town of Middling experienced a sudden doubling of the birth rate. Today,

sweet-ann [11.9K]

Answer: to consider 14 years into the future "There will be a rightward shift of the supply curve for babysitting services 14 years from now, which will result in a higher equilibrium price and a higher equilibrium quantity". Which means option "A" is most correct.

Explanation: We shall Analyse the scenario in steps for your easy understanding and clarification.

STEP 1: In 14 years time the babies born during the child birth rate increase will start giving birth, and the babies born today will become they babysitter.

STEP 2: babies born three years ago are twice babies born today.

STEP3: The twice rate of babies born three years ago will want the normal rate of babies born today to serve them as babysitter.

STEP 4: In 14 years time, the parents that will need the service of baby sitters will be twice the available babysitter, because the parent in 14 years time are the ones born during the child birthrates increase. And the babysitter will be the one born today, during the normal child birth rate.

Form the analysis in the steps we can see that, they will be an increase in the demand of babysitter in 14 years time, which may lead to increase in price, Therefore, they will be an increase in the quantity of services needed.

There will be a rightward shift of the supply curve, because the curve will start from babysitting service when demand was normal to when demand comes high and then back to normal.

NOTE: The quantity in this scenario is not the quantity of babysitter available, but the quantity of parents in need of babysitter service.

THEREFORE FOR BABY SITTERS SERVICES, AS THE EQUILIBRIUM QUANTITY INCREASE, THE EQUILIBRIUM PRICE INCREASE TOO.

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3 years ago