Answer:
The correct answer is that the valuation would decrease total assets and stockholders’ equity by $101.00
Explanation:
Item Cost Market price Impact
Quantity
1 220 $ 4.40 $ 4.60 no impact as cost is lower
2 130 $ 6.20 $ 6.00 ($6.20-$6.00)*
130=$26
3 100 $ 10.00 $ 9.25 ($10-$9.25)*100 =$75
4 25 $ 20.50 $ 25.00 No impact as cost is lower
The total reduction in the value of inventory as a result of adopting the lower of cost or market price valuation is $101 ($75+$26),hence decreases total assets by $101 and the stockholders' equity(retained earnings which is a component of stockholders' equity ) by the same amount
Honesty , Trustworthy , Determined & Passionate .
Answer:
Follow his lead and address him formally
Explanation:
If someone addresses you formally, that is because that person expects the conversation to be formal, or because you both are in a formal enviroment, for example, a work meeting. For this reason, the best to do in such situation is to address the other person formally as well.
Answer:
Journal Entries
Journal 1 :
Equipment $23,400 (debit)
Cash $23,400 (credit)
Being Purchase of Equipment
Journal 2 :
Cash $6,800 (debit)
Service Revenue $6,800 (credit)
Being Service rendered for Cash
Journal 3 :
Salaries Expense $2,100 (debit)
Cash $2,100 (credit)
Being Salaries expense paid
Explanation:
Narrations have been provided to explain the transaction. Remember to use the account titles provided in accounting for the transactions.
Answer:
(A) -5/6
Explanation:
Price elasticity of demand = % change in quantity demanded ÷ % change in price
% change in quantity demanded = (60-40)/40 × 100 = 20/40 × 100 = 50%
% change in price = ($6-$15)/$15 × 100 = -$9/$15 × 100 = -60%
Price elasticity of demand = 50% ÷ -60% = -5/6