TRUE, an accounting firm collected cash on account. as a result of this transaction, total assets, liabilities, and equity are all unchanged.
A legal entity is a for-profit business organization that provides professional services, such as a corporation, limited liability company (LLC), or partnership.
A firm can be a company. B. A consumer goods store that offers physical products. It can also represent a service provider such as a hairdresser. The term company can refer to any for-profit business, but it is often used to describe businesses in specific industries such as law or accounting.
Companies are all kinds of businesses. Examples of companies include sole proprietorships, partnerships, limited liability companies, and corporations. The term is more commonly associated with partnerships.
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Answer:
B. 2.8 years
Explanation:
Initial investment = -120,000+ 8,000 = -112,000
Yr 1 cash inflow = 40,000, hence net CF = 40,000-112,000 = -72,000
Yr 2 cash inflow = 40,000, hence net CF = 40,000- 72,000 = -32,000
Yr 3 cash inflow = 40,000, hence net CF = 40,000-32,000 = 12,000
Payback period = last year with negative net CF + (absolute net CF that year/ total CF the following year)
= 2 + (32,000/40,000)
= 2 + 0.8
= 2.8 years
Answer:
True
Explanation:
Financial Instruments are agreements pertaining to the exchange of money between parties. The financial instruments could be in the form of cash or the right bound by contractual laws to receive or deliver items with monetary value. Shares, bonds, loans, and derivatives like futures and forwards are other examples of financial instruments. These financial derivates are securities whose prices are hinged on underlying assets like bonds, stocks, commodities, and currencies. Cash instruments, on the other hand, have their prices determined mainly by the market fluctuations.
Classification of financial instruments could be based on the asset or debt classes. The debt classification could also be broken down as being long or short term. So, the grouping by time to maturity (money vs. capital) or type of obligation (stock, bond, derivative) is a system of classifying financial instruments.
Answer: c) closing entries
Explanation:
An Accounting worksheet is simply used to be able to draft accounting information and make reports from them. As such you will find them with adjusting entries, unadjusted trial balance and the drawing account.
Closing entries are used to close out the books at then end of an accounting period and so will not appear on an accounting worksheet.
The amount of money that you still owe to the Credit card Company is called Credit card balance.
Credit card balance refers to the amount of money one has spent on their card and they haven’t paid back to the Credit card Company.
<h2>Further Explanation
</h2>
- A credit card is a card in which any payment made by the card holder using the card, then it means they have borrowed money from the Card Company to pay at a later date.
- In other words, unlike debit cards, credit cards allows customers to borrow money from the Credit Company or the card issuer for the purposes of making purchases up to a certain limit.
<h3>Credit card balance
</h3>
- Credit card balance is the money that has been spent by the card holder and have not been paid back to the card issuer. For instance, if an individual spends $ 550 to make purchases of items, and they have not paid back, then the credit card balance will be $550.
<h3>Terms Associated with Credit Cards
</h3><h3>Credit card limit </h3>
- Credit card limit refers to the maximum amount of money that the card holder is allowed to borrow on the card. The can holder, cannot make purchases exceeding the Credit card limit.
- If the Card limit is exceeded then the Card issuer charges an over-limit fee depending on the agreement between the card holder and the card issuer.
<h3>Credit card fee
</h3>
- Credit card fee is the annual fee that the card issuer or the card Company charges the card holder for the privilege of using the credit card. This fee may be also called participation fee or the membership fee.
<h3>Credit card interest </h3>
- Credit card interest may be referred to as the Annual percentage rate, which is the annual rate of interest that includes the fees and the costs incurred to get a loan.
Keywords: Credit card, Credit Card Company, Credit card limit, credit card holder.
<h2>Learn also about:
</h2>
- Debit card and its advantage: brainly.com/question/1006222
- Difference between Credit card and debit card: brainly.com/question/10163886
Level: High school
Subject: Business
Topic: Trade
Sub-topic: Modes of payment
