Answer:
a. Debit to Notes Receivable
Explanation:
Journal entry for selling an asset in return for notes receivable is;
Notes Receivable A/c Dr.
To Asset A/C
In the given case, an aircraft is sold in exchange for a note receivable. The journal entry would be:
12% Notes Receivable A/C Dr. $380,000
To Aircraft $380,000
(Being notes receivable received in exchange for aircraft sold being recorded)
Notes Receivable is an asset for the receiver as it represents amount which is due to be received. Whenever an asset account is debited, it increases their balance.
Aircraft is an asset. When an asset is sold, it is credited. Here the asset being a movable asset.
Answer:
B)
Explanation:
Based on the information provided within the question it can be said that this scenario is best illustrated by the concept of Age-related changes. This term refers to changes that occur normally due to getting older. Some of these changes include decrease in vision acuity and decreased reaction time, both of which are problems that the older adult client is experiencing.
Answer:
Units transferred out less units in beginning work in process.
Explanation:
A process costing system is generally used when similar or identical products are mass produced.
To determine the total number of units transferred out = beginning work in process + units started and transferred out - ending work in process
To determine the amount of units started and completed = total units transferred out - beginning work in process
Answer:
B. Direct financial compensation
Explanation:
When adjusted for inflation the normal wage paid is increased from its existing level to some percentage level similar to inflation level, to meet the inflation in market.
This can be clearly measured as from the actual payment made to the workers which shall include the direct financial compensation paid to the employees. This is because to calculate how much a worker can purchase during inflation is, actually what is the value of money in his hands during inflation, basically the utility.
Therefore, the correct option is:
Direct Financial Compensation.
Answer:
C) Yes, income will increase by $250.
Explanation:
normal selling price $8
special order for 15,000 at $4 each
incremental costs per plane:
- direct materials $1.25
- direct labor $2.05
- variable manufacturing overhead $0.50
- decals $0.05
- total $3.85 per plane
plus $2,000 in special machine
gain/loss resulting from special order = total revenue - incremental costs per plane - special machine = ($4 x 15,000) - ($3.85 x 15,000) - $2,000 = $60,000 - $57,750 - $2,000 = $250
net profits will increase by $250
