Answer:
D) machines and factories; knowledge one picks up through education and training
Explanation:
The physical capital is the capital that has the physical existence i.e. tangible. It could be seen, feel, or even touched. examples like plant, machinery etc
While on the other hand the human capital is intangible it only effects the production and the operations
Like - skills, knowledge, experience of a worker
Therefore the option D is correct
(b) a liability,
(c) revenue,
(d) an expense, or
(e) a dividend:
1. Amounts due from customers
2. Amounts owed to suppliers
3. Cash on hand
4. Cash paid to stockholders
5. Cash sales
6. Equipment
7. Note payable owed to the bank
8. Rent paid for the month
9. Sales commissions paid to salespersons
10. Wages paid to employees
Answer:
1. An asset.
2. A liability.
3. An asset.
4. A dividend.
5. Revenue.
6. An asset.
7. A liability.
8. An expense.
9. An expense.
10. An expense.
Explanation:
1. Amounts due from customers: an asset. It should be recorded on the balance sheet as account receivable.
2. Amounts owed to suppliers: a liability. It should be recorded on the balance sheet as account payable.
3. Cash on hand: an asset. It should be recorded on the balance sheet as account receivable.
4. Cash paid to stockholders: a dividend. It should be recorded on the statement of retained earnings.
5. Cash sales: revenue. It should be recorded on an income statement.
6. Equipment: an asset. It should be recorded on the balance sheet as account receivable.
7. Note payable owed to the bank: a liability. It should be recorded on the balance sheet as account payable.
8. Rent paid for the month: an expense. It should be recorded as an expense on the income statement.
9. Sales commissions paid to salespersons: an expense. It should be recorded as an expense on the income statement.
10. Wages paid to employees: an expense. It should be recorded as an expense on the income statement.
b. Calculate depreciation expense for 2021 and 2022 using double-declining balance method.
c. Calculate depreciation expense for 2021 and 2022 using units-of-production using hours operated.
Answer:
a. $9,000
b. $22,000 and $11,000
c. $5,220 and $6,660
Explanation:
The computation of the depreciation expense for the two years are shown below:
a) Straight-line method:
= (Original cost - residual value) ÷ (useful life)
= ($44,000 - $8,000) ÷ (4 years)
= ($36,000) ÷ (4 years)
= $9,000
In this method, the depreciation is same for all the remaining useful life
So, in year 2021 and 2022, the depreciation expense would be $9,000
(b) Double-declining balance method:
First we have to find the depreciation rate which is shown below:
= One ÷ useful life
= 1 ÷ 4
= 25%
Now the rate is double So, 50%
In year 2021, the original cost is $44,000, so the depreciation is $22,000 after applying the 50% depreciation rate
And, in year 2022, the $22,000 × 50% = $11,000. The $22,000 is come from $44,000 - $22,000
(c) Units-of-production method:
= (Original cost - residual value) ÷ (estimated production)
= ($44,000 - $8,000) ÷ (20,000 hours)
= ($36,000) ÷ (20,000 hours
= $1.8 per hours
For the 2021, it would be
= Production hours in 2021 year × depreciation per hour
= 2,900 hours × $1.8
= $5,220
Now for the 2022 year, it would be
= Production hours in 2022 year × depreciation per hour
= 3,700 hours × $1.8
= $6,660
Answer:
B. Fall to Zero
Explanation:
In a perfectly competitive market, product cost are all relatively the same. If a firm decides to raise its price on a product it's demanded quantity becomes relatively nonexistent due to the other competitors whos prices have either remained the same or even dropped in price.
Using the accrual method, the unearned revenue as of December 31 is $12,000.
Unearned revenue can be defined as the amount a company received from their client for the service they are yet to rendered.
Since the company has received full balance for the services not yet provided. The unearned revenue as of December 31 will be $12,000 .
Reason been that the amount that the client paid the company is for a year-long contract, hence the $12,000 represent a prepayment amount for the service the company is yet to rendered to their client
Inconclusion using the accrual method, the unearned revenue as of December 31 is $12,000.
Learn more about unearned revenue here:brainly.com/question/5010039
The $12,000 payment is for a one-year contract, however, we will only record revenue from October 1 up to December 31 which are the months that already lapsed. The remaining nine months are still considered unearned revenue. Thus, the remaining unearned revenue is $9,000.
Unearned revenue is the amount received from a client for a service that has yet to be rendered. Since the company has received the full balance over the services not yet provided. As of December 31, the unearned revenue will be $12,000.
Because the client paid the company for a year-long contract, the $12,000 represents a prepayment for the service the company has yet to render to their client. Using the accrual method, the revenue that is not earned as of December 31 is $9000.
Learn more about revenue, here:
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Answer:
b. $530
Explanation:
As provided retained earnings opening balance = $475
Add net income for the year = $130
Balance = $605
Further dividend is paid, which reduces the balance of retained earnings = $75
Balance after paying dividends = $605 - $75 = $530
All the other information provided in question relates to common stock and has no relevance on retained earnings balance.
Therefore, balance of retained earnings at the end of period = $530
Answer:
Store A = 3.4521
Store B = 2.9589
Store C = 4.4384
Explanation:
Store A charges ADB method
purchase made on 5th first payment on 15th of 100
so from 5th to 15th Average daily balance =300 for 10 days
then from 15th to 4th for remaining 20 days average daily balance = 200
Average Daily Balance = (300*10+200*20)/30
Total finance charge = ADB*(APR*(Days/365))
=300*((0.18)*(10/365))+200*((0.18)*(20/365))
= 1.4795+1.9726=3.4521
Store B
Adjusted Balance Method uses adjusted balance to calculate the charges
Adjusted balance=Starting balance adjusted for credit and debit
Adjusted balance =300-100=200
Financial Charges = 200*(.18*(30/365))=2.9589
Store C
Previous Balance Method the interest is calculated on amount of balance carried from previous billing cycle
Balance Carried = 300
Charges =300*(.18*(30/365))= 4.4384
Answer:
Store A finance charge = $140.625
Store B finance charge = $90
Store C finance charge = $202.5
Explanation:
Store A
Average daily balance Finance Charge
(300*200)/2 = $250 3.75(250*0.15) = $140.625
Store B
Adjusted balance method
(300-100) = $200 3.00*(200*0.15) = $90
Store C
Previous balance method
300 - 0 = $300 4.50(300*0.15) = $202.5