Under what circumstances will a loss be recorded on the sale of equipment, and what effect will the loss have on stockholders' equity?
A loss will be recorded when the proceeds (cash) on the sale of the equipment are less than the equipment's carrying value (cost minus accumulated depreciation). Losses reduce net income and thus stockholders' equity on the balance sheet.
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Which of the following controls would be most successful in mitigating the theft of customer checks received in the mail?
a. Custody of receipts by the accounts receivable manager. b. Restricted endorsements placed on the check as soon as it arrives. c. Weekly deposits to a secure bank. d. Reconciliation of bank accounts each month.
Childers Company, which uses a perpetual inventory system, has an established petty cash fund in the amount of $500. The fund was last reimbursed on November 30. At the end of December, the fund contained the following petty cash receipts: December 4Freight charge for merchandise purchased$56.00?December 7Delivery charge for shipping to customer$80.00?December 12Purchase of office supplies$45.00?December 18Donation to charitable organization$64.00?If, in addition to these receipts, the petty cash fund contains $246.00 of cash, the journal entry to reimburse the fund on December 31 will include:
A. A credit to Cash Over and Short of $9.00. B. A debit to Transportation-In of $101. C. A credit to Cash of $254.00. D. A debit to Petty Cash of $101. E. A credit to Office Supplies of $80.
In the Maslow hierarchy of needs, a burglar alarm would satisfy a ________ need.
A. safety B. physiological C. social D. personal E. self-actualization
Qualitative factors are considered in the evaluation of capital investment proposals
Indicate whether the statement is true or false