The purchase of office equipment on credit has what effect on the accounting equation?
a. Assets decrease and stockholders' equity decreases.
b. Liabilities increase and stockholders' equity decreases.
c. Assets increase and liabilities increase.
d. Assets decrease and liabilities decrease.
c
You might also like to view...
Identify the environmental factor that contributes to an attractive environment for firms.
A. few suppliers B. many competitors C. high threat of entry D. many substitutes E. many barriers to entry
Poultry Processing processes chickens for fast food restaurants. The Majestic chickens arrive from the farms on trucks, in cages, at a rate of 8 trucks per hour according to the Poisson distribution
The quality standards of Poultry Processing require that the chickens be processed within 30 minutes, which includes the time from when the trucks arrive until the chickens are finished processing. Determine the maximum average processing rate (in truckloads per hour) that must be designed for the machine, in order to ensure that the cages will be processed, on the average, in 30 minutes or less. Assume processing time is exponentially distributed.
What does double taxation mean?
A. Companies must pay taxes on their income, and then employees must pay taxes on their salaries and wages. B. Companies have to pay both sales taxes and income taxes. C. Companies must pay taxes on their earnings, and then stockholders pay taxes on their dividends. D. Suppliers tax their customers, and in turn these businesses tax the ultimate consumer. E. Companies must pay taxes on corporate income and then additional taxes on distributions to profit stockholders.
What is meant by implied volatility?
What will be an ideal response?