Indicate how each event affects the elements of financial statements. Use the following letters to record your answer in the box shown below each element. You do not need to enter amounts. Assume that Frank Company uses a perpetual inventory system.Increase = I Decrease = D No Effect = NA(Note that "No Effect" means that the event does not effect that element of the financial statements or that the event causes an increase in that element that is offset by a decrease in that same element.) On April 1, Year 1, Wetzel Co. paid a supplier, Jacobs Company, the amount owed on account related to a purchase of inventory on account with terms of 2/10, net/30. The inventory was purchased on March 1, Year 1. AssetsLiabilitiesStk. EquityRevenuesExpensesNet IncomeStmt of Cash
Flows???????
What will be an ideal response?
(D) (D) (NA) (NA) (NA) (NA) (D)
Since payment was not made within the 10-day discount period, no discount is available. The payment on account decreases assets (cash) and decreases liabilities (accounts payable) by the amount of the invoice. It is reported as a cash outflow for operating activities.
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On January 1, 2016, A-Best Company's balance in retained earnings was $80,000 . At the end of the year, December 31, 2016, the balance in retained earnings was $94,000 . During 2016, the company earned net income of $40,000 . How much were dividends?
a. $16,000 b. $24,000 c. $26,000 d. $64,000
To calculate the total cost of goods manufactured from total manufacturing costs
A) subtract all period costs from total manufacturing costs. B) add beginning and subtract ending finished goods inventory to total manufacturing costs. C) you must know how many goods were sold during the period. D) add beginning and subtract ending work in process inventory to total manufacturing costs.
Criminal cases typically begin with the ________
A) arraignment process B) prosecutor's issuance of Miranda rights C) defendant's first appearance before a magistrate D) arrest of the defendant
The local cheese vendor offers to sell Taco Loco 200 pounds of cheese for these three products. Taco Loco should:
A) refuse to buy any cheese. B) buy less than 80 pounds of cheese for $1.45 per pound. C) buy 46 pounds or less of cheese for $1.45 or less. D) buy at least 126 pounds of cheese for $5.33 or less.