The balance in Retained Earnings is decreased by debiting the account.
Answer the following statement true (T) or false (F)
True
This is true. Decreases to retained earnings are recorded as debits because stockholders' equity is being decreased.
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The duty of care requires directors and officers to make a reasonable investigation before making any corporate decisions.
Answer the following statement true (T) or false (F)
Kaylin graduated from college in June. For the last three years she successfully ran a small part-time business while attending school
Her business arranged for the delivery of personalized birthday cakes and other gifts to students in her school. Since many of these students were from different states or countries, this service provided a way for their family and friends back home to celebrate the occasion. Kaylin used social media like Facebook and Twitter to remind potential customers of upcoming birthdays and other gift-giving occasions, like holidays or campus events (care package for mid-term exams, picnic packs to celebrate the arrival of spring after a snowy winter, etc.). Describe some of the communication issues that Kaylin might have faced while running her college business. What will be an ideal response?
Meow Products Ltd. Meow Products Ltd. produces and sells scratching posts for cats. In the current year, the company had expected to sell 12,000 posts but actually produced and sold 10,000 posts. The following information is available regarding the standard cost to produce a single post: Direct materials: 3 feet @ 1.75 per foot Direct labor: 15 minutes @ $.30 per minute In the current year,
38,000 feet of material were purchased out of which 35,000 feet were used at a cost of $1.55 per foot, and 160,000 direct labor minutes were incurred at a cost of $.32 per minute. Refer to the Meow Products Ltd. information above. The company's direct materials price variance for the current year is: A) $2,350 F. B) $7,600 F. C) $7,000 U. D) $4,100 U.
Maurio Pena, a petroleum company, needs to pay $2 million to Zaiten Inc. Maurio Pena sells its old assets to another company and obtains enough money to pay its debt. In this scenario, Maurio Pena's ability to sell its old assets to another company in order to pay its debt to Zaiten is measured by analyzing _____.
A. leverage ratios B. asset management ratios C. liquidity ratios D. profitability ratios