Answer: C. Style modification creates planned obsolescence.
Explanation:
Planned obsolescence also referred to as the premature obsolescence or built-in obsolescence is when a product is designed with a limited useful life which is artificial, so that the product later becomes obsolete after a period of time. It should be noted that style modification creates planned obsolescence as there's always need to try out new things and evolve.
When an investor accounts for an investment in common stock at fair value through net income, cash dividends are classifies by the investor as:_________
A) A return of capital
B) A loss
C) A deduction from the investment account
D) Dividend income
Answer: dividend income
Explanation:
When an investor accounts for an investment in common stock at fair value through net income, cash dividends are classifies by the investor as dividend income.
The fair value of an asset is simply the sale price that is agreed upon by a buyer and seller, with the assumption that both of them enter the transaction without bias and are both knowledgeable. Based on the above scenario, the cash dividends are classifies by the investor as dividend income.
Should leadership be the manager's job or should leadership be a shared process?
Answer:
leadership be a shared process
Explanation:
Leadership may be defined as when a person leads to a particular group or a community. Leader always motivate to people for the purpose so that they can achieve the goal in a particular period of time. On the other hand an organization have always leader so that high authority gives responsibility to a leader for achieving the goal with the help of directing their employees.
Therefore leadership should be a shared process as leader need to corporate their employees.
forest management defination
Answer:
It is the process of controlling the use or exploitation of forested land.
Answer:
the people who works to preserve and protect the animal and forest is called forest manager
To realize his passion,Alex recently opened Original Tunes,Inc. ,a small state of the art recording studio in Nashville,TN.He probably could have set-up shop in several major cities,but Nashville offered him the two most important factors that he learned in business school would enhance the creation of wealth: labor and political freedom.
a. True
b. False
Answer:
a. True
Explanation:
Indeed, we could rightly say the statement is true by remembering the four key factors of production (business):
capital (wealth)laborresourcesentrepreneur.Labor is part of the list of important factors and political freedom allows the entrepreneur to sucessfully manage business activities.
The key principle of supply chain management can be best summed up as ________ between multiple firms.
Answer:
Collaboration.
Explanation:
Supply chain management can be defined as the effective and efficient management of the flow of goods and services as well as all of the production processes involved in the transformation of raw materials into finished products that meet the insatiable want and need of the consumers. Generally, the supply chain management involves all the activities associated with planning, execution and supply of finished goods and services to the consumers.
The key principle of supply chain management can be best summed up as collaboration between multiple firms. These multiple firms include a company that is saddled with the responsibility of manufacturing, a wholesaler, and a retailer who typically sells the products to the customers or consumers.
Basically, these three (3) firms or individuals are required to collaborate with each other so as to meet the needs of the customers in a timely manner or fashion and at a fair price too.
Transactions Simmons Consulting Co. has the following accounts in its ledger: Cash; Accounts Receivable; Supplies; Office Equipment; Accounts Payable; Michael Short, Capital; Michael Short, Drawing; Fees Earned; Rent Expense; Advertising Expense; Utilities Expense; Miscellaneous Expense.
Oct. 1. Paid rent for the month, $6,000.
3. Paid advertising expense, $3,820.
5. Paid cash for supplies, $1,640.
6. Purchased office equipment on account, $25,100.
10. Received cash from customers on account, $8,180
15. Paid creditors on account, $2,400.
27. Paid cash for miscellaneous expenses, $1,040,
30. Paid telephone bill (utility expense) for the month, $380.
31. Fees earned and billed to customers for the month, $54,500.
31. Paid electricity bill (utility expense) for the month, $650.
31. Withdrew cash for personal use, $4,100.
Journalize the selected transactions for October 2013. If an amount box does not require an entry, leave it blank.
20Y3 Oct. 1 Rent Expense 6,000
Cash
20Y3 Oct. 3 Advertising Expense 3,820
Cash
2013 Oct. 5 Supplies 1,640 20Y3
Cash
20Y3 Oct. 6 Office Equipment 25,100
Accounts Payable
20Y3 Oct. 10 Cash 8,180
Accounts Receivable
20Y3 Oct. 15 Accounts Payable
Cash
20Y3 Oct. 27 Miscellaneous Expense 1,040
Cash
20Y3 Oct. 30 Utilities Expense 380
Cash
20Y3 Oct. 31: Accounts Receivable
Fees Earned
20Y3 Oct. 31: Utilities Expense 650
Cash
2013 Oct. 31: Utilities Expense 650
Cash ID
20Y3 Oct. 31: Michael Short, Drawing
Cash
Answer:
Journal Entry
Date Account Title and Explanation Debit Credit
Oct 1 Rent expense $6,000
Cash $6,000
( Being rent paid in cash)
Oct 3 Advertising expense $3,820
Cash $3,820
(Being advertising expenses paid)
Oct 5 Supplies $1,640
Cash $1,640
(Being cash paid to suppliers)
Oct 6 Office equipment $25,100
Accounts Payable $25,100
(Being office equipment purchased on credit)
Oct 10 Cash $8,180
Account Receivable $8,180
(Being amount received from customers)
Oct 15 Accounts Payable $2,400
Cash $2,400
(Being amount paid to creditors)
Oct 27 Miscellaneous expense $1,040
Cash $1,040
(Being miscellaneous expenses paid)
Oct 30 Utility expense $380
Cash $380
(Being expenses paid in cash)
Oct 31 Account Receivable $54,500
Fee earned $54,500
(Being fee earned and charge to customers)
Oct 31 Electricity expense $650
Cash $650
(Being amount paid for electricity)
Oct 31 Michael short, Drawing $4,100
Cash $4,100
(Being amount paid for Micheal short)
How much money should Timothy and Tiffany deposit annually for 20 years in order to provide an income of $30,000 per year for the next 10 years? Assume an interest rate is a constant 4%
Answer:
$8,171.37
Explanation:
first we must find the value of their account before they start receiving the distributions, (i.e. how much money they need to have in 20 years):
present value = annual payments x annuity factor
annual payments = $30,000annuity factor (PV, 4%, 10 periods) = 8.1109present value = $30,000 x 8.1109 = $234,327
now we need to calcualte the annual contribution in order to have $234,327 in 20 years:
future value = annual payment x annuity factor
annual payment = future value / annuity factor
future value = $234,327annuity factor (FV, 4%, 20 periods) = 29.778annual payment = $234,327 / 29.778 = $8,171.37
Answer: $8,171.44
Explanation:
The present value of the income of 10 years now is the future value of the payments in 20 years.
The present value is therefore;
= 30,000 * Present value of annuity interest factor, 4%, 10 years
= 30,000 * 8.111
= $243,330
As $243,330 is the future value of the payments in 20 years.
The payment is therefore;
243,330 = Payment * Future value of annuity interest factor, 4%, 20 years
243,330 = Payment * 29.7781
Payment = 243,330/29.7781
= $8,171.44
The insurer may suspect that a moral hazard exists if the policyholder:______.
a. is not honest about his health on an application for insurance.
b. is prone to depression.
c. is indifferent to activities that may be dangerous.
d. always drives over the speed limit.
Answer:
a. is not honest about his health on an application for insurance.
Explanation:
The moral hazards refer to the hazard that arises when the applicants do not tell the truth at the time of filling the application form for the insurance or in the past they claimed some amount which is totally fraud against to an insurer
So in case when the insurer may suspect whether there is an existence of moral hazard so the honesty regarding with the health for insurance should be taken as relevant pant
Therefore the option a is correct
Unlike tangible goods,virtually all services are susceptible to inconsistency and variations in quality.Why is this so?A) Because services depend on people for their delivery.B) Because services cannot be managed due to their intangibility.C) Because services are extremely time-and-place dependent.D) Because service marketers cut corners to reduce expenses.E) Because service marketers make unrealistic promises to customers.
Answer:
A) Because services depend on people for their delivery.
Explanation:
Given that the same or similar type of services are or can be carried out by various personnel, and the level of quality of the rendered services is dependent on the skills and professionalism of the person who rendered such services.
Hence, Unlike tangible goods, virtually all services are susceptible to inconsistency and variations in quality, because services depend on people for their delivery.
Therefore, the right answer is Option A. the
Business ethics week 8 assignment 4
A certain company has an acid test ratio of 0.97. This implies which of the following?1. Current liabilities are less than the quick assets of the company.
2. Current liabilities are greater than the quick assets of the company.
3. Current liabilities are greater than the current assets of the company.
4. Current liabilities are less than the current assets of the company.
Answer: 2. Current liabilities are greater than the quick assets of the company.
Explanation:
The acid-test ratio is a method of checking if the company has enough quick assets ( most liquid current assets) to enable it cover its current liabilities.
It is calculated by dividing the current assets less the inventory by the current liabilities. A ratio of 0.97 therefore means that the denominator which are the current liabilities are more than the quick assets of the company.
Zwick Company bought 28,000 shares of the voting common stock of Handy Corporation in January 2018. In December, Handy announced $200,000 net income for 2018 and declared and paid a cash dividend of $2 per share on all 200,000 shares of its outstanding common stock. Zwick Company's dividend revenue from Handy Corporation in December 2018 would be:
Answer:
Zwick Company's dividend revenue = $56,000
Explanation:
Given:
Shares by Zwick Corporation = 28,000
Handy announced dividend per share = $2
Find:
Zwick Company's dividend revenue
Computation:
Zwick Company's dividend revenue = Shares by Zwick Corporation × Handy announced dividend per share
Zwick Company's dividend revenue = 28,000 × $2
Zwick Company's dividend revenue = $56,000
Arbitrage is the purchase of assets or commodities on one market for immediate resale on another in order to profit form a price discrepancy.
A. True
B. False
Answer:
A. True
Explanation:
Arbitrage is a term that describes an activity or operation of making transactions of any of securities, currency, or commodities in various markets. The main purpose is to derive benefits or gets profits from the varying prices of those commodities and assets when resold.
Hence, it is TRUE that Arbitrage is the purchase of assets or commodities on one market for immediate resale on another in order to profit form a price discrepancy.
"A married couple, where both individuals work, earns in excess of $124,000 in year 2020. Both individuals are covered by qualified retirement plans. Which statement is TRUE regarding contributions to Individual Retirement Accounts for these persons?"
Answer:
The question is not complete. Let me explain Individual Retirement Accounts (IRA)
Explanation:
There are two types of Individual Retirement Accounts (IRA). These are the Roth IRA and the Traditional IRA.
The maximum contributions allowed to Roth IRAs for 2020 are $6,000 for investors younger than 50 and $7,000 for investors older than 50.
If you’re single and you have no workplace plan, or if you’re married and neither you nor your spouse has a workplace plan, you may fully deduct your IRA contribution--regardless of your income. However, if you don’t have an employer-sponsored plan, but your spouse has one, you may deduct the full amount if you’re married filing jointly, and your modified adjusted gross income (MAGI) is $196,000 or less.
For Traditional IRA, married couples filing jointly can take the full deduction if they make less than $104,000. If you collectively earn between $104,000 and $124,000, you can take a partial deduction. And if you earn more than $124,000, you may not deduct anything.For Roth IRA, single filers with modified adjusted gross income (MAGIs) ranging between $124,000 to $139,000 may contribute a reduced amount.Traditional IRAs are funded with pre-tax dollars, this means that you can write off the contribution during the year you make it. But this is governed by numerous factors.
A college student determines that he will have only $200 per month available for his housing for the coming semester. He is determined to continue in the university, so he has decided to list all feasible alternatives for housing.Required:List five feasible alternatives.
Answer:
Following are the description of the given points:
Explanation:
He needs to seek temporary accommodation, even so, he must not be too much further away from family, or else the costs of the trip would recompense its cheap housing. He needs to purchase a few of his blogs, which might not be used in the long term, like clothing, teaching materials not being used, etc. He can also start taking a bank loan. He may ask the college authorities to waive his college fees to some degree or provide free lodging because he's such a college. They can always take loans through school friends but I feel it's the most convenient option, so once you have extra cash, you could refund it.the money you borrow from a bank is called
Answer: it is called a loan
Explanation:
Randy Inc. produces and sells tablets. The company incurred the following costs for the May:
Advertising cost for monthly television ads $ 6,600
Attachable keyboard 20,600
Insurance for delivery truck 660
Factory supervisor's salary 3,750
Marketing manager's salary 3,450
Assembly worker wages 28,000
Miscellaneous soldering material used to seal case 1,250
Hourly wages for factory security guard 2,400
CEO's salary 7,800
Speakers 5,400
Required:
Determine each of the following:
1. Direct Material
2. Direct Labor
3. Manufacturing Overhead
4. Total Manufacturing Cost
5. Total Period Cost
6. Total Variable Cost
7. Total Fixed Cost
Answer:
Please calculations below
Explanation:
1. Direct material is a material cost that can be traced to production unit ; which consist of the below.
Speakers + Attachable keyboard
5,400 + 20,600
= $26,000
2. Direct labor is a cost identified with wages paid to labourers who manufactures products. It is made up of the below.
Assembly worker wages $28,000
3. Manufacturing overhead refers to costs that are not direct in nature but are incurred for the production of goods and services.
Hourly wages for factory security guard + Factory supervisory salary
= 2,400 + 3,750
= $6,150
4. Total manufacturing cost refers to all costs incurred during production f goods and services.
Hourly wages for factory security guard + Attachable keyboards + assembly worker wages + speakers + factory supervisor salary
= 2,400 + 20,600 + 28,000 + 5,400 + 6,150
= $62,550
5 Total period cost are costs not traced or identified with the whole production flow.
Advertising cost for monthly television add + insurance for delivery truck + factory supervisor salary + marketing manager's salary + CEO's salary
= 6,600 + 660 + 3,750 + 3,450 + 7,800
= $22,260
6.Total variable cost refers to costs that vary with the level of output.
It consist of the items below.
Attachable keyboards + assembly worker wages + miscellaneous soldering material used to seal case + hourly wages for factory security guard + speakers
= 20,600 + 28,000 + 1,250 + 2,400 + 5,400
= $57,650
7.Total fixed cost refers to costs that do vary with output level. It is made up of the items below.
Advertising cost + insurance for delivery cost + factory supervisor salary + marketing manager's salary + CEO salary
= 6,600 + 660 + 3,750 + 3,450 + 7,800
=$22,260
Taxes help prices communicate costs and benefits to producers and consumers.
a) true
b) false
Answer:
The correct answer is the option B: False.
Explanation:
To begin with, the taxes are financial charges that are imposed upon a taxpayer with the only purpose to increase the incomes of the government who are mainly taxes. Therefore that the taxes will never be or communicate a benefit nither to producers or consumers in any form or type that they could be. The taxes will only help the government to increase its income and to pay for the expenditures and therefore that it will never help to communicate nither costs or benefits to producers or consumers.
Pros and cons of working in the food service industry???
Answer: Yes and No
Explanation: Pros: You can own your own. Get to be the boss. Get a lot of money. Get to have fun.
Cons: You can have the lowest paycheck. Worst job for it.
Transactions that affect earnings do not necessarily affect cash. Identify the effect, if any, that each of the following transactions would have upon cash and net income. The first transaction has been completed as an example. (If an amount reduces the account balance then enter with negative sign preceding the number e.g 15,000 or parentheses e.g. (15,000). Cash $-133 Net Income $0 (a) Purchased $133 of supplies for cash. (b) Recorded an adjusting entry to record use of $31 of the above supplies. (c) Made sales of $1,297, all on account. (d) Received $865 from customers in payment of their accounts. (e) Purchased equipment for cash, $2,528 (f) Recorded depreciation of building for period used,
Answer and Explanation:
The identification of the given transactions are as follows
Item cash net income
a -$133 -
Since the cash is paid so it would be shown in negative and no impact on the net income
b - -$31
Here the adjusting entry is passed for supplies so the expenses are increased which ultimately reduced the net income
c - $1,297
Since the sale is made so the same should be shown in the net income
d $865 -
Since cash is received so it shown in the positive amount
e -$2,528 -
Since the cash is paid so it would be shown in negative and no impact on the net income
f - -$610
Since there is depreciation, the expenses are increased which ultimately reduced the net income
A takeover is an attempt to seize control of a corporation by purchasing the majority of its outstanding stock.
A. True
B. False
Answer:
A. True.
Explanation:
Organizations sometimes makes a bid to take control of another company by acquiring them, through the purchase of majority of the stocks or outstanding shares in the company to be acquired. Where the above is successful, the process is known as takeover.
In a takeover, the company that is being taken over is the target company, while the company taken over the target is the acquirer. A larger company may take over the smaller company through mutual agreement .
Takeover occurs when a larger company is trying to initiate a change in the smaller company by making it more profitable. They may also find value in the smaller company hence the takeover and also to eliminate competition.
The use of which tool of the Federal Reserve has the smallest impact on money supply levels?a. Open market operationsb. Discount ratec. Reserve requirementsd. Margin on securities
Answer: d. Margin on securities
Explanation:
Margin Requirements on securities are collateral that a trader must keep when they want to borrow money. The Fed can control money supply using this by increasing the margin requirement which would reduce the amount that the trader will have to trade with thereby reducing money supply.
This represents the least effective monetary tool of the 4 options listed for the simple reason that it mainly affects the stock market which is although big, is not big enough to match the influence of the other instruments of monetary policy.
Mr. and Mrs. Perry own three personal residences, all of which are subject to an acquisition mortgage. The mortgage on the first residence is $290,000, the mortgage on the second residence is $400,000, and the mortgage on the third residence is $357,000. Which of the following statements is true?
A. Mr. and Mrs. Perry can report an itemized deduction for the interest paid on all three mortgages.
B. The Perrys’ itemized deduction is limited to the interest on $1 million of their acquisition debt.
C. The Perrys’ itemized deduction is limited to the interest on the $400,000 mortgage.
D. None of the statements is true.
Answer: D. None of the statements is true.
Explanation:
When multiple residences are owned, tax laws indicate that itemized deductions for interest paid on mortgages are limited to the mortgages of 2 residences alone being the primary residence and any other residence that will be chosen as the second residence in the tax year.
As such, all the options are wrong as they would be limited to itemized deductions on mortgage interest for;
= $290,000 + $400,000
= $690,000 being the first 2 residences
Deanne is a vocal critic of socialism. She likes to point out that in recent years the governments in many socialistic nations have cut back on government services and have reduced taxes. Deanne believes that this trend will ultimately result in all nations adopting pure capitalistic ideals. Recent evidence suggests that Deanne's views are essentially correct.
a. True
b. False
Answer: False
Explanation:
Socialism is a theory that posits that production, and distribution, of goods and services should be in charge of the government. This is quite different from capitalism which advocates for the individuals to be in charge.
Even though it is true that governments of many socialistic nations have cut back on government services and have reduced taxes, this doesn't mean that all nations are adopting pure capitalistic ideals according to Deanne.
She's incorrect because there are still some elements of socialism and government interference, hence, such economies are regarded as mixed economies as they've attributes of both capitalism and socialism.
Deanne's observations is untrue as government involvement in free market economies is being ignored by her.
Use the starting balance sheet and the list of changes to create an updated balance sheet.Valley TechnologyBalance SheetAs of December 31, 2017(amounts in thousands)Cash 22,000 Liabilities 36,000Other Assets 28,000 Equity 14,000Total Assets 50,000 Total Liabilities & Equity 50,000Valley TechnologyIncome StatementJanuary 1 to March 31, 2018(amounts in thousands)Revenue 7,200Expenses 3,600Net Income 3,600Between January 1 and March 31, 2018:
1. Cash decreases by $200,000
2. Liabilities decrease by $100,000
3. Paid-In Capital does not change
4. Dividends paid of $400,000
What is the value for Other Assets on March 31, 2018?
Answer:
$31,300,000
Explanation:
cash account balance = 22,000,000 - 200,000 (cash decrease) = 21,800,000
total liabilities balance = 36,000,000 - 100,000 (decrease in liabilities) = 35,900,000
equity balance = 14,000,000 - 400,000 (dividends) + 3,600,000 (net income) = 17,200,000
total assets = 35,900,000 + 17,200,000 = 53,100,000
other assets = total assets - cash = 53,100,000 - 21,800,000 = 31,300,000
Citizens are allowed to act in their own self-interest when given __________. A. job security B. political stability C. economic freedom D. government restrictions
Answer:
c
Explanation:
Answer:
C.Job security
Explanation:
did the quiz edge 2020
For most high-income countries of the world, GDP _________________ over time.
Answer:
For most high-income countries of the world, GDP HAS INCREASED GRADUALLY over time.
Explanation:
Both GDP and GDP per capita has increased for almost all high income countries. Actually the only country in the world that was once rich and had a very high GDP and GDP per capita that turned into a developing country (AKA poor country) is Argentina. It is a unique case in all the world, since Argentina had the highest GDP per capita for 2 years (1895 and 1896) and continued to have a relatively high GDP per capita more than 60 years. Then political turmoil and corruption resulting in it falling from number one spot to number 73.
CPAs become involved in a variety of types of engagements. For each of the following statements, indicate whether it relates to an examination (E), review (R), or agreed-upon procedures (A) engagement. If the statement does not relate to examinations, reviews, or agreed-upon procedures, reply N.
Statement
Type of Engagement
a. When financial statements are involved, this is referred to as an audit.
b. The term "We are not aware of any material modifications that should be made" is often included in the report.
c. The report issued provides a summary of procedures followed and findings.
d. The report issued provides "reasonable assurance."
e. The procedures involved are generally limited to inquiry and analytical procedures.
f. The report issued provides "absolute assurance."
g. The report issued provides "limited assurance."
h. The procedures followed are agreed upon with the specified user or users.
i. This type of engagement provides more assurance than a review.
j. The CPA need not be independent to perform this service.
Answer:
a. Examination
b. Review
c. Agreed upon procedures
d. Examination
e. Reviews
f. None
g. Reviews
h. Agreed upon procedures
i. Examination
j. None
Explanation:
Examinations are meant to provide higher level of assurance in audits, in order to provide detailed view and opinion on the audit area.
Reviews are meant to provide the certificate of approval that financial reporting framework is followed or not, or whether their is no material change in the financial statements etc:
Under agreed upon procedures the CPA is to report on some specific areas agreed with the management to report upon rather than complete financial statements.
Remaining explanation:
In f. absolute assurance can never be provided as even in examination there are certain limitations which are inherent in the procedure.
In j the statement provides no independence which is not available condition in any engagement.
ustine was interested in learning how to play the piano. She has been playing some basic songs, but still gets a lot of help from her teacher. What stage of ability development is Justine at? a. Novice b. Apprentice c. Master d. Mentor
Answer is Apprentice.
Explanation: The definition of an apprentice is someone who provides help to a skilled worker in order to learn the trade himself. Justine is being trained by a skilled pianist. Thus, brings us to the conclusion that Justine is in the state of an apprentice.
Thank you for your time, I hope you pass the test. Please consider to mark brainliest if confirmed correct.
Accounting Equation Annie Rasmussen is the owner and operator of Go44, a motivational consulting business. At the end of its accounting period, December 31, 2018, Go44 has assets of $625,790 and liabilities of $197,750. Using the accounting equation and considering each case independently, determine the following amounts.A. Annie Rasmussen, capital, as of December 31, 2018. 428,040B. Annie Rasmussen, capital, as of December 31, 2019, assuming that assets increased by $98,870 and liabilities increased by $59,450 during 2019. 467,460C. Annile Rasmussen, capital, as of December 31, 2019, assuming that assets decreased by $49,440 and liabilities increased by 17,520 during 2019 400-500.D. Annie Rasmussen, capital, as of December 31, 2019, assuming that assets increased by $82,600 and liabilities decreased $31,290 during 2019. 14,390E. Net income (or net loss) during 2019, assuming that as of December 31, 2019, assets were $913,200, liabilities were $148,580, and there were no additional investments or withdrawals. 660,210
Answer:
Go44
A. Annie Rasmussen, capital, as of December 31, 2018. 428,040
Capital = Assets - Liabilities
= $628,790 - 197,750
= $431,040
B. Annie Rasmussen, capital, as of December 31, 2019, assuming that assets increased by $98,870 and liabilities increased by $59,450 during 2019. 467,460
Capital = Assets - Liabilities
= ($628,790 + 98,870) - (197,750 + 59,450)
= $727,660 - 257,200
= $470,460
C. Annile Rasmussen, capital, as of December 31, 2019, assuming that assets decreased by $49,440 and liabilities increased by 17,520 during 2019 400-500.
Capital = Assets - Liabilities
= ($628,790 - 49,440) - (197,750 + 17,520)
= $579,350 - 215,270
= $364,080
D. Annie Rasmussen, capital, as of December 31, 2019, assuming that assets increased by $82,600 and liabilities decreased $31,290 during 2019. 14,390
Capital = Assets - Liabilities
= ($628,790 + 82,600) - (197,750 - 31,290)
= $711,390 - 166,460
= $544,930
E. Net income (or net loss) during 2019, assuming that as of December 31, 2019, assets were $913,200, liabilities were $148,580, and there were no additional investments or withdrawals. 660,210
Assets = Liabilities + Equity (Capital + Retained Earnings or Net Income or Loss)
= $913,200 = ($148,580 + $431,040 + Net Income)
Net Income = $913,200 - 579,620
= $333,580
Explanation:
Go44 Balance Sheet as of December 31, 2018:
Assets = $628,790
Liabilities 197,750
Equity = $431,040
b) Accounting equation is Assets = Liabilities + Equity. Equity includes owner's capital and accumulated profits (Retained Earnings).
c) The accounting equation shows that the value of Go44's assets will always be equal to the liabilities and equity.