User Account

All Pages

How will the transaction affect the accounting equation

Assignment Help Financial Accounting
Reference no: EM132984894

Problem 1: Gomez Service Company paid its first installment on a note payable of $2,000. How will this transaction affect the accounting equation?

Option 1: increase in liabilities (Notes Payable) and decrease in assets (Cash)

Option 2: decrease in assets (Cash) and decrease in stockholders' equity (Common Stock)

Option 3: decrease in assets (Cash) and decrease in assets (Notes Receivable)

Option 4: decrease in assets (Cash) and decrease in liabilities (Notes Payable)

Reference no: EM132984894

Questions Cloud

What is the amount for bravo company revenue : What is the amount for Bravo Company's revenue in 2016? The information provided in a table for Bravo Company, Liabilities 117000
Describe capital expenditures for a corporation : Describe capital expenditures for a corporation and discuss the process the business may/will take to assess the long-term decision. How will the business
How much was baltimore revenue for the year : How much was Baltimore's revenue for the year? Baltimore Company experienced a total increase in stockholders' equity of $120,000 during the current year.
How does omeprazole suppress helicobacter pylori : What is lean body weight and how does it differ from routine measurement - Is telithromycin as, or more, effective than clarithromycin in the treatment
How will the transaction affect the accounting equation : Gomez Service Company paid its first installment on a note payable of $2,000. How will this transaction affect the accounting equation?
What the amount and direction of the period change in total : What the amount and direction (increase or decrease) of the period's change in total assets is? What amount used in the buyer's accounting records
What is relationship of an account to the ledger and chart : What is the relationship of an account to the ledger and chart of accounts? What is the normal balance for assets, liabilities, revenue, expenses
Which casualty loss from personal-use property be reported : Which casualty loss from personal-use property will be reported on? Form 4684, section B and Schedule A ( form 1040)./ Form 4684 , Section B and Schedule D
What is the best way to generate goods and services : What is the best way to generate goods and services and Discuss the Economic Point of View in a real world

Reviews

Write a Review

Financial Accounting Questions & Answers

  Prepare the income statement and balance sheet

FINANCIAL ACCOUNTING PRACTICE (BBAC301). The ledger of Daniel Penny, Financial consultant, contains the following account balances on 30th June 2015 and additional information for adjusting accounts. You are required to: Prepare the income statem..

  What are bill total taxable gifts

Assuming Mary did not want to split any separate property gifts, what are Bill's total taxable gifts after taking into consideration any available deductions

  Make the journal entries necessary to record transactions

Prepare the journal entries necessary to record the above transactions when they occurred and any adjusting journal entries relative to the transactions.

  What is the cost of one acre-foot of water to the irrigator

In an irrigation district in the west, an irrigator can purchase an extra share (allotment) which entitles the holder to a 0.7 acre-foot of water per year in perpetuity. If the share costs $1600, what is the cost of one acre-foot of water to the ..

  What is the future value in fifteen years

What is the future value (in $) of $1,525 in 15 years assuming an interest rate of 7.97 percent compounded quarterly? Answer to two decimals.

  Find ajax inc treasury stock account shows a balance of

Find Ajax, Inc.'s treasury stock account shows a balance of? When it began business in 2026, Ajax, Inc. issued 150,000 shares of $1 par stock for $1,500,000.

  What is the price of the stock today

If the required return is 15 percent, what is the price of the stock today? The dividends are expected to grow at 30 percent for the next 8 years.

  Compute the current ratio and acid-test ratio

Determine and Compute the current ratio, acid-test ratio, and gross margin ratio as of January 31. (Round your answers to 2 decimal places.)

  How much would the bank wanted to pay

Sue has obtained a personal loan of $5000, How much would the bank wanted her to pay, reminding her that her loan contract carries a pre-payment penalty?

  How do record any journal entries required

How do Record any journal entries required for the information for the 2019 financial year. You must justify and explain your answer and include workings

  Discuss whether Mr Duncan proposal is a sound idea

Discuss whether Mr Duncan's proposal is a sound idea, particularly in relation to the effect on the profit or loss of Chemico Ltd in accordance with AASB

  Determine the incremental irr for each comparison made

Determine the incremental IRR for each comparison made. Which project should selected. The Get Smart company 5 mutually exclusive projects under consideration

Free Assignment Quote

Assured A++ Grade

Get guaranteed satisfaction & time on delivery in every assignment order you paid with us! We ensure premium quality solution document along with free turntin report!

Submit Assignment

Academics

Major Subjects

Majors

Get In Touch

whatsapp: +1-415-670-9521

Phone: +1-415-670-9521

Email: [email protected]

TERMS & POLICIES

HELP & SUPPORT

All rights reserved! Copyrights ©2019-2020 ExpertsMind IT Educational Pvt Ltd