Jessica's Auto Service has had to close their doors for business while they try to get a loan so they can pay their bills. They receive a notice from their electric company for last month's electric bill payment. What type of expense is this? Variable expense Fixed expense Direct expense

Jessica's Auto Service has had to close their doors for business while they try to get a loan so they can pay their bills. They receive a notice from their electric company for last month's electric bill payment. What type of expense is this? Variable expense Fixed expense Direct expense

FINANCIAL ACCOUNTING

10th Edition

ISBN:9781259964947

Author:Libby

Publisher:Libby

Chapter1: Financial Statements And Business Decisions

Section: Chapter Questions

Problem 1Q

See similar textbooks

Similar questions

Marina had an accident with her car and the repair bill came to $900. She didn't have any emergency fund money and no extra money in her monthly budget, so she ended up borrowing from a pay-day loan company. As long as she can pay the loan back at the end of the 30 day period she won't be charged any interest, technically. However, she did have to pay an $19 processing fee per $100 that she borrowed. If she were to consider the processing fee to represent interest paid in her formula, what would she discover to be the annual interest rate she was charged on her short term loan? [Blank-1] The end of the month has arrived and Marina was only able to save up a portion of the money she owed so far. This means she will have to delay paying off on the remaining amount. Besides the delayed payment fee that she is charged, she will now have to pay interest on the remaining amount until it is paid off. The APR (annual percentage rate) is 46.5%, but the interest is compounded daily. What…
For the accounts receive and interest revenue I for march 20, I got 13, however its wrong, can you tell me what I am doing wrong? our answer is partially correct. Try again. On January 10, Molly Amise uses her Windsor, Inc. credit card to purchase merchandise from Windsor, Inc. for $1,500. On February 10, Molly is billed for the amount due of $1,500. On February 12, Molly pays $1,300 on the balance due. On March 10, Molly is billed for the amount due, including interest at 1% per month on the unpaid balance as of February 12.Prepare the entries on Windsor, Inc.’s books related to the transactions that occurred on January 10, February 12, and March 10. (Omit cost of goods sold entries.) (Round answers to 0 decimal places, e.g. 825. Credit account titles are automatically indented when amount is entered. Do not indent manually. Record journal entries in the order presented in the problem.) Date Account Titles and Explanation Debit Credit choose a transaction…
When writing off a customer's account using the allowance method: A. Bad Debts Expense is increased with a debit B. The customer's account is decreased with a debit C. The Allowance for Bad Debts account is decreased with a debit D. Bad Debts Expense is increased with a credit
48. PR.03-19 Problem 3-19 Bad Debts (LO 3.10) Sharon is an orthopedic surgeon. She performed a surgery 2 years ago and billed $10,000 to her patient. After 2 years of attempting to collect the money, it is clear that Sharon will not be able to collect anything. Sharon reports income on her tax return on the cash basis, so she only reports the income she actually receives in cash each year. Can she claim a bad debt deduction for the $10,000? because a deduction is allowed to the extent that income arising from the services
Forman's Services is a small accounting firm that offers payroll and bookkeeping services to small businesses and individuals. A local merchant has approached Will Forman, the owner, about taking over his payroll disbursements, but is concerned about the fees Forman's normally charges. The costs and revenues at Forman's Services follow. Sales revenue Costs FORMAN'S SERVICES Annual Income Statement Labor Equipment lease Rent Supplies Owner's salary Other costs Total costs Operating profit (loss) If Forman's gets the merchant's business. It will incur an additional $31,000 in labor costs. Will also estimates that he will have to Increase equipment leases by about 10 percent, supplies by 15 percent, and other costs by 5 percent. There will be no additional rent. Required: a. What are the differential costs that would be incurred as a result of adding this new client? b. Will would normally charge about $51,000 in fees for the services the store would require. How much could he offer to…
Please answer fast without plagiarism i give up vote
Safe Home provides house-sitting for people while they are away on vacation. Some of its customers pay immediately after the job is finished. Some customers ask that the business send them a bill. On December 31, Safe Home has collected $800 from cash-paying customers. Safe Home's remaining customers owe the business $1,800. Cash received Revenue Recorded Total Revenue Recorded December 31 December 31 Cash Basis 800 800 800 December 31 December 31 Accrual Basis 800 1800 2600
A) What is the APR for purchases made using this credit card? B) What is the maximum amount that Marcus can put on this credit card? C) Did Marcus pay off the entire balance of his credit card last month? D) Suppose Marcus pays the minimum payment due this month, what will his new balance be, after this payment is processed and assuming he makes no additional purchases?
A long-term Categorize each of the following liabilities as a short-term liability or a long-term liability. liability is not due in the current year. This month's electric bill Educational loan* Home equity loan* This month's water bill Washer/dryer loan due this year Property taxes Short-Term Liability Long-Term Liability *The amount not due in the current year oooO As you gather data regarding your liabilities, it is important to remember that regardless of category, you should record a sheet at their current payoff amounts, which should exclude future interest payments.
You have a $1,400 balance on your 15% credit card. You have lost your job and been unemployed for 6 months. You have been unable to make any payments on your balance. However, you received a tax refund and want to pay off the credit card. 1. How much will you owe on the credit card if you have not made a payment for 6 months? 1 month- $1417.50 2 months- $1435.22 3 months- $1453.16 4 months- $1471.32 5 months- $1489.71 6 months- $1508.33 2. How much interest will have accrued? Interest Accurde: $108.33 3. What will be the effective rate of interest after the 6 months? Note: Round your answer to the nearest hundredth percent. ?
William has $1,250 in his savings account and $150 in his bank account. His car payment is $420, and his mortgage is $1,150. Both are due today. He just spent $125 on groceries for the month. He wants to go on Spring Break vacation with his buddies, which will cost him $97. What is his Current Ratio? Please don't provide answer in image format thank you
You are in a car accident and your car is totaled. You find a new-to-you vehicle for $18,395 that you would like to buy. A) If the sales tax is 6.5% of the purchase price, what is the amount of the sales tax? B) With the sales tax, how much is the vehicle cost altogether? C) If the car license fee is 1.2% of the purchase price, find the amount of the license fee. D) If you were to make a down payment of $2500, find the amount of the loan that you would need. E) Assuming you get a loan for 4 years at an interest rate of 7.5% what amount would you need to borrow with the sales tax and license fee included? F) Taking the answer from E) what would your monthly payments be?