<u>Answer: </u>Promissory note
<u>Explanation:</u>
Promissory note is considered to be an financial instrument that consist of the promise made by a person through a written document stating to pay a certain sum of money to another party as mentioned on the specific date or time.
Promissory note usually contains the details of indebtedness name , date, interest amount, principle amount, place of issuance and signatures of the parties involved. This instrument basically gives the information of how the party owes money to another party. this note is legally enforceable by law.
Answer:
C) Increases in equity from peripheral transactions of an entity
Explanation:
A) Is the description of Revenue
B) Social capital increase
Answer:
D) An acid-test ratio = 1.0 tells us that without adequate inventory turnover, this company may represent a higher risk. Peak Performance's acid-test ratio shows that the firm maintains $1.00 in current assets for every $1.00 in current liabilities.
Explanation:
The acid test ratio is the ratio which depicts the liquidity of the company. It excludes the inventory, prepaid expenses, etc for calculating it
The formula to compute is shown below:
Acid test ratio is
= Quick assets ÷ current liabilities
Therefore according to the given situation, the correct option is d.
Answer:
Explanation:
The first step is to determine the income to be carried forward:
The diagram is attached.
Therefore, the amount of consolidated retained earnings is (a.) $235,000
