Answer:
financing transaction.
Explanation:
A financial statement is a written report that quantitatively describes a firm's financial health. Under the financial statements is a cash-flow statement, which is used to record the cash inflow and cash equivalents leaving a business firm.
Cash flow statement, also known as the statement of cash flows, contains financial information about operating, investing and financing activities.
A transaction can be defined as a business process which typically involves the interchange of goods, financial assets, services and money between a seller and a buyer.
Financing transaction can be defined as an obligation or right of an organization (business firm) to repurchase an asset for an amount greater than or equal to the selling price of the asset.
Answer:
Option c is the correct answer.
Explanation:
The depletion expense or charge for the period can be calculated using the following formula,
Depletion expense = [(Cost - Salvage Value) / Total units expected to be mined] * Units mined during the period
Depletion expense = [(1500000 - 250000) / 2000000] * 150000
Depletion expense = $93750
The entry to record the expense is,
Depletion expense 93750 Dr
Accumulated depletion 93750 Cr
So, option c is the correct answer.
Answer:
C. Diversification
Explanation:
Diversification is the process of a business enlarging or varying its range of products or field of operation.
Answer:
$179,950
Explanation:
For determining the overhead applied first we have to find the predetermined overhead rate based on the estimated cost which is shown below:
Predetermined overhead rate is
= Estimated overhead cost ÷ estimated direct labor cost
= $174,000 ÷ $87,000
= $2
Now the applied overhead is
= Predetermined overhead rate × actual direct labor cost
= $2 × $89,975
= $179,950
We simply applied the above formula so that the overhead applied could come
