question 29
Multiple Choice
The following items are taken from the financial statements of the Freight Service for the year ending December 31 2016: Accounts payable Accounts receivable Accumulated depreciation-equipment Advertising expense Cash Owner’s capital (1/1/16) Owner’s drawings Depreciation expense Insurance expense Note payable, due 6/30/17 Prepaid insurance (12-month policy) 19,00013,00026,00021,20015,000104,00011,00012,0003,80072,0007,200 Rent expense Salaries and wages expense Service revenue Supplies Supplies expense Equipment 16,00032,000135,0005,0006,000210,000
What is the balance that would be reported for owner's equity at December 31 2016?
Recognize the enforceability of oral agreements under specific conditions.
Understand the significance of industry standards and practices in interpreting or completing contracts.
Differentiate between the requirements and exceptions of the statute of frauds in the U.S. and England.
Understand the concept of performance and its effect on the statute of frauds.
Definitions:
Imports Cheese
The act of bringing cheese into one's country from another to sell.
Production Possibilities
A graphical representation that shows the maximum number of goods or services that can be produced with a given set of resources and technology.
Law Of Comparative Advantage
An economic principle that states countries should specialize in producing goods for which they have a lower opportunity cost of production relative to other countries, leading to increased economic efficiency and trade benefits.
Gain From Trade
The benefits that entities receive from exchanging goods, services, or resources with others, often leading to an increase in overall welfare.