Proctor Company Had the Following Transactions

question 116

Multiple Choice

Proctor Company had the following transactions. 1. The owner started the company by investing $8,000 of cash.
2) The company paid $2,000 for six months' rent in advance.
3) The company acquired $3,300 in inventory with two- thirds of the purchase on account.
4) The company sold inventory costing $1,400 for $2,900 on account.
The balance in the Cash account is:

• A) $7,800 debit balance
• B) $4,900 credit balance
• C) $1,600 debit balance
• D) $4,900 debit balance

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Definitions:

Supportive Leadership

A leadership style that focuses on providing encouragement, resources, and assistance to employees.

Contingency Theory

Fred Fiedler’s theory that states that the association between leadership orientation and group effectiveness is contingent on how favourable the situation is for exerting influence.

LPC Measurement

A tool used in the Fiedler contingency model to assess a leader's least preferred coworker, indicating their leadership style.

Vroom and Jago

Refers to the decision-making model developed by Victor Vroom and Arthur Jago that highlights the importance of choosing the best leadership or management style for specific situations.