Nelson Company Experienced the Following Transactions During Year 1, Its

question 19

Multiple Choice

Nelson Company experienced the following transactions during Year 1, its first year in operation.Acquired $12,000 cash by issuing common stockProvided $4,600 of services on accountPaid $3,200 cash for operating expensesCollected $3,800 of cash from customers in partial settlement of its accounts receivablePaid a $200 cash dividend to stockholdersWhat is the amount of total assets that will be reported on the balance sheet as of December 31, Year 1?

• A)$12,400
• B)$12,600
• C)$13,400
• D)$13,200

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Definitions:

Unplanned Approach

A method lacking predetermined or systematic planning, often leading to spontaneous decision-making.

Independently Negotiated

Terms or agreements that have been discussed and agreed upon directly by the parties involved without external influence.

Comparable-Worth Policy

A principle in employment compensation that argues for equal pay for work of equivalent value, regardless of the job or employee's gender.

Economic Disadvantage

A condition where individuals, groups, or regions lack equal access to economic resources and opportunities, often leading to poverty and inequality.