During 2015, Maverick Law Firm Had the Following Transactions with It

question 135

Multiple Choice

During 2015, Maverick Law Firm had the following transactions with it clients (customers) :
-On February 1, 2015, the company received cash of $5,000 from clients in payment of their account balances as of December 31, 2014.
-On November 1, 2015, the company received $2,000 cash as payments in advance for law services to be performed in 2016.
-The company received a total of $13,000 in cash for law services that were performed during 2015.
-The company sent bills totaling $4,000 to clients for services performed during 2015; this amount was unpaid as December 31, 2015.
-Use the information above to answer the following question.Based on the activities above,as a result of these transactions during 2015,the law firm's stockholders' equity will:

• A) increase by $20,000.
• B) decrease by $5,000.
• C) increase by $17,000.
• D) decrease by $2,000.

Distinguish between the different types of innovations (product and process) and their significance.

Acknowledge the importance of external and internal adaptation processes in organizational survival and growth.

Understand the key differences between common law and the Uniform Commercial Code (UCC) in contractual agreements.

Recognize the legal distinctions between an offer and an invitation to negotiate.