On the First Day of the Fiscal Year, Hawthorne Company

question 95

Multiple Choice

On the first day of the fiscal year, Hawthorne Company obtained an $88,000, 7-year, 5% installment note from Sea Side Bank. The note requires annual payments of $15,208, with the first payment occurring on the last day of the fiscal year. The first payment consists of interest of $4,400 and principal repayment of $10,808. The journal entry Hawthorne would record to make the first annual payment due on the note would include a

• A) debit to cash for $15,208
• B) credit to notes payable for $10,808
• C) debit to interest expense for $4,400
• D) debit to notes payable for $15,208

Understand the role of leadership styles in managing the balance between concern for people and concern for task.

Recognize the misconceptions related to leadership and leadership attributes.

Understand the concept of followership and its importance in the leadership process.

Understand the basic concepts and different theories of leadership, including trait, behavioral, and contingency theories.

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Definitions:

Cost Leadership Strategy

A business approach aiming to become the lowest cost producer in an industry to offer products or services at competitive prices.

Reducing Expenses

The act of cutting down on costs or spending in order to improve overall financial health.

Market Segments

Subsets of a market made up of people or organizations with one or more characteristics that cause them to demand similar product or service based on qualities of those products.

Product Prices

Product prices are the amounts sellers charge consumers to purchase goods or services.