A Sole Proprietorship Has the Following Transactions: the Business Received $$\begin{array} { r | r r } 600 & 600 & \\&3,000 & \\\hline & 3,000& \mathrm { Bal. } \\\hline\end{array}$$

question 104

Multiple Choice

A sole proprietorship has the following transactions: The business received $20,000 cash from the owner in exchange for capital.
The business purchases $600 of office supplies on account.
The business purchases $3,000 of furniture on account.
The business performs services to various clients totaling $11,000 on account.
The business pays out $3,000 for salaries expense and $4,500 for rent expense.
The business pays $600 to a supplier for the office supplies purchased earlier.
The business collects $2,000 from one of its clients for services rendered earlier in the month.
At the end of the month,all journal entries are posted to the ledger.Accounts Payable will appear as
Which of the following?

• A) Accounts Payable \[\begin{array} { r | r r }
• 600 & 600 & \\
• &3,000 & \\
• \hline & 3,000& \mathrm { Bal. } \\
• \hline
• \end{array}\]
• B) Accounts Payable \[\begin{array} { r | r r }
• \hline & 600& \\
• & 3,000 & \\
• \hline & 3,600 & \mathrm { Bal. } \\
• \hline
• \end{array}\]
• C) Accounts Payable \[\begin{array} { l | r | r }
• & 600 & \\
• & 3,000 & \\
• & & 600 \\
• \hline \text { Bal. } & 3,000 & \\
• \hline
• \end{array}\]
• D) Accounts Payable \[\begin{array} { r | r r }
• & 600& \\
• & 3,000& \\
• &600 & \\
• \hline & 4,200 & \mathrm { Bal. } \\
• \hline
• \end{array}\]

Apply the principle of marginal analysis to determine the optimal quantity of an activity or good.

Identify the relationship between marginal benefit, marginal cost, and the maximization of total benefits.

Assess the effect of external changes (such as price changes or external costs) on the perceived benefits and costs associated with an activity.

Distinguish between constant, increasing, and decreasing marginal costs and benefits.

---

Definitions:

Concurrent Federal Jurisdiction

The situation where both federal and state courts have the authority to hear and decide cases on the same issues.

Admiralty

Relating to maritime law, which governs nautical issues and private maritime disputes.

Treaties

Formal agreements between two or more sovereign states governed by international law.

Antitrust

Legislation enacted to increase competition in the marketplace by preventing monopolies, anti-competitive practices, and other unfair business tactics.