Identify the type of adjustment necessary (the type of item involved) and record the transaction for the event. Make sure to include the ending balances after adjustment.
On June 1, Tasty Sausage Corp. borrowed $25,000 from the bank by signing a promissory note from the bank, with 8% interest. The note is due in three months. Interest for June has been incurred but not yet recorded. The interest to accrue for June is $175. The June 30 adjustment is:
Definitions:
Operating Divisions
Distinct segments within a company, each responsible for certain operations or business units.
Fixed Costs
Outlays that do not fluctuate with production or sales figures, such as office rent, salary payments, and insurance policies.
Return On Investment (ROI)
A performance measure used to evaluate the efficiency or profitability of an investment, calculated by dividing the net profit from the investment by its original cost.
Residual Income
The income that remains after subtracting all required expenses, including a minimum target return, from operating income.
Q9: Average rate of return equals estimated average
Q12: If Assets have a balance of $40,000
Q32: Using the following information, list the
Q36: The accounting equation can be expressed as:
Q59: Which of the following is not reported
Q67: Standards are more widely used for nonmanufacturing
Q81: The liabilities that are due to be
Q88: Methods that ignore present value in capital
Q97: Which of the following doesn't result in
Q112: When purchases of merchandise are made for