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Bill's law firm perfumed legal services for a client who could not pay immediately. The business expects to collect $11000 the following month. Later the business received $6600 cash from client.
1. Record the two transactions for Bill Law firm. Include an explanation for each transaction.
2. Open these T-accounts: cash, Accounts receivable, service revenue. Post to all three account, compute each T-account balance and do not as Bal.
3. Answer these question based on your analysis:
a. How much did the business earn? Which amount shows this amount?
b. How much in total assets did the business acquire as a result of the two transaction? Identify each asset and show it balance
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The Corporation had declining sales and rising expenses over the last decade and expects this trend to continue. As a result, company predicts that earnings and dividends will decline indefinitely at a rate of 4 percent per year.
Projected income is $150,000 and 40% of this amount will be paid out immediately as dividends. What will the ending retained earnings account be?
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Consider the following data for a big-screen television distributor, determine how many units must the distributor sell in a given year to break even.
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