What is the journal entry for commenced business with cash?
It is quite simple. In your question two accounts can be reflected, i . e. One is the Real Account i.e. Cash A/c and the another one is representative of personal A/c. i.e. Capital invested by owner of the business.So, when you commence business with cash, you invest money into the business, which receives cash in the form of Capital which a liability to the business according to business entity concept.So, when the cash comes in, we debit the Cash A/c and Credit the capital A/c adhering to the rules of Real Account and Personal Account which says” Debit what comes in whereas credit the giver. The capital invested in the business is a liability to the firm/concern and so it is credited.So the journal entry is:Cash A/c Dr 500To Capital 500(Being the amount brought up in the business as capital)Hope my answer has clarified your question.
Niagara Corporation purchased a one-year insurance policy in January 2010 for $66,000. The insurance policy is?
Niagara Corporation purchased a one-year insurance policy in January 2010 for $66,000. The insurance policy is in effect from March 2010 through February 2011. If the company neglects to make the proper year-end adjustment for the expired insurance Net income and assets will be overstated by $55,000. Net income and assets will be understated by $11,000. Net income and assets will be overstated by $11,000. Net income and assets will be understated by $55,000.
Help with accounting question...James Corporation purchased a one-year insurance policy in January 2010?
James Corporation purchased a one-year insurance policy in January 2010 for $48,000. The insurance policy is in effect from May 2010 through April 2011. If the company neglects to make the proper year-end adjustment for the expired insurance. a. Net income and assets will be understated by $32,000. b. Net income and assets will be overstated by $16,000. c. Net income and assets will be overstated by $32,000. d. Net income and assets will be understated by $16,000.
I feel no sympathy for the homeless because I feel like it is their own fault. Are there examples of seemingly "normal" and respectable people becoming homeless?
I met a gentleman one day while I was walking my dog. Then living in a downtown loft on the edge of a gentrified portion of the city, I met many homeless people. This particular story might help you to understand:“Jim” was nearing his first year of being homeless. Two years before, he was making six figures in the financial industry. He got caught in a layoff and was unable to find a job. His wife left and took the kids and house with her, along with a large portion of their savings. (The retirement account into which he had solely contributed) He lived in his car until he no longer had money to put gas in it to move it around. It finally got towed. He had no other family, nowhere to go, and could not find even a minimum wage job. No phone for call back interviews, or emails. No address. No presentable clothes. That’s how it happens.Now imagine that you are the hiring manager for a company, and see his resume online. It is filled with award-winning accomplishments, but not updated to reflect his current employment situation. You reach out to him. IF HE STILL by some chance has managed to keep a phone, you csll him in for an interview. If you are having trouble being sympathetic for those less fortunate than you, my guess is when you see a disheveled man walk into your office, the interview will be over. If he didn't have a phone in the first place, the interview would have never been scheduled. That's how it perpetuates.Never take your personal good fortune for granted, lest one day you end up with nothing, and need just one break from someone who thinks that because you've fallen on hard times, you are abnormal and no longer respectable.