2.0 Assume that you are analysing a company with the following cash flows for the next five
years. Assume also that the cost of equity is 13.625% and the firm can borrow long term
at 10%. (The tax rate for the firm is 50%.) The current market value of equity is $1,073,
and the value of debt outstanding is $800.
Year
1
2
3
4
5
Terminal Value
Cash Flow to Equity
50
60
68
76.2
83.49
$1.603.08
Interest (Long Term)
40
40
40
40
40
Cashflow to the Firm
90
100
108
116.20
123.49
$2,363.08
Calculate the present value of equity, the present value of the firm and the weighted average cost
of capital (WACC) (5 Marks).

Today's total land cost at 5%, 7%, and 9% interest rates are $81715.5, $78772.5, and $75991.5, respectively.

In the case of part a:

In the given information:

Payment amount = $45,000

Rate of interest (r) = 5%

Time period (n) = 3 years

Present value of land = [Payment amount * PVF(period, interest rate)]

PVF = present value factor

The formula for calculating PVF is:

PVF = 1/(1+r)n

Substituting the values of the payment amount, interest rate, and time period into the present value formula:

Present value of land today = $45000 * PVF(0, 5%)

PVF = 1/(1+0.05)

PVF = 0.9523

Present value of land today = $45000 * 0.9523

Present value of land today = $42853.5

Present value of land after 3 years = $45000 * PVF(3,5%)

PVF = 1/(1+0.05)3

PVF = 0.8636

Present value of the land after 3 years = $45000 * 0.8636

Present value of the land after 3 years = $38862

The total cost of land = present value of the land today + Present value of the land after 3 years

Total cost of land = $42853.5 + $38862

Total cost of land = $81715.5

In the case of part b:

Rate of interest (r) = 7%

Present value of land today = $45000 * PVF(0, 7%)

PVF = 1/(1+0.07)

PVF = 0.9345

Present value of land today = $45000 * 0.9345

Present value of land today = $42052.5

Present value of land after 3 years = $45000 * PVF(3,7%)

PVF = 1/(1+0.07)3

PVF = 0.8160

Present value of the land after 3 years = $45000 * 0.8160

Present value of the land after 3 years = $36720

The total cost of land = present value of the land today + Present value of the land after 3 years

Total cost of land = $42052.5 + $36720

Total cost of land = $78772.5

In the case of part c:

Rate of interest (r) = 9%

Present value of land today = $45000 * PVF(0, 9%)

PVF = 1/(1+0.09)

PVF = 0.9174

Present value of land today = $45000 * 0.9174

Present value of land today = $41283

Present value of land after 3 years = $45000 * PVF(3,9%)

PVF = 1/(1+0.09)3

PVF = 0.7713

Present value of the land after 3 years = $45000 * 0.7713

Present value of the land after 3 years = $34708.5

The total cost of land = present value of the land today + Present value of the land after 3 years

Total cost of land = $41283 + $34708.5

The total cost of land = $75991.5

Therefore, the total cost of land at different interest rates is:

At 5% interest rate = $81715.5

At 7% interest rate = $78772.5

At 9% interest rate = $75991.5

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Answer:

son 1067 creo xd

Explanation:

creo...

Answer:

Shown below.

Explanation:

A business plan is a written document containing goals, how these goals can be achieved, and details about the nature of the business, as well as background information on the organization. It should present any information that an investor etc. expects to see before providing financing to a business.

Answer:

A business plan is an essential written document that provides a description and overview of a company's plan.

Explanation:

A business plan is used to help manage an organization by stating how something will be achieved and when. A business plan also describes the company's goals.

An opportunity cost to a dairy Farmer​ will be the possible alternative uses of the Dairy farm.

The potential benefits that an individual, investor, or business foregoes when choosing one alternative over another are referred to as opportunity costs. The difference between the expected returns of each option is the formula for calculating an opportunity cost.

Because opportunity costs are by definition invisible, they are easily overlooked. Understanding the potential missed opportunities when a company or individual chooses one investment over another allows for more informed decisions.

Therefore, all other alternative uses of the dairy farm will be the opportunity cost for the Dairy Farmer.

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$2,880,460,000 is the total amount of Five Below's Liabilities plus Stockholders' Equity in the 2021 fiscal year .

A company's obligations or debts that are due within a year or the normal operating cycle are referred to as current liabilities. In addition, a current asset—either cash or a new current liability—is used to settle current liabilities.

On a company's Balance Sheet, current liabilities include accounts payable, accrued liabilities, short-term debt, and other similar debts.

Notes Payable, Accounts Payable, Short-Term Loans, Accrued Expenses, Unearned Revenue, Current Portion of Long-Term Debts, and Other Short-Term Debt are all considered current liabilities.

As current liabilities provides us with a general picture of your company's short-term financial standing and is useful for working capital expenditure planning. A healthy business is typically one with fewer current liabilities than current assets.

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Answer:

To calculate Mr. Dladla's gross profit per day, we first need to calculate his expected monthly revenue and cost:

Expected monthly revenue = 50% of total market share * selling price * number of operating days per month

= 0.5 * 4500 * 500 * 20

= R22,500,000

Expected monthly cost = selling cost * number of operating days per month

= 300 * 20

= R6,000

Gross profit per month = expected monthly revenue - expected monthly cost

= R22,500,000 - R6,000

= R22,494,000

To calculate his gross profit per day, we divide his monthly gross profit by the number of operating days per month:

Gross profit per day = gross profit per month / number of operating days per month

= R22,494,000 / 20

= R1,124,700

Therefore, Mr. Dladla's gross profit per day is R1,124,700.

Explanation:

Compute the book value of the equity:

Book value of the equity=Total assets- (long term liabilities + Current liabilities)

= $2,643,000−($900,000+$392,000)=$1,351,000

Therefore, the book value of equity is $1,351,000.

The book value of the equity should be calculated by deducting the total liabilities from the total assets.

The market value of the equity should be calculated by multiplying the number of shares outstanding by the market price per share.

Compute the market value of the equity:

The market value of the equity = Number of outstanding shares∗Market price per share

= 1,960,000×$3.85

= $7,546,000.00

Thus, the market value of the equity is $7,546,000.

Compute the free cash flow:

Free cash flow = Net income + Depreciation − Capital expenditure − Change in net working capital = $210,600 + $140,000 − $170,000 −($135,000 − $57,000) = $102,600

Therefore, the free cash flow is $102,600.

Compute the discounted free cash flow:

Discounted free cash flow = $102,600 × (11.05) = $97,714.29

Therefore, the discounted free cash flow is $97,714.29.

Compute the enterprise value:

Enterprise value = Market capitalization + Total debt − Cash=(1,960,000 × $3.85) + (900,000 − 276,000) = $8,170,000.00

Thus, the enterprise value is $8,170,000.

Therefore, The book value of the equity is $1,351,000, the market value of the equity is $7,546,000, the free cash flow is $102,600, the discounted free cash flow is $97,714, the enterprise value is $8,170,000.

For more detailed answers refer to the image attached with the answer.

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1. Sources:

According to Consumer Reports, the 1996 Ford F150 has an average fuel economy of 14 mpg, the 1998 Chevy 1500 has an average fuel economy of 15 mpg, and the 2000 Toyota Tundra has an average fuel economy of 16 mpg.

Edmunds rates the 1998 Chevy 1500 as the best overall value for a used truck in this price range, with the 1996 Ford F150 and 2000 Toyota Tundra close behind.

The manufacturer websites confirm the fuel economy ratings reported by Consumer Reports, and provide additional information on engine size and towing capacity.

2. PACED decision-making process:

Justification:

Based on the PACED decision-making process and the information gathered from reliable sources, the 1998 Chevy 1500 appears to be the best option for Brent's business needs. While the Ford and Toyota are also good options, the Chevy has a slightly better fuel economy and is rated as the best overall value by Edmunds. Additionally, it has a higher towing capacity than the Toyota. By choosing the Chevy, Brent is making a wise investment in a reliable and efficient vehicle for his business.

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The complete question goes thus:

1.

Brent called insurance companies and got insurance quotes for the three trucks. Both the 1996 Ford F150 and the 1998 Chevy 1500 were quoted for $250 and the 2000 Toyota Tundra was quoted for $245. To help Brent make his decision gather some more reliable information by using newspapers, or looking at their Web sites, and reviewing consumer magazines and Web sites. Also, look at the manufacturer Web site or www.fueleconomy.gov for information about gas mileage. List the sources you use and include the notes you take from each source.

2.

Use the PACED decision-making process to make the decision for Brent. Show your work.

3.

Justify the final decision you made for Brent

Jerome doesn't pay off his credit card balances every month. He often has to pay interest and finance charges. In this scenario, Jerome is a borrower. Option D is correct.

Corresponds to an individual who borrows money from a creditor with the agreement to pay it back over time, usually with interest. In the case of credit cards, the borrower uses the card to make purchases or get cash advances and then agrees to pay back the borrowed amount plus interest and other fees.

Therefore, Jerome's actions of not paying credit card balances each month and incurring interest and finance charges makes him a borrower.

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A set of businesses in an economy that produce the same good or service is referred to as an industry. An industry producing cement, for instance, is referred to as a cement industry.

Internal economies of scale, which are produced by factors under management's control, are a production efficiency indicator for a corporation. The average cost of doing business decreases when the sector grows as a result of external economies of scale brought about by larger industry advances.

Factors that affect where industries are located include the availability of raw materials, land, water, labor, power, capital, transportation, and markets. In locations where any or all of these components are easily accessible, industries can be found.

In addition to having a detrimental effect on the environment, industrial activities can also cause species extinction, climate change, the depletion of natural resources, and air and water pollution. They provide a threat to the environment on a global scale together with economic and social welfare.

When it comes to fixing cars, trucks, and cycles, for example, the mere fact that a large-scale industry exists on occasion provides employment for small-scale businesses. Small businesses support large-scale industries by providing support services. Because of this, they stand a decent chance of survival.

Many firms being gathered in one area is referred to as localization of businesses. The term "delocalization of firms" describes a situation in which company sites are spread out across multiple regions to minimize localization-related problems.

A country's production consists of its labor force, its capital, and its natural resources. Labor is the collective term for the work that people do to create goods and services. The labor pool from which the economy can draw is thought to include people who either have jobs or wish to have ones.

As a result, there is a decrease in rural-urban mobility and a promotion of national unity. Raw material market: Delocalization creates a market for locally produced raw materials, which supports jobs and income for farmers.

A major contributor to the poisoning of the world's water supply is industry. Illegally dumped contaminated water, gases, chemicals, heavy metals, or radioactive materials into important rivers threaten marine life and the ecology as a whole.

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Answer:

these are the steps:

Explanation:

Step 1: Identification of the need.

Step 2: The description of the product characteristics.

Step 3: Drafting the specifications. Is it necessary to issue a tender ?

Step 4: Supplier sourcing. Step 5: In-depth analysis of applications. ...

Step 6: Preparing for the negotiation.

Answer:

The six steps of the purchasing process are:

Recognition of Need: This is the first step in the purchasing process where the buyer identifies a need for a particular product or service. This can be due to various reasons such as the product being outdated or the buyer has a new requirement.

Information Search: Once the need is identified, the buyer will begin researching to gather information about the available options. This can include searching online, talking to friends and family, or contacting vendors for product details.

Evaluation of Alternatives: After gathering information about the available options, the buyer will evaluate and compare the alternatives based on factors such as price, quality, and features.

Purchase Decision: Once the evaluation is complete, the buyer will make a purchase decision based on the evaluation results. The purchase decision can be influenced by factors such as product availability, price, and the reputation of the vendor.

Purchase: After making the purchase decision, the buyer will proceed to purchase the product or service from the chosen vendor.

Post-purchase Evaluation: After the purchase is made, the buyer will evaluate the product or service to determine if it met their expectations. This can influence future purchasing decisions and the buyer's perception of the vendor's brand.

Explanation:

Option A : Lowering the risk of projected earnings without changing the amount or timing of the projected earnings

Lowering the risk of projected earnings without changing the amount or timing of the projected earnings would undoubtedly favor an increase in the stock , It would make the stock more appealing to investors, increasing demand and driving up the stock price.

This is because investors prefer lower-risk investments and will be willing to pay more for a stock perceived to be lower-risk. Reduced risk of projected earnings would make the stock more appealing to investors, increasing demand and driving the stock price higher.

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Answer:

im doing this for points

Explanation:

Answer:

i cant see the question!

Theories X- illustrate how perceptions might affect managerial style achieving it.

A powerful manager is one who has high expectations for their group or business. These people are incredibly confident and driven. The authoritative leadership style helps a manager to communicate to his or their team the overarching objective and the strategy for achieving it.

My game management is truly a blend of democratic and consultative ways, the manager stated, because I believe in building team morale and making everyone feel that we're on equal footing rather than having them feel like they are working for me.

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Sunshine is a tiny open economy characterized by the following long-run classical equations: Y (real GDP), T (taxes), G (government spending), and NX.

What are some instances of economics?

The traditional economy, which employs a country's customs and history to drive commodity production and distribution, is a well-known example of an economy. Agriculture, fishing, and hunting are important components of traditional economies. The term "economics" is commonly associated with money. Economics is about much more than money. It is the process of considering several options or possibilities. The vast majority of such critical judgments do not include monetary considerations.

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Answer:

b. Losing a job because the company downsizes is most likely to make a person eligible for unemployment benefits. To be eligible, a person must have lost their job through no fault of their own and must be actively seeking work. As long as those two conditions are met, then someone who has lost their job due to a downsizing of the company would be eligible for unemployment benefits.

Answer:

Apple's iPhone is an example of a distractive technology. While it is a powerful tool for communication, productivity, and entertainment, it can also be a source of distraction and addiction for many people.

Explanation:

The iPhone is designed to provide instant gratification through notifications, social media, and other apps that constantly demand our attention. The device's user interface is deliberately designed to be intuitive and engaging, with colorful graphics and animations that encourage users to interact with it for longer periods.

Many people find themselves addicted to their iPhones, checking them constantly for new messages or notifications, even when they should be focusing on other tasks or spending time with loved ones. This constant distraction can have a negative impact on mental health, productivity, and relationships.

Moreover, Apple's App Store is filled with a vast array of apps designed to be addictive, such as social media platforms, mobile games, and video streaming services. These apps are often designed to keep users engaged for longer periods, with features such as endless scrolling, autoplay, and push notifications.

Therefore, while Apple's iPhone is a powerful and useful technology, it can also be a distractive technology that can have negative impacts on our lives if not used in moderation.

Answer:

To complete the tasks a through g in Access, you will need to open the Access_Practice.accdb database in Microsoft Access and navigate to the appropriate screens to create queries and perform calculations. Here are some general steps to follow:

a. Go to the Relationships screen and connect the five tables, enforcing referential integrity. This involves linking the primary keys in one table to the foreign keys in another table, so that the data is consistent and accurate. To do this, you will need to open the Relationships screen, add the tables to the design grid, and create relationships between the appropriate fields. You will also need to enable the "Enforce Referential Integrity" option to ensure that the data is consistent across tables.

b. Calculate the total sales for each customer. To do this, you will need to create a query that joins the Customer and Sale tables, calculates the sum of the sales for each customer, and includes the CustomerID, CompanyName, and calculated sale amount in the results. You can use the "Sale_Amount_Calculation" query to calculate the sale amount for each sale.

c. Generate an email username for each employee. To do this, you will need to create a query that concatenates the first letter of the employee's first name with the first five letters of their last name, and includes the EmployeeID, EmployeeFirstName, and EmployeeLastName in the results.

d. Calculate the total sales for each month. To do this, you will need to create a query that joins the Sale and Product tables, calculates the sum of the sales for each month, and includes the month and calculated sale amount in the results. You can use the DatePart function to extract the month from the SaleDate field.

e. Determine which customer had the highest average sales amount. To do this, you can sort the Total_Customer_Sales query in descending order by the calculated sale amount, and select the top row to find the customer with the highest average sales amount.

f. Calculate the total commission due to each employee. To do this, you will need to create two queries: one that calculates the total sales for each employee (by joining the Sale and Employee tables, calculating the sum of the sales for each employee, and multiplying by 0.05), and another that summarizes the results by employee and includes the EmployeeID and calculated commission amount. You can sort the results in descending order by the commission amount to find the employee with the highest earned commission.

Note that these are general guidelines, and the specific steps may vary depending on the structure and content of the Access_Practice.accdb database. It is important to follow best practices for database design and to test the queries and calculations to ensure they are accurate and reliable.

Explanation:

Answer:

Highly useful. Knowing the flexibility to push back the deadline can help in managing time and resources effectively, and ensure that the test version of the product is delivered on time with high quality.

Explanation:

Executive Summary:

This report provides an analysis of operations management in ZARA and its significant role in the organization's competitiveness. ZARA is a global fashion retailer with a unique business model that focuses on fast fashion, vertical integration, and flexible supply chain management. The company's success is largely attributed to its efficient operations management practices that enable it to deliver high-quality products at affordable prices within a short lead time. The report analyzes ZARA's operations strategy, processes, critical success factors, supply chain management, quality management, and sustainability practices. The report also compares ZARA's operations management with that of its competitors and provides recommendations for improvement.

Introduction:

Operations management is a critical aspect of any organization that involves the design, planning, execution, and control of business operations to achieve the organization's goals and objectives. In today's highly competitive business environment, organizations must adopt effective operations management practices to remain competitive and meet customer needs. ZARA is a global fashion retailer that has revolutionized the fashion industry with its unique business model, which relies on fast fashion, vertical integration, and flexible supply chain management. ZARA's success is attributed to its efficient operations management practices that enable it to deliver high-quality products at affordable prices within a short lead time.

This report provides an analysis of operations management in ZARA and its significant role in the organization's competitiveness. The report analyzes ZARA's operations strategy, processes, critical success factors, supply chain management, quality management, and sustainability practices. The report also compares ZARA's operations management with that of its competitors and provides recommendations for improvement.

Answer:

Executive Summary:

This report aims to explore the concept of operations management in ZARA, a Spanish fashion retailer that has become one of the world's leading fast-fashion brands. ZARA has gained a reputation for being agile, responsive, and innovative in its approach to operations management, which has played a significant role in the company's success. This report will discuss the various strategies and practices that ZARA employs to manage its operations effectively and maintain its competitiveness in the global market.

Introduction:

Operations management plays a crucial role in the success of any organization, particularly in the fast-paced and ever-changing world of fashion retail. ZARA is a prime example of a company that has leveraged its operations management to become a leader in the global fashion industry. ZARA's business model is based on a fast-fashion approach that emphasizes rapid production cycles and a constantly evolving product line.

The success of ZARA's business model is rooted in its ability to manage its operations efficiently and effectively. ZARA's operations management strategies are centered around a few key principles, including vertical integration, agile manufacturing, and just-in-time inventory management. These principles allow ZARA to respond quickly to changes in customer demand, minimize production costs, and maintain a high level of product quality.

This report will provide an overview of ZARA's operations management practices and how they contribute to the company's competitiveness. It will also analyze the challenges that ZARA faces in managing its operations and discuss some of the strategies the company can adopt to overcome these challenges. Ultimately, this report will demonstrate how effective operations management is critical to the success of ZARA and other organizations in the fashion industry.

Explanation:

The segment in the circular flow diagram that relates most directly to the scenario is "Retails them through local shops and electronic outlets." This segment represents the market where the publisher sells its graphic novels to consumers, which includes local shops and electronic outlets throughout the United States. This is the part of the scenario that involves the exchange of goods and services for money between the publisher and the consumers

Options A and B are associated with benefit. Option C is neither cost nor benefit and Option D is cost.

A. Advantage: Tenants don't pay mortgage interest; they merely pay for their utilities. Cost: Tenants do not accumulate equity in the rental property they are using, and over time, their rent may go up. B. Advantage: Homeowners accumulate equity in their homes, which can eventually increase in value. Cost: Property taxes, upkeep expenses, and unforeseen repairs, that may be pricey, are all the responsibility of homeowners. C. Neither a cost nor a benefit. Renters don't get their money back after paying rent. D. Cost: All maintenance expenditures, including regular upkeep, repairs, and replacements, are the responsibility of the tenant. These expenses could come as a surprise and accumulate over time.

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Answer: A. Renters sometimes pay for their utilities but never pay mortgage interest to live in the home they are renting.

Explanation:

Answer:

Dear [Concerned Authority],

I am writing to request a license for my proposed [insert type of business or project]. As per the regulations and procedures outlined by [insert relevant authority or governing body], I have completed all necessary paperwork and requirements for this license application.

My proposed business or project aims to [insert purpose or objective of the business/project] and will provide [insert intended benefits or services]. I believe that obtaining a license for this endeavor will not only benefit me, but also contribute positively to the local community and economy.

I have attached all necessary documents to support my application, including [insert list of supporting documents]. I am also happy to provide any additional information or answer any questions you may have about my application.

I understand that the license approval process may take some time, and I am willing to comply with any additional requirements or conditions necessary to obtain the license. I am committed to conducting my business or project in a responsible and ethical manner that adheres to all relevant regulations and guidelines.

Thank you for considering my application for a license. I appreciate your time and attention to this matter.

Sincerely,

[Your Name]

Explanation:

Insert the names in the square brackets :D

a. Health insurance and 401(k) are two examples of Employer Contributions.

Employer contributions are benefits that employers provide to their employees as part of their compensation package. Two examples of employer contributions are health insurance and 401(k) retirement plans.Health insurance is a valuable benefit that can help employees pay for medical expenses such as doctor visits, hospital stays, and prescription drugs. Employers may offer different types of health insurance plans and may pay a portion or all of the premium for their employees.401(k) plans are a type of retirement savings plan that allows employees to contribute a portion of their salary before taxes. Employers can also make contributions to their employees' 401(k) plans, either through matching contributions or profit-sharing contributions.Overall, employer contributions can help employees save money on essential expenses and plan for their financial futures.

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Answer:

they will have to pay more money in taxes since they have more money.

Explanation:

Well from what I know already the amount of money that someone makes will depend on how much they have to pay for payable taxes, and this means that if they get an increased salary earning, they then have to pay more tax money.

Credit union profits are distributed to members in the form of decreased fees, greater savings rates, and lower lending rates.

What do you mean by profits?

Profit is the money left over after paying for company expenditures. Profit is classified into three categories: gross profit, operational profit, and net profit. The gross profit is the greatest. It displays how much money was left over after paying for the products and services offered. The profit margin ratio, like profits, illustrates how much you receive after deducting your expenditures. The distinction between profit and profit margin is that profit margin is calculated as a ratio or percentage. Profits, on the other hand, are just money quantities.

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The system is in balance, therefore changing any project constraint will have its impact on the other constraints. Since the Resource is at the centre of the project triangle, resource availability is the top priority of the project.

Other constraints may be required to be changed if the project is to meet resource availability compulsorily. Time: Resource availability will have an impact on the project schedule and vice versa. If the schedule is compressed additional resource deployment shall be required to complete the activities in compressed time. Again in this case with resource availability being the top priority and limited, the schedule may be required to increase. Cost: Additional resource deployment will increase the cost which is also known as crashing or in another case if the scope of the project is increased.

As a project manager to maintain the balance, the cost has to be maintained at this level if other constraints do not change.

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Answer:

Here is the updated chart of accounts after the transactions:

Account no. Account Description Debit Credit

101 Cash at bank $14,700

102 Accounts receivable $4,200

110 Office supplies $1,050

120 Office equipment and furniture $4,200

130 Motor vehicles

201 Accounts payable $1,050

210 Bank loan $42,000

301 Share capital $8,000

401 Revenue $11,950

510 Rent expense

520 Electricity expense

530 Advertising expense

540 Bank charges

550 Interest expense

560 Wages expense

Explanation of Transactions:

1/3: Natasha opened a business bank account to begin the business, contributing $8,000 cash in exchange for shares in the company.

Debit: Cash at bank ($8,000)

Credit: Share capital ($8,000)

1/3: The company obtained a bank loan for $42,000. The loan will be repaid in 5 years' time (treat as a non-current liability). The bank has offered the loan interest-free for the first 3 months, so there is no interest on the bank loan for the first 3 months.

Debit: Cash at bank ($42,000)

Credit: Bank loan ($42,000)

15/3: Recorded revenue for the first half of the month of $6,750 deposited to the business bank account as cash and $4,200 on credit.

Debit: Cash at bank ($6,750)

Debit: Accounts receivable ($4,200)

Credit: Revenue ($11,950)

15/3: Purchased a laptop computer at a cost of $3,000 and a new office desk and chair costing $1,200. These purchases were paid by transfer from the business bank account.

Debit: Office equipment and furniture ($4,200)

Credit: Cash at bank ($4,200)

15/3: Purchased office supplies costing $1,050 on credit.

Debit: Office supplies ($1,050)

Credit: Accounts payable ($1,050)

15/3: Hired a new landscape design assistant to help with drafting and finalising landscape designs. The annual salary payable on a pro-rata basis is $44,000. Wages are paid monthly at the end of the month.

Debit: Wages expense ($3,667)

Credit: Cash at bank ($3,667)

Note: The wage expense is calculated as $44,000/12 months = $3,667 per month.

Explanation: