A company pays each of its two office employees each Friday at the rate of $100 per day for a five-day week that begins on Monday. If the monthly accounting period ends on Tuesday and the employees worked on both Monday and Tuesday, the month-end adjusting entry to record the salaries earned but unpaid is:

Under the accrual basis of accounting, adjustments are often made for prepaid expenses and unearned revenues.

Successful use of a just-in-time inventory system can narrow the gap between the acid-test and the current ratio.

Operating activities:

Interim financial statements report a company’s business activities for a one-year period.

Speckle Co. has net income of $18,955, and assets at the beginning of the year of $200,000. Assets at the end of the year total $246,000. Compute its return on assets.

The general journal is known as the book of final entry because financial statements are prepared from it.

A company pays each of its two office employees each Friday at the rate of $100 per day for a five-day week that begins on Monday. If the monthly accounting period ends on Tuesday and the employees worked on both Monday and Tuesday, the month-end adjusting entry to record the salaries earned but unpaid is:

On August 31 of the current year, the assets and liabilities of MacBride, Inc. are as follows: Cash $30,000; Supplies, $600; Equipment, $10,000; Accounts Payable, $8,500. What is the amount of equity as of August 31 of the current year?

If a company purchases equipment costing $4,500 on credit, the effect on the accounting equation would be: