On March 31, 2015, Cars, Inc. owes Preston Devices, one of its suppliers, $25,000 for previous purchases. During April 2015, Preston sells Cars devices with a sales price of $10,000 and a cost to Preston of $8,000. During April, Cars pays Preston $12,000 against the amount owed to Preston. What is the effect of these April transactions on Preston's balance sheet?

March 31, outstanding debt $25,000

During April $10,000 more merchandise is sold to Cars inc. (COGS $8,000)

Cars paid $12,000 to Preston to lower its accounts payable

On March 31, Preston's balance sheet showed an accounts receivable of $25,000.

On April 30, the accounts receivable balance is $23,000, the cash balance increased by $12,000 and retained earnings should increase by $2,000.

The income statement should show an increases in sales revenue of $10,000 - $8,000 COGS = $2,000 profit (which increases retained earnings).

start by isolating the variable on one side by adding 43w^2 to both sides.   the equation will read:

25w^2+5=0

*subtract 5 from both sides*

25w^2=-5

*divide both sides by 25*

w^2=-1/5

*take the square root of both sides*

w=√(-1/5)

the square root of -1 is i.   the square root of 5 remains √5

the answer is i/√5.

hope this

answerplace value;