For journal entries 1 through 10, identify the explanation that mostly closely describes it. a. To record this period’s depreciation expense.
b. To record accrued salaries expense.
c. To record this period’s use of a prepaid expense.
d. To record accrued interest revenue.
e. To record accrued interest expense.
f. To record the earning of previously unearned income.
g. To record cash receipt of unearned revenue.
h. To record cash payment of an accrued expense.
i. To record cash receipt of an accrued revenue.
j. To record cash payment of a prepaid expense.
1. Rent Expense 2,000
Prepaid Rent 2,000
2. Interest Expense 1,000
Interest Payable 1,000
3. Depreciation Expense 4,000
Accumulated Depreciation 4,000
4. Unearned Professional Fees 3,000
Professional Fees Earned 3,000
5. Insurance Expense 4,200
Prepaid Insurance 4,200
6. Salaries Payable 1,400
Cash 1,400
7. Prepaid Rent 4,500
Cash 4,500
8. Salaries Expense 6,000
Salaries Payable 6,000
9. Interest Receivable 5,000
Interest Revenue 5,000
10. Cash 9,000
Accounts Receivable (from consulting) 9,000
11. Cash 7,500
Unearned Professional Fees 7,500
12. Cash 2,000
Interest Receivable 2,000

Alandowner entered into a written agreement with a real estate broker whereby the broker would receive a commission of 10% of the sale price if he procured a "ready, willing, and able buyer" for the landowner's property and if the sale actually proceeded through closing. the broker found a buyer who agreed in writing to buy the property from the landowner for $100,000, the landowner's asking price. the buyer put up $6,000 as a down payment. the agreement between the landowner and the buyer contained a liquidated damages clause providing that, if the buyer defaulted by failing to tender the balance due of $94,000 at the closing date, damages would be 10% of the purchase price. the landowner included that clause because she was counting on using the proceeds of the sale for a business venture that would likely net her at least $10,000. the buyer became seriously ill and defaulted. when he recovered, he demanded that the landowner return his $6,000, and the landowner refused. the broker also demanded the $6,000 from the landowner and was refused. the broker and the buyer filed separate suits against the landowner, with the buyer pleading impossibility of performance. the two cases are consolidated into a single case. how should the court rule as to the disposition of the $6,000?

Ummit record company is negotiating with two banks for a $157,000 loan. fidelity bank requires a compensating balance of 24 percent, discounts the loan, and wants to be paid back in four quarterly payments. southwest bank requires a compensating balance of 12 percent, does not discount the loan, but wants to be paid back in 12 monthly installments. the stated rate for both banks is 9 percent. compensating balances will be subtracted from the $157,000 in determining the available funds in part a. a-1. calculate the effective interest rate for fidelity bank and southwest bank. (do not round intermediate calculations. input your answers as a percent rounded to 2 decimal places.) a-2. which loan should summit accept? southwest bank fidelity bank b. recompute the effective cost of interest, assuming that summit ordinarily maintains $37,680 at each bank in deposits that will serve as compensating balances

University hero is considering expanding operations beyond its healthy sandwiches. jim axelrod, vice president of marketing, would like to add a line of smoothies with a similar health emphasis. each smoothie would include two free health supplements such as vitamins, antioxidants, and protein. jim believes smoothie sales should fill the slow mid-afternoon period. adding the line of smoothies would require purchasing additional freezer space, machinery, and equipment. jim provides the following projections of net sales, net income, and average total assets in support of his proposal. sandwichesonly sandwiches and smoothies net sales $ 750,000 $ 1,350,000 net income 120,000 210,000 average total assets 350,000 750,000 return on assetschoose numerator ÷ choose denominator = return on assets÷ = return on assets÷ = profit margin÷ = profit margin÷ = asset turnover÷ = asset turnover÷ = times