Q11. Sale of merchandise Entity A sold merchandise at the price of $26,000 on account. Prepare a journal entry to record this transaction. A11. Sale
Q10. Purchase of merchandise Entity A purchased 100 units of merchandise at $8,300 on account. Prepare a journal entry to record this transaction. A10. Purchasing
Q9. Cash payment What does a journal entry look like when cash is paid? A9. A decrease in cash is recorded on the credit side
Q14. Profit margin ratio How is the profit margin ratio calculated? A14. Profit margin ratio = Net income / Sales [Entity 14-a] Net income =
Q13. Financial data sources Where can users obtain financial information about entities? A13. Financial information about entities can be obtained from the following sources: (1)
Q12. Statement of cash flows What are the items reported on the statement of cash flows of an entity? A12. Examples of items reported on