Answer:
a. There was no breach of the law of demand since your product preference changed after trying the service.
Explanation:
Consumer tastes and preferences significantly influence demand. A person's inclination towards a product determines whether they desire more or less of it, affecting overall demand.
Your preference shifted in favor of the Uber ride over driving yourself, justifying your willingness to pay a higher price, thereby upholding the law of demand.
Answer:
$5,000 Schedule A (Itemized Deductions)
Explanation:
Solution
Recall that:
George's total income amounts to =$5000
Property taxes equal =$3000
Operating costs are =$1500
Depreciation amounts to =$800
Now
Typically, according to the IRS guidelines, expenses incurred from a hobby are only allowable to the extent of the income generated by that hobby. Since a hobby is for personal enjoyment rather than profit, it cannot be classified as business profit and loss
Thus, George's deductible expense for the year totals $5,000 and should be reported on Schedule A (Itemized Deductions).
Answer: Parker Corporation a) Closing Journal Entries: General Journal Description Debit Credit 12/31 Service fees revenue $92,500 Interest income 2,200 Retained earnings 42,700 Income Summary $137,400 to close credit items to the Income Summary. Income Summary $64,700 Salaries expense $41,800 Advertising expense 4,300 Depreciation expense 8,700 Income tax expense 9,900 to close debit items to the Income Summary. b. T-accounts: Debit Credit Service fees revenue $92,500 Adjusted balance $92,500 Income Summary $92,500 Balance $0 Interest income $2,200 Adjusted balance $2,200 Income Summary $2,200 Balance $0 Salaries expense $41,800 Adjusted balance $41,800 Income Summary $41,800 Balance $0 Advertising expense $4,300 Adjusted balance $4,300 Income Summary $4,300 Balance $0 Depreciation expense $8,700 Adjusted balance $8,700 Income Summary $8,700 Balance $0 Income tax expense $9,900 Adjusted balance $9,900 Income Summary $9,900 Balance $0 Retained earnings Adjusted Balance 42,700 Income Summary $42,700 Balance $0 Explanation: a) Data: Parker Corporation Adjusted Account Balances Debit Credit Service fees revenue $92,500 Interest income 2,200 Salaries expense $41,800 Advertising expense 4,300 Depreciation expense 8,700 Income tax expense 9,900 Retained earnings 42,700.
