Учебно-методический комплекс по дисциплине «английский язык»

Вариант 3

1. 
   You borrow from the bank the additional $10,000 that you need. That $10,000 is added both to your cash account under “assets” and to your bank – loan account under “liabilities”. Thus your accounting equation is kept in balance.
   
2. 
   You go to a videocassette shopping and spend $30,000 on the inventory you need. Your assets are thus converted from cash into videocassettes, $10,000 worth of which your creditor, the bank, has a claim on. The other $20,000 worth of cassettes represent owners’ equity. The right side of accounting equation is not affected by the conversion of assets from one form (cash) into another (cassettes).
   
3. 
   In the first month you rent out each of the 1,000 cassettes once, charging $2 per rental, for total revenue of $2,000. You find that it costs you $1,500 to run your shop, including salaries, rent, and $400 of wear and tear on your cassettes. The $500 excess (rental revenues minus expenses), which is your profit, is plouded back into business. Thus it becomes retained earnings and part of your owners’ equity. Earnings retained by the firm consist of the increase in assets (cash and amount due from others) for an accounting period.