A Company Purchases A Piece Of New Equipment. Explain The Impact Of The Purchase On The Income Statement, Balance Sheet, And Statement Of Cash Flows.

Answers

Answer 1

The impact of the purchase on Income statement:

The income statement is the financial statement that shows a company's revenues, expenses, and profits or losses over a given period. If a company purchases a piece of new equipment, it will increase its expenses. These expenses are likely to be categorized as depreciation, which represents the decrease in the value of an asset over time. This decrease in value reduces the company's profits and, thus, lowers its net income.

The impact of purchase on Balance sheet:

The balance sheet is the financial statement that shows a company's assets, liabilities, and equity at a specific point in time. When a company purchases new equipment, it increases its assets and its liabilities. The asset account is increased because the new equipment is a tangible asset that will generate future economic benefits. The liability account is increased because the company probably borrowed money to pay for the new equipment. If the company paid for the equipment in cash, then there would be no increase in liabilities.

The impact of purchase on Statement of cash flows:

The statement of cash flows is the financial statement that shows a company's cash inflows and outflows over a given period. When a company purchases new equipment, it decreases its cash balance, which is a cash outflow. This outflow is categorized as an investing activity because it involves the purchase of a long-term asset. The purchase of the new equipment also affects the cash flows from operating activities because it increases the amount of depreciation expense, which is added back to net income to calculate cash flow from operating activities.

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Related Questions

During the proofreading task of the completion stage of a business message, be sure to
O add hyperlinks to change the style of the message.
Oplan the printing and distribution of the message.
O rewrite to clarify any confusing content.
O review for errors in writing, design, and layout.

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Answer:

Review for errors in writing, design, and layout.

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Here's what your looking forHope it helps and I just found it on my research

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Capitalization of interest for the construction of long-lived assets is limited to interest arising from actual borrowings fromA. owners.B. stockholders.C. outsiders.D. the board of directors.

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To capitalize interest related to the construction of long-lived assets, it is necessary to have actual borrowings from outsiders, such as banks or bondholders, that can be directly linked to the cost of the asset being constructed.

The capitalization of interest is an accounting practise in which interest expenses incurred throughout the building of long-lived assets are added to the asset's cost rather than expensed in the period in which they are incurred. This leads in a greater asset cost, which is subsequently depreciated throughout its useful life, rather of the interest expenditure immediately reducing the company's profit in the period in which it is incurred.

However, interest can only be capitalised if it is derived from actual borrowings, such as loans or bonds issued by the company. This means that only interest expenses incurred as a result of outside borrowings can be capitalised, not interest expenses incurred as a result of internal sources of financing, such as capital contributions from owners or stockholders.

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The correct answer  is C. The capitalization of interest for the construction of long-lived assets is limited to interest arising from actual borrowings from outsiders, meaning individuals or entities outside of the company or organization undertaking the construction project.

Capitalization of interest refers to the practice of including interest expenses in the cost of a long-term asset, such as a building or piece of equipment, instead of expensing them immediately. This helps to better match the expenses with the revenue generated by the asset over its useful life.

However, not all interest expenses are eligible for capitalization. Only interest expenses arising from actual borrowings for the construction project are eligible, while interest expenses arising from other sources such as loans from owners or stockholders are not eligible for capitalization. This is because borrowing from outsiders provides a more objective measure of the actual cost of financing the construction project.

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What is the difference between an authoritarian and a democratic manager?

Answers

Answer:

Autocratic leadership has only one person that has the authority to make decisions and takes very little to no inputs from other groups, Democratic leadership allows everyone to participate in decision making.

Explanation:

Authoritarian leadership, also known as autocratic leadership, is a management style in which an individual has total decision-making power and absolute control.

Democratic management involves managers reaching decisions with the input of the employees but being responsible for making the final decision.

which of the following would cause the aggregate demand in franklandia to increase? a the stock market in franklandia is losing value. b the central bank of franklandia is increasing the money supply. c exports to foxystan are falling. d personal income tax rates are rising in franklandia. e the aggregate price level in franklandia is falling.

Answers

The French central bank is expanding the available currency. (Choice c)

How would you define the money supply?

The total quantity of cash, coins, including balances in checking accounts existence is known as the money supply. The supply of money is typically understood as a collection of secure assets that individuals, businesses, and governments may utilize to make a payment or hold as brief investments. The entire amount of money that the public holds at a specific time is referred to as the money supply in macroeconomics. There are many ways to define "money," but common measurements often include circulation-level money and demand deposits.

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Of all of the emerging industries, choose one or two and discuss why you think this industry is so up and coming in the world. Would you ever want to work in this industry? Why or why not?
(THIS IS CRITICAL THINKING!!!)

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One emerging industry that is rapidly gaining attention and investment is the field of renewable energy. With concerns over climate change and a global push for sustainability, the renewable energy industry is seeing significant growth and is expected to continue expanding in the coming years.

Renewable energy encompasses a variety of sources, including solar, wind, hydro, geothermal, and biomass, and offers numerous benefits. For one, it reduces our reliance on nonrenewable resources, such as oil and gas, which are finite and emit harmful pollutants when burned. Renewable energy sources, on the other hand, are clean and emit little to no greenhouse gases, making them a more environmentally-friendly option.

In addition, the renewable energy industry is creating jobs and stimulating economic growth. As more companies invest in renewable energy, new jobs are being created in areas such as installation, maintenance, and research and development. This can also lead to the growth of local economies as companies establish new facilities and infrastructure.

Personally, I would be very interested in working in the renewable energy industry. I believe that it is a rapidly growing field that is making a positive impact on the environment and our society. Working in this industry would allow me to contribute to the development of new technology and solutions to the challenges we face related to energy and climate change.

Another emerging industry that is gaining attention is the field of artificial intelligence (AI). AI is rapidly changing the way we live and work, with applications in fields such as healthcare, transportation, and finance. AI technologies, such as machine learning and natural language processing, are being developed to automate tasks, improve efficiency, and enable new capabilities.

However, the growth of AI also presents challenges and concerns, such as the potential for job displacement and the ethical implications of using AI in decision-making processes. As such, the industry is still in a period of rapid evolution and uncertainty.

Personally, I find the field of AI fascinating and believe it has the potential to make significant positive impacts on society. However, I am also mindful of the potential risks and ethical considerations involved in developing and deploying AI technologies. As such, if I were to work in this industry, I would want to ensure that I am contributing to the development of responsible and ethical AI solutions.

Of all of the emerging industries, choose one or two and discuss why you think this industry is so up and coming in the world. Would you ever want to work in this industry? Why or why not?(THIS IS CRITICAL THINKING!!!)

Write the definition in your own words
_________________________________________________________________________________________________________

Income Statement:

_________________________________________________________________________________________________________


_________________________________________________________________________________________________________

Accounting Period:

_________________________________________________________________________________________________________

Time-Period Principle:

_________________________________________________________________________________________________________


_________________________________________________________________________________________________________


_________________________________________________________________________________________________________

Matching Principle:

Answers

Income Statement corresponds to the statement of income and expenses related to organizational activity and profit and loss for a period.

An Accounting period refers to a period of time, such as a year, a month, a quarter, in which the situation of the company in relation to its accounting at that moment will be analyzed.

The Time-period Principle refers to the standard by which a company usually analyzes its financial results, with annual, quarterly and monthly statements being common.

The Matching Principle, on the other hand, refers to recording an expense in the same period of recording the related revenue, to generate greater structuring and reliability in the statements.

What is the purpose of accounting?

It is the registration and organization of a company's financial resources for greater control over assets. Through accounting sciences, a company can recognize its real situation in the market, enabling decision-making more aligned with its objectives, in addition to demonstrating security for stakeholders.

Therefore, accounting is an essential instrument for controlling financial resources, helping a company to be well positioned in the market.

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In 2019, national saving in Korea equaled 34.8 percent of GDP, and domestic investment equaled 30.0 percent of GDP. Source: International Monetary Fund, "World Economic Outlook Database," March 2021. a. Calculate net foreign investment in Korea as a percentage of GDP. Net foreign investment in Korea as a percentage of GDP equals percent of GDP. (Enter your response rounded to one decimal place.) b. Can we say with certainty whether in 2019 the Korean government was running a surplus or a deficit? A. No, to determine if the government was running a surplus or a deficit, we would need information on private saving. B. No, we would need to know whether the country was exporting more than it was importing, or vice versa, in order to make this determination. C. Yes, if we substitute the values above into the saving and investment equation, it yields a positive number, indicating the government was running a surplus. D. Yes, if we substitute the values above into the saving and investment equation, it yields a negative number, indicating the government was running a deficit.

Answers

Answer:

Explanation:

In 2019, national saving in Korea equaled 34.8 percent of GDP, and domestic investment equaled 30.0 percent

Explain five steps in product design for a business

Answers

Explanation:

Five phases guide the new product development process for small businesses: idea generation, screening, concept development, product development and, finally, commercialization.

two regional ________ have shut down amid a nationwide financial slowdown.

Answers

Answer:

This makes the Great Lockdown the worst recession since the Great Depression, and far worse than the Global Financial Crisis.

A basic concept in economics is that all resources are
O scarce.
• allocated.
valuable.
O renewable.

Answers

A basic concept in economics is that all resources are scarce. Thus, option a. is the correct answer.

Explain about the basic concept about the economics.

Every person's life includes doing economics on a regular basis in addition to studying it. It serves as a means of balancing the inputs and outputs of money. Whatever it is, one should prepare before the month or count at the end of the month or year, whether it is a small family, a large family, a small commercial enterprise, or a giant organisation. Economics seeks to strike a balance between the unending demands and the finite resources.

After saying this, we'll start talking about the topic of "economics." The pupils who are just beginning their studies in commerce in class XI will find this subject extremely interesting. In essence

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Answer:

Option A  scarce

Explanation:

Licensees can generally rely on the statements of the seller (such as in a Seller Disclosure Statement) unless the licensee has reason to believe the information is not true. (T/F)

Answers

Licensees can typically rely on the statements of the seller (such as in a Seller Disclosure Statement) unless the licensee has reason to consider the information is not true. This statement is true.

A licensee is some entity that has been granted permission to conduct activities using something that another party owns or controls. The licensee may pay the licensor for permission, or share revenue arising from activities arising from the permission. Licensing agreements are common in several sectors, including media, entertainment, technology, and bio-pharma. An operating license grants the license the legal capacity to conduct business.

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1. Which is an example of fiscal policy?

A. preventing unions from going on strike

B. raising taxes in order to cover a budge deficit

C. Restricting the amount of money that banks can lend

D. increasing the level of minimum wage


2. Which is an example of fiscal policy?

A. decreasing the interest rates on loans charged to car companies

B. deploying troops to help citizens cope with natural disaster

C. going into debt to buy a large number of vehicles

D. limiting the number of foreign cars that can be sold in the United Stats

Answers

The correct answer is a

Answer:

A. decreasing the interest rates on loans charged to car companies

Present value of a complex stream) Don Draper has signed a contract that will pay him $80,000 at the end of each year for the next 6 years, plus an additional $100,000 at the end of year 6. If 8 percent is the appropriate discount rate, what is the present value of this contract? a. What is the present value of $80,000 at the end of each year for the next 6 years if the discount rate is 8 percent? $ (Round to the nearest cent.)

Answers

The present value of a contract that will pay $80,000 annually for 6 years, along with an additional $100,000 at the end of year 6, using an 8 percent discount rate. It also specifically asks for the present value of $80,000 at the end of each year for the next 6 years if the discount rate is 8 percent.

The present value of the contract, we need to find the present value of each cash flow and sum them up. The cash flows consist of $80,000 received annually for 6 years, and an additional $100,000 received at the end of year 6. Since the discount rate is 8 percent, we can use the present value formula to calculate each cash flow and then sum them:

Present Value of $80,000 for 6 years = $80,000 / (1 + 0.08)^1 + $80,000 / (1 + 0.08)^2 + ... + $80,000 / (1 + 0.08)^6

Present Value of $100,000 at the end of year 6 = $100,000 / (1 + 0.08)^6

Calculating these values and summing them will give us the present value of the contract.

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which of these is mos likely outcome of a financial crisis

Answers

Answer:

More bankruptcies

Explanation:

Financial crises are caused by number of reasons such as stock market crash, liquidity shortage, over-valued assets which make investors sell off their investments hence causes panic withdrawals for customers due to rumored banking collapse etc.

When financial crises occur, the profit due to firms will be eroded because the revenue expected by them is not coming forth. Moreso, the overall corporate profit would also be affected by the financial crises hence bring about loss and subsequent bankruptcies.

Financial crises creates unemployment or massive lay-offs, loss of money hence increase chances of creating more bankruptcies.

in what ways do you benefit from living in a country with a mixed economic system that leans more toward a market economy?

Answers

The benefit of a mixed economy examine efficient production and allotment of resources, as well as betterment of social benefit or welfare.

What is a market economy?

A market economy is defined as an economic system where the supply and demand forces determine how any commodities are produced.

These economies are not ruled by a central authority and instead rely on voluntary exchange.

These markets coexist with authorities participation, and private business firm coexist with public undertakings in an amalgamated economic system.

Therefore, the advantages of a mixed economy include more efficient production and resource allocation, as well as improved social benefit.

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the eisp component of provides informatino on the importance of infosec in the organization

Answers

The EISP component provides information on the importance of information security in the organization - True

Information on the significance of information security in the organisation is especially provided by the EISP (Enterprise Information Security Policy) component. The organization's general approach and structure for information security are described in the EISP, a policy document. Information security-related high-level declarations, objectives, duties, and recommendations are frequently included.

Even while the EISP may discuss the value of information security within the company, its main goal is to offer a thorough and organized framework for managing and protecting information assets. It assigns roles and duties, outlines procedures, and lays the basis for establishing and maintaining efficient information security practises across the organisation. It also defines the organization's security goals.

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Complete Question:

The EISP component provides information on the importance of information security in the organization - True/False

Cash is an _____.
A) asset
B) expense
C) none of the above

(question is from small business entrepreneurship A)

Answers

A. Asset

Explanation:

-asset is a useful or valuable thing

If you knew nothing about your data except that it is a scale variable, which measure of central tendency would be the "safest bet"?

Answers

Answer:

Median

Explanation:

The scale variable refers to a variable in which it could be measured and contains a numerical value

In case when you dont know about the data except for scale variable so the safest bet for measuring the central tendancy should be median as it derives the mid-value of the given set of numbers

So here the median should be considered

Post-secondary education is

Answers

DescriptionTertiary education, also referred to as third-level, third-stage or post-secondary education, is the educational level following the completion of secondary education.

The bodies of fish are streamlined to reduce drag in the water, which helps save energy for other activities besides swimming.

which type of adaptation does this statement describe?

a. reproductive
b. structural
c. chemical
d. behavioral

Answers

The statement describes a structural adaptation of fish. Structural adaptations are physical features of an organism that have evolved to help them survive and thrive in their environment.

In the case of fish, their streamlined bodies have evolved to help reduce drag and increase their swimming efficiency, which ultimately saves energy that can be used for other activities like hunting, avoiding predators, or migrating. This adaptation is essential for fish to survive in their aquatic habitat, and it shows how natural selection favors the individuals that possess beneficial physical traits. In summary, the streamlined body of fish is a structural adaptation that has evolved over time, and it plays a crucial role in their survival and success in their aquatic environment.

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FILL IN THE BLANK. A person understating income or claiming personal expenses as business expenses is guilty of _____.
a. bait and switch
b. skimming
c. scaling

Answers

A person understating income or claiming personal expenses as business expenses is guilty of skimming. The answer is b.

Skimming refers to the illegal practice of diverting funds or concealing income to avoid paying taxes. It typically involves manipulating financial records to understate the true income received or inflating expenses by claiming personal expenses as business expenses.

Skimming can occur in various contexts, such as in small businesses, self-employment, or even large corporations. By engaging in skimming, individuals or entities aim to reduce their tax liabilities by underreporting their income or artificially inflating their business expenses.

It is important to note that skimming is an illegal activity and can result in severe penalties, including fines and criminal charges. Tax evasion undermines the integrity of the tax system and can lead to significant financial and legal consequences for those involved. Hence, b. is the right answer.

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PLEASE HELP ME!! please, please,, please explain how you got it, thank you

PLEASE HELP ME!! please, please,, please explain how you got it, thank you

Answers

Answer:

I think the second one.

1/10 cookies per pizza

16. While company policy determines how often an employee performance review is conducted,
standard times for reviews typically range from once every
to

Answers

Standard time for employee performance reviews typically range from once every six months to once a year, and they are important for evaluating employee performance and providing feedback

While company policies can vary, the standard times for employee performance reviews typically range from once every six months to once a year.

These reviews are an important tool for employers to evaluate employee performance, provide feedback and identify areas for improvement.

Conducting regular performance reviews helps to establish clear expectations, set goals and provide opportunities for professional development.

The frequency of reviews can depend on factors such as the size of the company, the nature of the job, and the level of experience of the employee.

Some companies may conduct performance reviews more frequently for new employees or those in more critical roles, while others may opt for annual reviews for all employees.

Regardless of the frequency, regular performance reviews are essential for fostering employee growth and development, and for maintaining a productive and motivated workforce.

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The complete question is :

16. While company policy determines how often an employee performance review is conducted, standard times for reviews typically range from once every six months to once a year?

Creation of an advertising campaign for tony's pizza that will appeal to 6- to 12-year-olds is best described as what part of the final step in the marketing research approach, to take marketing actions? multiple choice question. Make action recommendations forecast the results implement the action recommendations evaluate the decision

Answers

The ultimate step within the promoting inquire about approach is to require showcasing activities based on the discoveries of the inquiry. This step includes executing the activity recommendations that have been created based on the investigate discoveries.

Within the case of Tony's Pizza, the showcasing inquire about may have uncovered that there's a critical advertise section of 6- to 12-year-olds who are fascinated by pizza. Based on this finding, the promoting group may have created an activity proposal to form an publicizing campaign that particularly targets this age bunch.

By and large, the usage of activity proposals may be a basic step within the showcasing investigative approach since it empowers the organization to put its investigative discoveries into activity and accomplish its showcasing goals. 

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how often will you complete the two initiating processes

Answers

Two primary processes are included in the initiating process group: developing the project charter and identifying project stakeholders.

While developing the project charter is typically done only once, if your organization requires it, you can create a charter at each phase of the project. Identifying project stakeholders occurs throughout the project, but it should occur as early as possible.

When a project is formally approved and assigned to a project manager, it enters the initiating process group.

A project charter will typically also include:

Resources neededStakeholders of importanceA high-level timeline with important datesA rough cost estimateAny risks, issues, or dependencies that are known.

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Would you be a good manager? Do a self-assessment that includes your current technical, human relations, and conceptual skills. What skills do you already possess, and which do you need to add? Where do your strengths lie? Based on this exercise, develop a description of an effective manager.

Answers

An effective manager typically has strong technical skills, which allows them to understand and manage the work being done by their team. They also possess strong human relations skills, which allow them to communicate effectively with their team and build positive relationships.

What is human relations?

Generally, conceptual skills are important for managers, as they allow them to understand and manage the big picture and make strategic decisions.

An effective manager also typically possesses strong leadership skills, including the ability to set clear goals and priorities, delegate tasks effectively, and provide feedback and support to team members. They are also able to make difficult decisions, resolve conflicts, and motivate their team to achieve success.

In summary, an effective manager possess a combination of technical, human relations, and conceptual skills, as well as strong leadership abilities. They are able to effectively lead a team and make strategic decisions to drive success.

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3. ______ are defined as goods or services that are required for health and safety.

Answers

Occupational Health and Safety are defined as goods or services that are required for health and safety. Information standards are guidelines governing the information that must be provided to consumers when they purchase specific goods.

What is the safety of goods?

A safe product is one that delivers either no risk or a minimum tolerable level of risk, taking into account the product's typical or reasonably foreseeable use and the need to maintain a high level of consumer protection.

Occupational health and safety is a multidisciplinary discipline that deals with all elements of workplace health and safety, with a heavy emphasis on preventing workplace dangers.

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If you have $600 and you find an investment that annually yields 3%, how much interest would you earn in 15 years?

Answers

Answer:

$270.00 in 15 years

Explanation:

3% of $600 = $18.00 annually

$18.00 x 15 years = $270.00 interest earned

FILL IN THE BLANK. _____ is key to successful employment, readiness, and use of reserve component forces.

Answers

Predictability is key to successful employment, readiness, and use of reserve component forces.

The job success itself determines how predictable a job outcome will be. For a job to be successful, predictability is crucial. Every business strives for success that is predictable. The level of predictability refers to how accurately a system's condition may be predicted or foreseen, either qualitatively or statistically. Predictability is closely related to causal determinism. Perfect prediction necessitates rigorous determinism, while imperfect predictability need not be the opposite of determinism.

The use of predictability metrics enables teams to make more precise predictions about the consistency and completion of their work items.

Having a sense of predictability and regularity can aid in boosting emotions of safety and security in children and people with severe and profound intellectual impairment.

We frequently feel safer when we have a feeling of regularity, and predictability may have a significant influence on mental wellness.

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what 12.06 x -4 help me Some students are going on a field trip. The cost of the trip is $100, in addition to $7per student. Write an equation that relates the total cost of the trip, C, to the number of students attending,n. If k is an integer, what is k + 1/2!? Why? a circular coil of radius 5.0 cm is wound with five turns and carries a current of 5.0 a. if the coil is placed in a uniform magnetic field of strength 5.0 t, what is the maximum torque on it? ted is selling his home near a golf course. his agent provides a prospective buyer with the booklet residential environmental hazards: a guide for homeowners, buyers, landlords, and tenants. ted happens to know that pesticides used on the golf course can sometimes drift into his open windows if the wind is right, causing his whole family to have trouble breathing. does he need to disclose this? what (2/3+32/4)2512,5 =........? When sailing close-hauled, towards an upwind destination, if the leeward telltale is fluttering or drooping, what would be the best course of action? The graph below shows the amount of money that Scott has to pay for extra labor for someone to help him work on his property. He hired his nephew to work after school and on weekends. Scotts Funds for Extra Labor Money Available (dollars) Time Worked (hours)Which statement correctly describes the graph?ResponsesA Scott pays his nephew $15 per hour, and he initially had $900 for extra labor.Scott pays his nephew $15 per hour, and he initially had $900 for extra labor.B Scott pays his nephew $10 per half-hour, and he initially had $900 for extra labor.Scott pays his nephew $10 per half-hour, and he initially had $900 for extra labor.C Scott pays his nephew $10 per hour, and he initially had $900 for extra labor. Scott pays his nephew $10 per hour, and he initially had $900 for extra labor. D Scott pays his nephew $20 per hour, and he initially had $900 for extra labor. Which of the following statements is correct: Group of answer choices Employers correctly judge individuals on the basis of average group characteristics. Women are paid the same as men, for the same work. The science club and the French club both ordered pizzas for their end-of-year banquets. After the banquets, the science club had 1 1/4 pizzas leftover and the French club had 2 5/24 pizzas leftover. Between the two clubs, how many total pizzas were leftover?A. 23/24B. 1 1/4C. 3 1/4D. 3 11/24 Garrett rides his bike for 8 miles in 76 minutes. How long will it take him to ride his bike 20 miles? Weeks of Which is the better deal? Sholle collected fix any errors in these proposed electron configurations. number of electrons in atom configuration: 31 proposed electron: 1s^2 2s^2 2p^6 2d^10 3s^2 3p^6 3d^1 4s^2 If a whole pizza is cut into slices, and each slice is 1/5 of a pizza. How many slices are there? why bonding of water molecule called a pure L45:36A given line has the equation 10x+2y=-2What is the equation, in slope-intercept form, of the line that is parallel to the given line and passes through thepoint (0, 12)?O y=-5x+12O 5x+y=12O y-12=5(x-0)5x+y=-1Mark this and returnSave and ExitNextSubmit who can answer my graphing questions for me need help What is the position at 2 seconds? 25. Use a graph of the function f(x) = -2x - 3 to find the value of y when x = -4, Whoever Gets this awnserd correctly will get brainilest and all of my points! I have over 100 . Descriptions1.2.A. EarthquakeEpicenter1.B. Active2.Volcano1.C. Mountain2.Range I need Help with this Matching assignment