M. E. Carter launched a professional services firm on March 1. The firm will prepare financial statements at each month-end. In March (its first month), Carter executed the following transactions. 1) Prepare an income statement for Carter Company for the month of March. 2) Enter the effects of each of the transactions a through g using the financial statement effects template. a) Carter (owner) invested in the company, $100,000 cash and $20,000 in property and equipment. The company issued common stock for Carter.

b) The company paid $3,200 cash for rent of office furnishing and facilities for March

c) The company performed services for clients and immediately received $4,000 cash earned.

d) The company performed services and sent a bill for $24,000 with payment due within 60 days

e) The company compensated an office employee with $4,800 cash as salary for March

f) The company received $10,000 cash as partial payment on the amount owed from clients in transaction d).

g) The company paid $935 cash in dividends to Carter (owner).

Sheldon has the following year-end account balances: accounts receivable, $5,000; supplies, $12,000; equipment, $18,000; accounts payable, $17,000; stockholders’ equity, $43,000. the cash account balance was not available at year-end. given the account balances listed, the balance in the cash account should be?

Suppose a firm faces a fixed price of output, 푝푝= 1200. the firm hires workers from a union at a daily wage, 푤푤, to produce output according to the production function 푞푞= 2퐸퐸12. there are 225 workers in the union. any union worker who does not work for this firm is guaranteed to find nonunion employment at a wage of $96 per day. a.what is the firm’s labor demand function? b.if the firm is allowed to choose 푤푤, but then the union decides how many workers to provide (up to 225) at that wage, what wage will the firm set? how many workers will the union provide? what is the firm’s output and profit? what is the total income of the 225 union workers? c.now suppose that the union sets the wage, but the firm decides how many workers to hire at that wage (up to 225). what wage will the union set to maximize the total income of all 225 workers? how many workers will the firm hire? what is the firm’s output and profit? what is the total income of the 225 union workers? [hint: to maximize total income of union, take the first order condition with respect to w and set equal to 0.]

Suppose that a firm is considering moving from a batch process to an assembly-line process to better meet evolving market needs. what concerns might the following functions have about this proposed process change: marketing, finance, human resources, accounting, and information systems?