2nd EditionDavid Anderson, Margaret Ray1,042 explanations
4th EditionPaul Krugman, Robin Wells312 explanations
7th EditionMichael Parkin, Robin Bade232 explanations
8th EditionN. Gregory Mankiw819 explanations
ACCOUNTINGIn a Harvard Business Review article titled "Why Incentive Plans Cannot Work" (Volume 71, Issue 5) author Alfie Kohn wrote: "Research suggests that, by and large, rewards succeed at securing one thing only: temporary compliance. When it comes to producing lasting change in attitudes and behavior, however, rewards, like punishment, are strikingly ineffective. Once the rewards run out, people revert to their old behaviors... Incentives, a version of what psychologists call extrinsic motivators, do not alter the attitudes that underlie our behaviors. They do not create an enduring commitment to any value or action. Rather, incentives merely—and temporarily—change what we do." 1. Do you agree with this quote? Why? 2. As a manager, how would you seek to motivate your employees? 3. As a manager, would you use financial incentives to compensate your employees? If so, what would be the keys to using them effectively? If not, then how would you compensate your employees? ACCOUNTINGFor the current year, the December 31 balances for Visual Art Center’s balance sheet accounts after adjusting and closing entries have been posted are given below.
$$
\begin{matrix}\text{Account} & \text{Balance}\\\text{Cash} & \mathrm{$21,810.20}\\\text{Petty Cash} & \text{350.00}\\\text{Accounts Receivable} & \text{8,398.80}\\\text{Merchandise Inventory} & \text{190,980.00}\\
\text{Supplies—Office} & \text{1,314.00}\\\text{Supplies—Store} & \text{2,268.00}\\\text{Prepaid Insurance} & \text{1,980.00}\\\text{Accounts Payable} & \text{11,676.50}\\\text{Sales Tax Payable} & \text{1,584.00}\\
\text{Capital Stock} & \text{100,000.00}\\\text{Retained Earnings} & \text{113,840.50}\\\end{matrix}
$$
Prepare a post-closing trial balance.
