Due to several recent late spring freezes, orange growers in Florida have lost millions of dollars. As a result, some growers have decided to bulldoze their orange groves and put in freshwater lakes for raising shrimp, a product that has a strong popularity and is more weather-resistant. Former orange growers who are now raising shrimp are pursuing a _____ strategy.

On December 31, 20D, the effect of recording an adjustment for interest of $1,200, which had accrued on a note payable would be

A. a decrease in stockholders' equity and decrease in an asset. B. a decrease in liabilities and increase in stockholders' equity. C. a decrease in stockholders' equity and an increase in liabilities. D. an increase in stockholders' equity and increase in an asset.

Frank owned and operated a machine shop. He used the cash method of accounting. At the time of his death in last year, Frank was owed $5,000 for work his shop had performed. This $5,000 amount was paid prior to Frank's estate being settled. The sole beneficiary of the estate is Frank's son Jim, but the $5,000 was not distributed to Jim before the settlement of Frank's estate. The $5,000 must be included in the income of

A. Frank's final income tax return. B. Frank's estate's income tax return. C. The income tax return of beneficiary Jim. D. None of the answers are correct.