A customer buys a company product on the internet for $1,000 with bitcoins. At the end of the year he bit coins are worth $5,000. The company's income statements show sales of $1,000. Why?
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A customer buys a company product on the internet for $1,000 with bitcoins. At the end of the year he bit coins are worth $5,000. The company's income statements show sales of $1,000. Why?
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- If a company accepts credit cards, they must record the expense on their books. Please prepare the journal entries for the following scenario: Company A sells $480,000 on credit card sales. The credit card charges a 4.5% fee for the use of the card. The card company also deposits the cash into the company’s bank account the same night as the credit cards are accepted.Solve the following ledger please 1. We buy goods on credit for $30,000.00, we pay 50% in cash, and the rest on credit. 2. We buy goods on credit for $150,000.00, we pay 50% in cash, 30% on credit and for the rest we sign a document. 3. On March 1, 2005, we bought merchandise for $65,000.00 and signed a document, for which they will charge us 1% per month. we paid on May 31, 2005. 4. On February 1, 2005, we took a loan from BBVA for the amount of $230,000.00, signing a promissory note at 17% per year for 60 days. the document was paid on March 31, its expiration date. (document with interest and document with discounted interest). 5. On June 1, 2004, we requested a loan from Mr. Adolfo López in the amount of $320,000.00, and we signed a promissory note at 15% per annum for 6 months. (both methods). 6. On July 1, 2004, we accepted a document from "Abarrotera Novoa" for $37,800.00, payable on December 31 of the same year. In October, our company requires liquid resources, so we…Tom&Dick sells computer software. All credittransactions are done through credit cards, so there is a100% probability of receiving the money, but there is await of up to 10 days while the transaction is beingprocessed. When Tom&Dick prepares financialstatements at the end of its first business year, it should*a. exclude accounts receivable, because customersmay not pay b. include accounts receivable as an assetbecause of the matching principle c. exclude accountsreceivable as the amount is variable with interest ratesd. include accounts receivable as an asset because ofthe cost principle e. none of the above
- You and several classmates are studying for the next accounting examination. They ask you to answer the following questions: 1.If cash is borrowed on a $70,000, 9-month, 10% note on July 1, how much interest expense would be incurred by December 31? 2.The cash register total including sales taxes is $42,000, and the sales tax rate is 5%. What is the sales taxes payable? 3.If $60,000 is collected in advance on November 1 for 6-month magazine subscriptions, what amount of subscription revenue should be recognized on December 31?XYZ Inc offers a gift set to customers who send in $1.07 plus three coupon codes obtained from the purchase of the company's standard products. That is, a customer purchases three standard products which come with a coupon each, sends everything in along with the cheque for the amount above, and receives the gift set in the mail a few weeks later. During the year, the company acquired an adequate number of gift sets for $2.55 each using cash to meet the promotion's demand. During the year, the company sold 1,031,460 of its standard products for $4.03 each. The company estimated that 10% of the sales amount received from customers would relate to the gift set to be awarded. The company would expect 33.35% of the coupons to be sent in eventually, and, during the year, 247,550 coupons were redeemed. If the company followed IFRS using the revenue approach, how much promotion expense would be recorded for the year for the redeemed coupons? O a. $122,125 O b. $119,072 $116,018 O d. $125,178…4. Stan has a bank account that earns him 0.05% each year. He wants to know how much money he will have in 5 years from a deposit made today. Inputs Process Outputs Pseudo Code: 1. Desk Check
- Your client wants to transfer $500 from their chequing account into a savings account to cover tax liabilities for sales made last month.Where should they start the process?An accounting firm agrees to purchase a computer for $110,000 (cash on delivery) and the delivery date is in 270 days. How much do the owners need to deposit in an account paying 0.85% compounded quarterly so that they will have $110,000 in 270 days?XYZ Inc offers a gift set to customers who send in $1.11 plus three coupon codes obtained from the purchase of the company's standard products. That is, a customer purchases three standard products which come with a coupon each, sends everything in along with the cheque for the amount above, and receives the gift set in the mail a few weeks later. During the year, the company acquired an adequate number of gift sets for $2.63 each using cash to meet the promotion's demand. During the year, the company sold 1,062,960 of its standard products for $4.15 each. The company estimated that 10% of the sales amount received from customers would relate to the gift set to be awarded. The company would expect 34.31% of the coupons to be sent in eventually, and, during the year, 255,110 coupons were redeemed. If the company followed IFRS using the revenue approach, how much unearned revenue would be shown as a liability at the end of the year for the coupons yet to be redeemed? a. $139,185 b.…
- The company Young Furniture" has the following business transactions in the year 01. Always assume the standard VAT rate of 19% The business year is the same as the calendar year. Form the posting records for the following business transactions. 1. The company buys a company car worth € 65.000 (net) on credit. 2 The company pays its outstanding invoice of € 2.380 by bank transfer. 3 The company buys raw material with the value of € 11.900 (gross amount). Payment is made directly by bank. 4 The company returns unusable merchandise due to defects to the supplier and receives a price reduction of € 500 (net). The purchase of the merchandise on credit was already booked. 5. The company buys merchandise with a value of 30.000 € (net) on credit and receives a rebate by the supplier of 15%.In 2020, Westfort Coffee offered a Loyalty program for frequent buyers of their drinks. Any customer who uses their loyalty card will get a credit of $0.05 for every $1.00 they spend and it can be cashed in any time in 2021. Westfort Coffee also knows that 10% of all loyalty card users do not use their points. Customers with loyalty cards spent $40,000 in 2020. What is the total loyalty card value outstanding on December 31, 2020? How much should Westfort Coffee show as a liability?If the total Accounts Receivable of HAPPY ENTERPRISES is 560,000 and gives its customers a 5% discount if their accounts are settled within 10 days, the discount period. What amount of cash would be receive by the enterprise, supposing that it is a VAT paying business and that its customers were able to pay within the discount period.