Adjusting entry for Prepaid Insurance Windy Saloons purchased a 3 year insurance policy on 1st October 2021. The entire premium of $5000 was recorded by debiting Prepaid Insurance. Required: i. Give the adjusting entry at 30 June for year ending 30 June 2022.
Q: Prepare all journal entries for Harper for 2020 and 2021 in connection with this investment. Assume…
A: Here are the journal entries for Harper, Inc. for 2020 and 2021: 2020: 1. To record the investment…
Q: Alvis Corporation reports pretax accounting income of $360,000, but due to a single temporary…
A: Answer to Part-(1):- Income before tax = $360,000 Taxable income = $220,000 Taxable temporary…
Q: D. ABC Company is a manufacturer of electronic parts and uses a service department charge system to…
A: Answer:- Cost allocation:- Cost allocation, which deals with the cost identification, cost…
Q: Nancy owns two houses overlooking the Grand Sports Stadium. In 2001, Nancy leased one of the houses…
A: A lease contract is a legal agreement between a landlord and a tenant that outlines the terms and…
Q: In the Payments Journal window, invoices being paid will display the: Select an answer and submit.…
A: A payments journal is a record of all the transactions made by a business, including cash and credit…
Q: On July 1, 2022, Oriole Co. pays $15,200 to Sheffield Insurance Co. for a 4-year insurance contract.…
A: Accounting Rules (1) Debit what comes in, Credit what goes out.(2) Debit all expenses and losses,…
Q: Dubberly Corporation's cost formula for its manufacturing overhead is $32,300 per month plus $52 per…
A: Manufacturing overhead in Flexible budget is = $436860 $32300 + ($52 × 7780)
Q: Inventory Turnover and Days' Sales in Inventory Financial statement data for years ending December…
A:
Q: Vigeland Company completed the following transactions during Year 1. Vigeland’s fiscal year ends on…
A: Journal Entry :— It is an act of recording transaction in books of account when transaction…
Q: On January 1, 2021, Novak Ltd. paid $316,289.83 for 12% bonds of Variation Ltd. with a maturity…
A:
Q: Elordi Engineers Corp. has the following budgeted sales data (in dollars): June July August…
A: Budgeted cash receipts are the amounts of cash expect to collect based on the forecasted sales in…
Q: Selling Price/Unit Units Produced Units Sold Fixed Manufacturing Direct Materials/Unit…
A: “Since you have posted multiple questions, we will provide the solution only to the first five…
Q: Damon Industries manufactures 16,000 components per year. The manufacturing costs of the components…
A: The operating profit is calculated as excess of revenues over the total expenses. The company can…
Q: Kilmer Company has demand for its only product that exceeds its manufacturing capacity. The company…
A: This is Overall Equipment Effectiveness (OEE) seems to be a performance metric used in industries…
Q: Justine Michelle Company makes two products, A and B. They are initially processed from the same…
A: Lets understand the basics. When two or more products gets generated from the single process then…
Q: On January 1, 2024, the Mason Manufacturing Company began construction of a building to be used as…
A: Solution 1: Year 2024: Weighted-Average accumulated expenditure and interest capitalized Date…
Q: Hypothetical Corporation incurred the following expenses:
A: As the tax problem is prior to 2022 IR Code 174 [TCJA stopped the provison…
Q: 4 Complete the following chart using a X% rate of depreciation. Year 0 1 2 3 4 X= Depreciation…
A: DEPRECIATION EXPENSE Depreciation means gradual decrease in the value of an asset due to normal wear…
Q: 4. What is Multicollinearity? a. What are the consequences of multicollinearity?
A: Multicollinearity is a statistical phenomenon in which two or more independent variables in a…
Q: A debt service fund is used to account for financial resources set aside for the purpose of making…
A: A debt service fund is a type of governmental fund that is used to account for the accumulation of…
Q: Rimas Corporation reported pretax book income of $1,360,000. Included in the computation were…
A: In simple terms, a company's total income refers to the total amount of money that the company has…
Q: Required information [The following information applies to the questions displayed below.] Burchard…
A: Lets understand the basics. Contribution margin income statement is a statement which shows how much…
Q: A company accepts incremental business at a special price that exceeds the variable cost. What other…
A: Differential analysis, also known as incremental analysis or marginal analysis, is a decision-making…
Q: The following events took place for Sorensen Manufacturing Company during January, the first month…
A: Hi! Thank you for the question As per the honor code, We’ll answer the first question since the…
Q: The Rapid Delivery Service is considering the expansion of its business into an afternoon retail…
A: Delivery cost means the cost incurred on the delivery of the goods. It includes the costs relating…
Q: T-accounts have been opened using the balances from the adjusted trial balance. Post the closing…
A: Closing Entries - Closing Entries are use to close the temporary accounts of the organization.…
Q: EXERCISES: STANDARD COSTING with GROSS PROFIT VARIANCE ANALYSIS 1. Materials and Labor Variance…
A: “Since you have posted a question with multiple sub parts, we will provide the solution only to the…
Q: The standard cost of direct materials is £4 per kg and the standard quantity 2kg per unit of output.…
A: Direct material price variance: It implies to a difference between the standard or estimated cost of…
Q: Steele Industries manufactures a number of products at its highly automated factory. The products…
A: Limiting factors: All entities are limited in their capacity,either for producing goods or…
Q: During the year, Advanced Products completed one order for a new customer, Shenzhen Enterprises.…
A: ABC (Activity-Based Costing) is the method of cost accounting under which the activity rate of…
Q: apital Budgeting using Net Present Value Method V of Cost of Investment V of Net Cashflow: Year 1 2…
A: Net present value is most common used capital budgeting method and can be calculated as difference…
Q: ) Which of the following items would not appear in a statement of revenues, expenditures, and…
A: A governmental fund is an accounting entity used to account for the financial resources and…
Q: Hails Corporation manufactures two products: Product Q21F and Product H44W. The company uses a…
A: Activity-based costing is used to allocate overhead expenses on the basis of activity. Other than…
Q: 1. What is appropriate audit evidence? How does an auditor determine whether the appropriate audit…
A: Answer:- Audit meaning:- An audit can be defined as the independent review of the financial…
Q: The maintains a perpetual inventory systemDetermine the cost of goods sold for each sale and the…
A:
Q: Fair value adjustment for available-for-sale investments M. Jones Inc. purchased the following…
A: A journal entry is a chronological record of a transaction or occurrence made in a journal or…
Q: Required information Miami Solar manufactures solar panels for industrial use. The company budgets…
A: Lets understand the basics. Management prepare budget in order to estimate future profit and loss…
Q: The following transactions are from Ohlm Company. (Use 360 days a year.) Year 1 December 16 Accepted…
A: Notes Receivable - Notes is an instrument issued by the payer and accepted by the receiver in return…
Q: Montoure Company uses a perpetual inventory system. It entered into the following calendar-year…
A: Under FIFO method the oldest products in inventory have been sold first. Under LIFO method the…
Q: capital assets acquired by or used by a fund should be reported in the fund balance sheet or…
A: A fund balance sheet or statement of net position reports the financial position of a governmental…
Q: Delta Automotive Corporation has the following assets listed in its 12/31/2024 trial balance: Cash…
A: Cash and cash equivalents refer to assets that are readily convertible into cash and have a low risk…
Q: Scenario 1 Scenario 2
A: These are the accounting transactions that are having a monetary impact on the financial statement…
Q: A construction company entered into a fixed-price contract to build an office building for $38…
A: The percentage-of-completion method is an accounting method used to recognize revenue and expenses…
Q: Exercise 19-22 (Algorithmic) (LO. 3) On January 1 of the current year, Rhondell Corporation has…
A: Answer:- Return on capital:- Return on capital is metric used to compare a company's net income to…
Q: Which internal control methodology provided below would be the best solution to resolve the…
A: Iess chances of frauds if there exists a proper internal control system exists with In the entity…
Q: On October 1, 2021, Santana Rey launched a computer services company called Business Solutions,…
A: Journal Entries - Journal Entries are the recording of transactions of the organization. It is…
Q: Victor and Lorraine,
A: Due to $ sign we will assume the tax jurisdiction USA and will solve this tax…
Q: Robin Company reported the following costs for the current month: Direct materials used Direct labor…
A: Total manufacturing overheads are the sum of all indirect costs incurred in the process of…
Q: Bismite Corporation purchases trees from Cheney lumber and processes them up to the split-off point…
A: Given Total sheets = 160000 Price per sheet is $0.10
Q: Hermosa, Incorporated produces one model of mountain bike. Partial information for the company…
A: Variable Cost :— It is the cost that changes with change in activity of cost driver. Variable cost…
Step by step
Solved in 2 steps with 2 images
- An examination of Insurance Policies of Standard Company is presented below: Policy Date of Purchase Life of Policy Cost September 1, 2019 4years P25,920 May 1, 2020 2years 18,960 July 31, 2020 1year 9,720 Prepaid Insurance was debited for the cost of each policy at the time of its purchase. Expired insurance was correctly recorded at the end of 2019. What is the balance of Prepaid Insurance at the end of 2020?Requlred Information [The following information applies to the questions displayed below.] A company makes the payment of a one-year Insurance premlum of $4,248 on March 1, 2019. c. Calculate the amount of prepald Insurance that should be reported on the December 31, 2019, balance sheet with respect to this policy. Prepaid insuranceAdjusting journal entry December 31 2021: Dr. Insurance Expense 24000 Cr. Pre-Paid Insurance 24000 If the beginning balance in prepaid insurance was 1500 and 30,000 was recorded in the balance sheet for an insurance premium during the year, what is the ending balance in pre-paid insurance after the adjusting entry?
- View Policies Current Attempt in Progress Pina Colada Corp. purchased a 12-month insurance policy on March 1, 2017 for $5880. At March 31, 2017, the adjusting journal entry to record expiration of this asset will include: O a debit to Prepaid Insurance and a credit to Insurance Expense for $588. O a debit to Insurance Expense and a credit to Prepaid Insurance for $490. O a debit to Prepaid Insurance and a credit to Cash for $5880. O a debit to Insurance Expense and a credit to Cash for $490. Submit Answer Attempts: 0 of 1 used Save for LaterHANDOUT PROBLEM for CURRENT LIABILITIES I. Prepare journal entries for the following chronological transactions and a. You sold merchandise on account for $250,000 on account. The products cost $110,000. Your company uses a perpetual inventory system. Your sales included a two-year warranty on the product. spent $1,400 to repair products in part "a." which were under warranty. b. You с. On December 31, 2021, you estimated that there would be an additional $8,000 of repairs on products in part "a." You estimated that $5.000 of the repairs would occur in 2022. In 2022, you performed $4,800 of repairs on products from part "a." and $1,920 of repairs on products sold in 2022. On December 31, 2022, you estimated that repairs on products sold in 2021 d. e. would be an additional $3,500 and for products sold in 2022 would be an additional $9,000. You believe that $5,400 of the $9,000 of repairs would occur in 2023. II. Based upon the transaction above, determine the amount of current…HANDOUT PROBLEM for CURRENT LIABILITIES I. Prepare journal entries for the following chronological transactions and a. You sold merchandise on account for $250,000 on account. The products cost $110,000. Your company uses a perpetual inventory system. Your sales included a two-year warranty on the product. You spent $1,400 to repair products in part "a." which were under warranty. On December 31, 2021, you estimated that there would be an additional $8,000 of b. с. repairs on products in part "a." You estimated that $5,000 of the repairs would оссur in 2022. In 2022, you performed $4,800 of repairs on products from part "a." and $1,920 of repairs on products sold in 2022. On December 31, 2022, you estimated that repairs on products sold in 2021 would be an additional $3,500 and for products sold in 2022 would be an additional $9,000. You believe that $5,400 of the $9,000 of repairs would occur d. е. in 2023. II. Based upon the transaction above, determine the amount of current…
- Adjusting journal entry for: On November 1st, 2018, FTS purchased a certificate of deposit from First National Bank for $25,000. The deposit earns interest of 2.0% annually and has a maturity end date of 11/1/2020. Interest earned is received annually on November 1st of each year.Assume that Company X loaned $12,000 to an employee on October 1, 2018, by creating a note the employee pay the principal and 8% interest on September 30, 2019. Assume the company makes adjusting entries only at year-end on December 31. a. Record the establishment of the note b. Record any necessary end-of-period adjusting entry to be made at the end of 2018 c. Record the receipt of interest and principal on September 30,2019Following are transactions of Leduc Company: 2023 Dec.11 Accepted a $16,000, 6%, 60-day note dated this day in granting Fred Calhoun a time extension on his past-due account. Made an adjusting entry to record the accrued interest on the Fred Calhoun note. Closed the Interest income account. 31 31 2021 Jan. 10 Feb. 10 Mar. 5 29 May 7 June 9 Aug. 8 11 31 Oct. 12 Nov.19 Discounted the Fred Calhoun note at the bank at 7%. The Fred Calhoun note was dishonoured. Paid the bank the maturity value of the note plus a $30 fee. Accepted a $5,500, 5.5%, 60-day note dated this day in granting a time extension on the past-due account of Donna Reed. Discounted the Donna Reed note at the bank at 7.5%. The Donna Reed note had been received by the bank and paid by Donna Reed. Accepted a $7,750, 60-day, 5% note dated this day in granting a time extension on the past-due account of Jack Miller. Received payment of the maturity value of the Jack Miller note. Accepted an $9,000, 60-day, 5% note dated this…
- Requlred Informatlon [The following Information apples to the questions displayed below.] A company makes the payment of a one-year Insurance premlum of $4,248 on March 1, 2019. a-1. Use the horizontal model to record the above transaction. (Use amounts with + for Increases and amounts with – for decreases.) Balance Sheet Income Statement Assets Liabilities Stockholders' Equity Net Income Expenses RevenuesAssignment You are the accountant of an insurance company. The following events have occurred in December: 30000 1/12/2019, the Company has $,000 monthly renewal premium on a regular premium policy in the month of December. 2/12/2019, the Company has received the outstanding premiums receivable 20% 5/12/2019, the Company has paid ceded .% of reinsurance monthly premiums. 8/12/2019, the agent will receive monthly commission at a rate of a% of the monthly premium value looon 16/12/2019, the company knows for certain that $1,000 of claims will be paid to policyholder but waits for the necessary documents to transfer the money. Reinsurance recoverable on paid losses is equal to 2-%. 18/12/2019, the Company has paid the balance due to agents 23/12/2019, the Company has received the reinsurance recoverable 25/12/2019, the Company has paid the claims payable 30/12/2019, the company writes off the asset for the agent's commission Instructions: Prepare the entries in the JournalAdjusting entry: On 1 February 2021, Design Thinking Pty Ltd obtained a three year bank loan of $90,000 at an annual interest rate of 3.5% p.a. Instructions: Record the adjusting entry for the year ending 31 August 2021 by selecting the correct accounts and amounts that are debited and credited. General Journal August [ Select ] [ Select ] 31. [ Select ] > >