The following events occurred for Favata Company: a. Received $10,000 cash from owners and issued stock to them. b. Borrowed $7,000 cash from a bank and signed a note due later this year. c. Bought and received $800 of equipment on account. d. Purchased land for $12,000; paid $1,000 in cash and signed a long-term note for $11,000. e. Purchased $3,000 of equipment; paid $1,000 in cash and charged the rest on account.
Q: Q6. On April 1, Year 6, Bob the Builder traded in an equipment with a book value of $2,000 (initial…
A: DEPRECIATION MEANS MONETARY VALUE OF AN ASSETS DECREASES OVER TIME DUE TO USE OF WEAR AND TEAR OR…
Q: An extract from a statement of cash flows prepared by a trainee accountant of Doc Jill Company is…
A: Lets understand the basics. Cashflow statement is divided into three parts which are, (1) Cashflow…
Q: Green Earth Landscaping Company provides monthly and weekly landscaping and maintenance services to…
A: Budgeted Administrative Expense is prepared at the beginning of the period that includes the…
Q: Use the information from the Adjusted Trial Balance and Financial Statement templates provided in…
A: Statement of Owner's Equity - Statement of owner's equity includes amount contributed by the owner…
Q: FINANCIAL STATEMENT ANALYSIS AND RATIO ANALYSIS The following are the balance sheet and income…
A: An income statement is a financial statement that shows you the company's income and expenditures.…
Q: 8. Make an investment analysis for 1998 by computing: a. Equity Ratio b. Creditors Equity to Total…
A: We are given the balance sheet of two years 1997 & 1998 and income statement of 1998 based on…
Q: FINANCIAL STATEMENT ANALYSIS AND RATIO ANALYSIS The following are the balance sheet and income…
A: Ratio Analysis - The ratio is the technique used by the prospective investor or an individual or…
Q: Q.5. Ashish, Bhola and Chanu were partners in a firm sharing profits and losses in the ratio of…
A: A partnership is an agreement where two or more mutually agreed individuals come together to manage…
Q: The following financial statements apply to Jordan Company: Year 2 Year 1 $ 180,300 Revenues $…
A: Since you have posted a question with multiple sub-parts, we will solve first three subparts for…
Q: At the beginning of current year, BLACKPINK Company had 480,000 $60 par value ordinary shares and…
A: Diluted earnings per share (Diluted EPS) : Diluted EPS is the company's earnings per share if all…
Q: How is surplus value transformed into capital, and how is this related to the process of capital…
A: Surplus value refers to the difference between the sale proceeds and cost of product.
Q: 6. What is the depreciation expense for the year ended December 31, 2021? BLACK JACK Company…
A: Depreciation Expenses - Depreciation Expenses are the expense incurred on the wear and tear of the…
Q: You buy fishing gear costing $525. State taxes are 3.5% and the federal excise tax on this item is…
A: Introduction:- The following basic information s follows under:- Purchases price includes(Cost of…
Q: riton Company provided the following information concerning a defined at the beginning of current…
A: In a company's accounting records, a journal entry is used to memorialize a commercial transaction.…
Q: At the beginning of current year, BLACKPINK Company had 480,000 $60 par value ordinary shares and…
A: Formula: Basic earnings per share = (Net income - Preferred dividend)/ Weighted average number of…
Q: At the beginning of current year, BLACKPINK Company had 480,000 $60 par value ordinary shares and…
A: Diluted earnings per share (Diluted EPS) : Diluted EPS is the company's earnings per share if all…
Q: The balance in the salaries expense account before adjustment on December 31, 2007 is $52,000. The…
A: Accrued expense refers to the amount that has been incurred by the company but has not yet been paid…
Q: a particular process for use in the process of a certain type of article that is manufactured by her…
A: Given as, Incurred expenditure amounting= R22,500 Incurred patent registration= R3,000
Q: ed as one level item. sts. om variable manufacturing
A: Contribution income statement shows the contribution margin by deducting variable cost from sales…
Q: Cost Principle On June 25, AAA Repair Service extended an offer of $94,000 for land that had been…
A: As per cost principle the value of an asset is its cost.The offer price (fair value)for an asset is…
Q: Alabama Corp. acquired an investment property on January 2, 2022, at a total cost of P8 million. The…
A: Given that, Cost of investment property = P8,000,000 Useful life of investment property = 25 years…
Q: CARMINE Company is preparing the interim financial statements for the first quarter ended March 31,…
A: Variable expense = Expenses in first quarter ×25% = P10,000,000 ×25% = P2500000 Fixed expense =…
Q: Bill Wilson, the financial accountant at Robson Ltd is considering implementing a standard costing…
A: The vital goal of standard costing is to determine the differences among the actual and the standard…
Q: Asset Cash AR Prepaid insurance Marketable securities Merchandise inventory Furniture and fixtures…
A: Calculation of Return on Total Assets for 2019 Return on Total Assets = Net Income/ Total Assets…
Q: Answer the following Questions Question 1: (B1& C2&D3) The following items were taken from the…
A: Balance sheet is one of the statement of financial position which shows all assets, all liabilities…
Q: CARMINE Company is preparing the interim financial statements for the first quarter ended March 31,…
A: Note: It is given in the question that, advertising expense will be incurred evenly during 2022, so…
Q: BLACK WIDOW Corporation failed to recognize accruals and prepayments since the inception of its…
A: Unused Office Supplies: If unused office supplies of $ 25,000 are not recorded, supplies expense is…
Q: Q.4.2 Which of the following users of accounting information, use the information to assess the…
A: Accounting is a process that starts by recording of financial transactions. It includes the…
Q: 7. When the residual value of plant and machinery has drastically changed, the entity should a.…
A: Since you have asked multiple questions, we will solve the first question for you. If you want any…
Q: 150,000 100,000 340,000 300,000 110,000 100,000 80,000 80,000 20,000 18,000 20,000 30,000 122,000…
A: We are given the balance sheet of two years 1997 & 1998 and income statement of 1998 based on…
Q: CARMINE Company is preparing the interim financial statements for the first quarter ended March 31,…
A: As per IAS 34 Interim financial reporting Costs which are incurred unevenly during a year are be…
Q: As a result of the transaction, what is the effect on the profit or loss? what is the cost of the…
A: On the occasion of disposal/exchange/sale of an asset, the net income of the entity is impacted by…
Q: On January 31, 2022, RUBY Company agreed to pay the former president P300,000 under a deferred…
A: Introduction: Deferred compensation is a type of compensation plan that allows employees to delay…
Q: What is the depreciation expense of the equipment for 2023? what is the recoverable amount of the…
A: An asset is said to be impaired if carrying amount of an asset is higher than the recoverable…
Q: 1997 P30,000 170,000 100,000 150,000 1998 P52,000 200,000 200,000 100,000
A: Horizontal analysis of the balance sheet indicates the column determining a change in the amount of…
Q: Original cost of a machine was Rs. 2,52,000; Salvage value was 12,000. Useful Life was 6 years,…
A: Lets understand the basics. In straight line basis, depreciation is calculated in equal installment…
Q: What are revenues that have been earned but not recorded in the accounts called? Group of answer…
A: Deferred revenue, also known as unearned revenue, refers to advance payments a company receives for…
Q: What is an account offset against another account called? For example, if the original cost of a…
A: A contra account is an account used to reduce the balance of a related accountThis will useful in…
Q: . The weighted-average number of shares outstanding during the period for all periods (other than…
A: Disclaimer: "Since you have asked multiple question in a single question we have answered first…
Q: BLACK JACK Company purchased an automotive equipment on June 30, 2018 for $3,000,000. At the date of…
A: Depreciation Expenses - Depreciation Expenses are the expense incurred on the wear and tear of the…
Q: How is the account Cash classified and what kind of balance should it have?
A: Cash is covered under the definition of current of asset Assets generally have a debit balance
Q: FINANCIAL STATEMENT ANALYSIS AND RATIO ANALYSIS The following are the balance sheet and income…
A: FORMULAS USED: debt-equity ratio =debt/ equity total debt = current liabilities + long-term…
Q: 5. Evaluate the firm's long-term solvency for 1998 by computing: a. Debt to Equity Ratio b. Cash…
A: Based on the balance sheet figures and the income information and additional information, the long…
Q: 3. Ignoring income tax, by what amount should shareholders' equity be increased for 2021 and 2022 in…
A: The question is related to the Accounting for Property, Plant and Equipment Revaluation method.…
Q: 1. S1: A change from cash basis accounting to accrual basis accounting is an example of change in…
A: The question is related to the Change in Accounting Policy and Change in Accounting estmates.…
Q: nd carries a part that is popular the manufacture of sprayers. Demand f part is 4,000 units per…
A: Economic ordering quantity (EOQ) is that level of quantity where annual inventory cost is minimum.
Q: On 1 July 2019, Peter Limited acquired all the issued shares of Kerri Limited for $100 000 when the…
A: A Journal entry is a primary entry that records the financial transactions initially. The…
Q: NALYSIS The following are the balance sheet and income statement data of PRT Company: December 31…
A: Short Term Solvency for 1998 1998 Formula Calculation Ratio a Working Capital Current…
Q: CERISE Company uses accrual basis of accounting. Wages expense account had a balance of $255,000 at…
A: cash was paid for wages during the year = Beginning wages payable balance + wages expense - Endings…
Q: INCOME STATEMENTS Net sales COGS (excl. depr.) Depreciation Other operating expenses EBIT Interest…
A: The debt to total assets ratio is calculated by dividing the total Outside Liabilities by the value…
General entry please...
Trending now
This is a popular solution!
Step by step
Solved in 2 steps
- Presented below are accounts of Cutie Company Additional: During the year, the owner made an additional investment of 20,000 and withdrawals of 50,000. Cutie company beginning capital is 617,600 and its net income for the year is 75,000. Instructions: Prepare the Statement of Financial Position in account form and report form and determine the amount of cash. Prepare the supporting notes.For each of the transactions in M2 - 9 (including the sample), write the journal entry using the format shown in this chapter (omit explanations). M2 - 9 (Sample) Borrowed $3,940 from a local bank on a note due in six months. Received $4, 630 cash from investors and issued common stock to them. Purchased $1,000 in equipment, paying $200 cash and promising the rest on a note due in one year. Paid $300 cash for supplies. Bought and received $700 of supplies on account. LO 2 - 3During the year, Penso Ltd received $50,000 from its customers, $5 000 for the sale of a motor vehicle and $20,000 for the issue of shares. It paid $27,000 to suppliers and employees, $3,000 for income tax and $50,000 for new machinery. In addition, it paid out $12,000 as loan repayments. Its cash balance at the commencement of the year was $19,000. What were the cash flows from financing activities? a. $8 000 b. $20,000 c. ($12,000) d. ($28,000) Which method can result in annual depreciation expense going up and down from period to period? a. Reducing balance b. Units of production c. Straight line d. Both Straight line and Reducing Balance During year ended 30 June 2019, Rugger Ltd had net sales of $256 000. Inventory at 1 July 2018 was $30 000, and at 30 June 2019 it was $23 000. Purchases were $115 000. What was the gross profit for year ended 30 June 2019? a. $12,000 b. $134,000 c. $141,000 d. $99,000 The Global Reporting Initiative sets out: a. guidelines on how to reduce carbon…
- create a income statement for: The following transactions apply to Ozark Sales for Year 1: The business was started when the company received $50,000 from the issue of common stock. Purchased equipment inventory of $380,000 on account. Sold equipment for $510,000 cash (not including sales tax). Sales tax of 8 percent is collected when the merchandise is sold. The merchandise had a cost of $330,000. Provided a six-month warranty on the equipment sold. Based on industry estimates, the warranty claims would amount to 2 percent of sales. Paid the sales tax to the state agency on $400,000 of the sales. On September 1, Year 1, borrowed $50,000 from the local bank. The note had a 4 percent interest rate and matured on March 1, Year 2. Paid $6,200 for warranty repairs during the year. Paid operating expenses of $78,000 for the year. Paid $250,000 of accounts payable. Recorded accrued interest on the note issued in transaction no. 6.Bailey Delivery Company, Incorporated, was organized in 2021 in Wisconsin. The following transactions occurred during the year: a. Received cash from investors in exchange for 16,000 shares of stock (par value of $1.00 per share) with a market value of $8 per share. b. Purchased land in Wisconsin for $20,000, signing a one-year note (ignore interest). c. Bought two used delivery trucks for operating purposes at the start of the year at a cost of $15,000 each; paid $6,000 cash and signed a note due in three years for the rest (ignore interest). d. Paid $2,400 cash to a truck repair shop for a new motor for one of the trucks. (Increase the account you used to record the purchase of the trucks because the productive life of the truck has been improved) e. Sold one-fourth of the land for $5,000 to Pablo Development Corporation, which signed a six-month note. f. Stockholder Helen Bailey paid $29,500 cash for a vacant lot (land) in Canada for her personal use. 3. Prepare a classified balance…Mark Jacobs established Jacobs Services in August by contributing $30,000 cash from his personal savings to the business in exchange for 100% of the common stock. Jacobs Services had the following transactions in September. September 1Purchased equipment with a price of $15,000 by paying $5,000 cash and signing a note for the remaining balance. September 2Paid $2,400 cash for a oneyear (or 12month) premium toward insurance. September 3 Paid September rent of $3,000. September 5 Purchased $4,000 of supplies on credit. September 8Performed serviced and received $1,000 cash. September 10 Billed clients $8,500 for services performed. September 12 Received an advance of $3,000 cash from a client for a project to be delivered in November. September 18 Collected $8,500 cash from clients toward their accounts billed on September 10. September 24 Paid $4,000 for the supplies purchased on September 5. September 30 Paid $100 cash for newspaper advertising to be aired in October.…
- Mark Jacobs established Jacobs Services in August by contributing $30,000 cash from his personal savings to the business in exchange for 100% of the common stock. Jacobs Services had the following transactions in September. September 1Purchased equipment with a price of $15,000 by paying $5,000 cash and signing a note for the remaining balance. September 2Paid $2,400 cash for a oneyear (or 12month) premium toward insurance. September 3 Paid September rent of $3,000. September 5 Purchased $4,000 of supplies on credit. September 8Performed serviced and received $1,000 cash. September 10 Billed clients $8,500 for services performed. September 12 Received an advance of $3,000 cash from a client for a project to be delivered in November. September 18 Collected $8,500 cash from clients toward their accounts billed on September 10. September 24 Paid $4,000 for the supplies purchased on September 5. September 30 Paid $100 cash for newspaper advertising to be aired in October.…6. Cameron Corporation purchased land for $233,000. Later in the year, the company sold a different piece of land with a book value of $144,000 for $157,000.7.Sales reported on the income statement were $672,000. The accounts receivable balance increased $56,000 over the year. Determine the amount of cash received from customers.$_______Jada Company had the following transactions during the year: Purchased a machine for $500,000 using a long-term note to finance it Paid $500 for ordinary repair Purchased a patent for $45,000 cash Paid $200,000 cash for addition to an existing building Paid $60,000 for monthly salaries Paid $250 for routine maintenance on equipment Paid $10,000 for extraordinary repairs If all transactions were recorded properly, what amount did Jada capitalize for the year, and what amount did Jada expense for the year?
- Consider the following transactions for Huskies Insurance Company: 1. Equipment costing $42,000 is purchased at the beginning of the year for cash. Depreciation on the equipment is $7,000 per year. 2. On June 30, the company lends its chief financial officer $50,000; principal and interest at 7% are due in one year. 3. On October 1, the company receives $16,000 from a customer for a one-year property insurance policy. Deferred Revenue is credited.Required: For each item, record the necessary adjusting entry for Huskies Insurance at its year-end of December 31. No adjusting entries were made during the year.The following transactions occurred in Nanon Company: a. Nanon, the owner, invested P50,000,000 and obtained P100,000,000 loan from a bank. b. The company purchased a manufacturing plant for business amounting to P125,000,000 for cash. c. It also purchased goods for sale on cash amounting to P250,000. d. There were sales of finished goods on credit amounting to P500,000. e. The company purchased goods for sale on credit amounting to P250,000. f. The company returned goods to the supplier amounting to P50,000 which was evidence by a credit memo from the supplier. g. Various accruals were recorded at the end of the period amounting to P30,000. From the above transactions, what is the total amount to be recorded in the Purchases Journal? P250,000 P450,000 P500,000 P125,500,000 From the above transactions, what is the total amount to be recorded in the Cash Disbursements Journal? P125,250,000 P125,500,000 P50,250,000 P50,500,000 From the above transactions, what is the total amount to be…The following transactions occurred during June, the first month of operations for Accurate Manufacturing: • Issued 60,000 shares of capital stock to the owners of the corporation in exchange for $600,000 cash. • Purchased a piece of land for $250,000, making an $80,000 cash down payment and signing a note payable for the balance. • Made a $100,000 cash payment on the note payable from the purchase of land. • Purchased equipment on credit from National Supply for $40,000. Refer to the above data: What are total liabilities of Accurate Manufacturing at the end of June O $200,000 O $110,000 O $70,000 O $240,000