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Accounting Principles

(Accounting Principles-Comprehensive) Presented below are a number of business transactions that occurred during the current year for Fresh Horses, Inc. Instructions In each of the situations, discuss the appropriateness of the journal entries in terms of generally accepted accounting principles. (a) The president of Fresh

Overstated & Understated Account

Ending inventory 2005 = 5,000 overstated insurance expense 2005 = 2,400 understated Assuming that the errors were no corrected, by what amount will 2005 income before taxes be overstated or understated? Please explain.


Using Alcoa's & Ford's most current 10-K or the company's annual report analize both companies. Post comments about the comparison between the two companies. Compare the income statement elements and comment if the ratios are comparable or not and which company may be doing better and why. I am having such a hard time even f

Consolidated retained earnings

I am having trouble with the following three questions: 1. What is "consolidated retained earnings"? 2. Distinguish between "transfer at cost" and "transfers at a profit or loss" in intercompany transactions? 3. What is the eliminating entry when one subsidiary sells merchandise to another subsidiary?

Rental Cost per Unit and Variability

See the attached file. V- Each of the following events describes acquiring an asset that requires a year-end adjusting entry. 1- Paid $7,000 cash on January 1 to purchase printers to be used for administrative purposes. The useful life is estimated of three years and a $1,000 salvage value. 2- Paid $7,000 cash on January 1

MACRS for new assets; discounted future value (PV)

A. Calculate the annual MACRS depreciation for a machine in the 7-year MACRS asset class, assuming that the asset costs $20,000. B. If you knew that the asset had an expected salvage value of $2,000 at the end of its 12-year economic life, would your answer to part a change? Calculate the annual MACRS depreciation schedu

Debit Memo vs. Credit Memo

What effect does a debit memo in a bank statement have on the Cash account? What effect does a credit memo in a bank statement have on the Cash account?

Intermdeiate Accounting

2. The accumulated benefit obligation measures A. The pension obligation on the basis of the plan formula applied to years of service to date and based on existing salary levels. B. The pension obligation on the basis of the plan formula applied to years of service to date and based on future salary levels.

Construction Accounting - Brown Construction

10) On August 1, 2005, Sarah Brown invested $90,000 in her new business, Brown Construction. During August, she withdrew $10,000 from the business. The amounts of the various assets, liabilities, revenues and expenses are as follows: Accounts payable, $9,000, Accounts Receivable, $26,000, Cash, $5,400, Construction revenue,

Intermediate Accounting III - construction accounting

Dot Point, Inc. is a retailer of washers and dryers and offers a three-year service contract on each appliance sold. Although Dot Point sells the appliances on an installment basis, all service contracts are cash sales at the time of purchase by the buyer. Collections received for service contracts should be recorded as A

Belleville Fashions mix of salary and commission: discuss effects of change.

8-74. The mix of salary and commission. Belleville Fashions sells high-quality women's, men's, and children's clothing. The store employs a sales staff of 11 full-time employees and 12 part-time employees. Until recently, all sales staff were paid a flat salary and participated in a profit-sharing plan that provided benefits


6) Cash is collected from a customer who was previously put on account. How does the collection of the cash affect the accounting equation?__A, B, C, or D__ A) assets increase; owner's equity increases B) assets increase; liabilities increase C) assets increase; assets decrease D) assets decrease; owner's equity decreases

Effect of Increase in Liability on Business

Total Liabilities increase by $7,000. How is the accounting equation affected? answer A, B, C or D. a) Assets must have increased by $7,000 or owner's equity must have decreased by $7,000 b) Assets must have decreased by $7,000 c) Assets and owner's equity must have each decreased by $3,500 d) Owner's equity must have incr

Accounting: the accounting equation.

Pat Jones invests personal funds to start his own law practice. The following transactions occur during the first month of operation of the proprietorship. For each transaction, insert "I" for increase and "D" for decrease in the apporpriate columns to indicate an increase or decrease in asset, liabilities, or owner's equity. If

50 Basic Accounting multiple choice questions

1. Which one of the following is an accounting equation? a. Assets = Liabilities + Owners' Equity b. Assets + Liabilities = Owners' Equity c. Assets + Owners' Equity = Liabilities d. Assets = Liabilities - Owners' Equity 2. Which one of the following is NOT an example of an asset? a. Cash b. Accounts Payable

Arkansas Academy: Calculating tuition charges

Use instructions below to complete the worksheet in next page: Formula Instructions 1 Total tuition (column E) is $3050 for full-time students taking 12 credits or more and $125 per credit hour for part-time students (taking less than 12 credits). Use an IF function to determine the correct tuition charges. 2 Scholarsh

Managerial Financial Accounting/Management Accounting

Randazzo may produce 80,000 components per year for various vehicles and 5,000 per year for the corvette. Selling prices vary greatly across the product line as a result of market supply and demand. The machine shop is automated. By changing cutting tools and entering different measurements into the system a variety or produc

What is the cash flow after tax using the CFAT formula?

Revenues increase by 400,000, cash operating expenses increase by 180,000, and depreciation increases by 45,000. The tax rate is 34%. a) Calculate the cash flow after tax using the formula that CFAT is operating cash flows after tax plus the depreciation tax shield. b) Calculate the cash flow after tax using the formula that C

Cost accounting: Activity based costing.

Alpha manufacturing produces two types of entry doors and standard. The assignment basis for the support costs has been direct labor dollars. For 2008 alpha complied the following data for the two products: deluxe Standard sales units 50,000