On 12/31/07 Joe Smith Company acquired a computer from Louis Corporation by issuing a $400,000 zero-bearing note payable in full on 12/31/11. Joe Smith Company's credit rating permits it to borrow funds from its several lines of credit at 10%. The computer is expected to have a 5-year life and a %50,000 salvage value. A.) Pre
I need this information. I need to see how it would look posted in a journal that i provide because i do not know how to input the information. I keep getting it wrong please help!!! Business is booming for Dan Brown's home inspection business. He has been so busy the first month of business that he hasn't had tome to ke
Data relating to the balances of various accounts affected by adjusting or closing entries appear below. (The entries which caused the changes in the balances are not given.) You are asked to supply the missing journal entries which would logically account for the changes in the account balances. 1. Interest receivable at 1/
On December 31, the adjusted trial balance of Garg Employment Agency shows the following selected data. Accounts Receivable $24,000 Commission Revenue $92,000 Interest Expense 7,800 Interest Payable 1,500 Analysis shows that adjusting entries were made to (1) accrue $4,200 of commission revenue and (2) accrue $1,
A proper journal entry (without numbers) to record the adjustment of overapplied overhead to Cost of Goods Sold would be what? Use accounts: Cost of Goods Sold Work in Progress Manufacturing overhead
(Journalize Various Accounts Receivable Transactions) The balance sheet of Antonio Vivaldi Company at December 31, 2007, includes the following. Notes receivable 36,000 Accounts receivable 182,000 Less: Allowance for doubtful accounts 17,300 200,800 Transactions in 20
On July 1, 2006, Orlow Co. pays $12,000 to Pizner Insurance Co. for a 3-year insurance contract. Both companies have fiscal years ending December 31. For Orlow Co., journalize and post the entry on July 1 and the adjusting entry on December 31.
Prepare entries to record the following transactions using the allowance method for uncollectible accounts. a. The firm assumes that approximately 1% of total sales on account will prove uncollectible. Sales for Year 1 are $1,000,000. All sales are on account. b. On July 7, Year 2, it is determined that an account of $2,000
Please explain the following problem. Any examples would be greatly appreciated. On August 1, 2007, a company issues bonds with a par value of $600,000. The bonds mature in 10 years, and pay 6% annual interest, payable each February 1 and August 1. The bonds sold at $632,000. The company uses the straight-line method of amor
On January 1, 2003, ABC co. purchased a building and machinery that have the following useful lives, salvage value, and costs Building, 25-year estimated useful life, $4,000,000 cost, $400,000 salvage value........ -Machinery, 10 year estimated useful life, $500,000 cost, no salvage value. The building has been depreciate
Can you help me get started with this assignment? The accounting records of Longacre Nursery, Inc., for Year 2 and Year 3 reveal the following: Year 2 Year 3 Income before income taxes per books $250,000 $400,000 Timing differences (30,000) 20,000 Permanent differences 5,000 (6,000) Taxable income $225
On March 1, Year 1, a firm issues $475,000 bonds at par value plus accrued interest. The stated rate on the bonds was 12% and the bonds pay interest semi-annually on June 30 and December 31. Prepare the entries necessary to record a. the issuance of the bonds on March 1, Year 1 b. the payment of interest on June 30, Year 1
On January 1, Year 1, Jayco purchased a machine for $6,000. It had an estimated salvage value of $1,200 and a life of six years. The straight-line method of depreciation was used. At, midyear in Year 4, Jayco sold the machine for $4,500 cash. Required: a. What is the book value of the machine at the time of the sale? b. G
Sullivan Co.'s accounts receivable show the following balances by age: Age of Receivable Balance 0-30 days $600,000 31-60 days 175,000 61-120 days 70,000 more than 120 days 10,000 The credit balance in the allowance for uncollectible accounts is $2,500. Sullivan Co. uses the following percentages to compute the estimat
Can you help me get started with this assignment? Presented below is information related to major Department stores, Inc. pension plan for 2008 Accumulated benefit obligation (at year -end) $600,000 Service cost 520,000 Funding contribution for 2008
Journal Entry The following are the transactions relating to the formation of Cardinal Mowing Services, Inc. and its first month of operations. Write journal entry(ies) for the following transactions: a) The firm was organized and owners invested cash of $600 b) The company borrowed $900 from a relative of the owners, a sh
The following are the transactions relating to the formation of Cardinal Mowing Services, Inc. and its first month of operations. Write journal entry(ies) for the following transactions: a) The firm was organized and owners invested cash of $600 b) The company borrowed $900 from a relative of the owners, a short-term note was
Please help with the following problem. Retained earnings at 1/1/06 was $150,000 and at 12/31/06 it was $200,000. During 2006, cash dividends of $50,000 were paid and a stock dividend of $40,000 was issued. Both dividends were properly charged to retained earnings. You provide the missing closing entry.
Smith co. investment in common stock of Maine Ware are below. Smith Company closes its books on 12-31 of each year. I need help with the journal entries for the following events: 8/21 Smith Company buys 1,000 shares of Maine Ware common stock for $45 per share as an investment(classified as Securities available for sale).
Pacific has the following account balances as of Feb 1. Inventory....................................$600,000 Land..........................................500,000 Buildings (net) (valued at $1,000,000)........900,000 Common Stock ($10 par value)..................(800,000) Retained earnings 1/1.........................(1,
Please provide guidance in completing the following: In November 2006, after incorporating, Cookie Creations Inc., the owner "Natalie" begins operations. She has decided to not pursue the offer to supply cookies to Biscuits. Instead she will focus on offering cooking classes. The following events occur. Complete steps a-c
Please guide me I am getting myself confused. On December 31, 20x3, Broadway Corporation reported common stock outstanding of $200,000, additional paid-in-capital of $300,000, and retained earnings of $100,000. On January 1, 20x4, Johe Company acquired control of Broadway in a Business Combination. a. Give the eliminating en
Jaya Co. uses the percentage of receivables bases to record bad debts expenses and concludes that 2% of accounts receivables will become undcollectible. Accounts receivable are $500,000 at the end of the year, and the allowance for doubtful accounts has a credit balance of $1,500. I must prepare the adjusting journal entry to
Record the following transactions of a company in a general journal form: (a) Reacquired 8,000 of its own $10 par value common stock at $40 cash per share. The stock was originally issued at $15 per share. (b) Sold 2,000 shares of the stock reacquired under part (a) at $43 cash per share. (c) Sold 3,000 shares of the s
1) A company buys a building with an appraised value of $100,000 for $30,000 cash and the assumption of a 25 year, 10% mortgage with a balance of $60,000 2) a publisher sells $2,000 in magazine subscription that will be filled over the next 12 months. Please prepare the journal entries.
Some, but not all, contributions of goods and services are given accounting recognition. In each of the following scenarios, an organization receives a contribution in kind. Prepare journal entries, as necessary, to give them accounting recognition. For each, tell why you made an entry or why you did not. 1. A local not-for-p
E10-6 Presented below are selected transactions at Thomas Company for 2006. Jan. 1 Retired a piece of machinery that was purchased on January 1, 1996. The machine cost $62,000 on that date. It had a useful life of 10 years with no salvage value. June 30 Sold a computer that was purchased on January 1, 2003.The computer cos
On April 1, 2007 Pepsi received an condemnation award of $430,000 cash as compensation for the forced sale of the company's land and building, which stood in the path of a new state highway. The land and building cost $60,000 and $280,000, respectively when they were acquired. At April 1, 2007 the accumulated depreciation relati
Please help with journal entries 1. On April 5, purchased merchandise from Allman Company for $20,000 terms 2/10, net/30, FOB shipping point. Date Account Titles and Explanation Debit Credit 2. On April 6, paid freight costs of $900 on merchandise purchased from Allman.
The management of Petro Garcia Inc. was discussing whether certain equipment should be written off as a charge to current operations
Problem is in Chapter 11 of Depreciation, Impairments and Depletion Intermediate Accounting Kieso, Weygandt, & Warfield E11-18 Petro Garcia, Inc. (Impairment) The management of Petro Garcia Inc. was discussing whether certain equipment should be written off as a charge to current operations because of obsolescence. This equip