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Journal Entries

Closing and Dividend Entries

See attached format for response. Columbia Coffee Company earned net income of $85,000 during the year ended December 31, 20x8. On December 15, Columbia declared the annual cash dividend on its 6% preferred stock (10,000 shares with a $10 par value) and a $0.50 per share cash dividend on its common stock (50,000 shares with

Interview Responses: Strengths, Weaknesses, Desires

I have a phone interview with the Asst. Controller for a Senior Accountant position. How should I answer the questions what are your strengths and weaknesses? Why should I hire you? What are your career goals. Here's a brief description of the job. Summary of Role: Prepares income and balance sheet statements, consolidate

Journal Entries & Adjustments

E11-2 On June 1, Melendez Company borrows $90,000 from First Bank on a 6-month, $90,000, 12% note. Instructions (a) Prepare the entry on June 1. (b) Prepare the adjusting entry on June 30. (c) Prepare the entry at maturity (December 1), assuming monthly adjusting entries have been made through November 30. (d) What


5. The following transactions were made by Waite Company. Assume all investments are short-term and are readily marketable. June 2 Purchased 400 shares of Dolen Corporation common stock for $45 per share. July 1 Purchased 200 Oslo Corporation bonds for $220,000. 30 Received a cash dividend of $2 per share from Dolen

Bond Issuance Journal Entry

On January 1, 2010, Kentwood Company issued bonds with a face value of $800,000. The bonds carry a stated interest of 7% payable each January 1 and July 1. a. Prepare the journal entry for the issuance assuming the bonds are issued at 97. b. Prepare the journal entry for the issuance assuming the bonds are issued at 102

Financial Accounting: journal entries; practice exam

E3-7. The ledger of Piper Rental Agency on March 31 of the current year includes the following selected accounts before adjusting entries have been prepared. Debit Credit Prepaid Insurance $ 3,600 Supplies 2,800 Equipment 25,000 Accumulated Depreciationâ?"Equipment $ 8,400 Notes Payable 20,000 Unearned Rent 9

Adjusting entries; lower of cost or market, inventory

Lower-of-Cost-or-Market Fortner Co. follows the practice of valuing its inventory at the lower-of-cost-or-market. The following information is available from the companyâ??s inventory records as of December 31, 2006. Estimated Completion Norma

Horizontal model, journal entry

Mikor has an account payable of 7,700$ due to Smiley Inc. one of its suppliers. The amount was due to be paid on October 15, 2007. Mikor only had enough cash on hand then to pay $1,700 of the amount due, so Mikors treasurer called and Smiley's treasurer and agreed to sign a note payable for the balance. The note was dated Octobe

The journal entries for the City of Wetteville and Gotham City?

1. The City of Wetteville has a fiscal year ending June 30. Examine the following transactions for Wetteville: (A) On 6/1/10, Wetteville enters into a 5-year lease on a copying machine. The lease meets the criteria of a capital lease and carries an implied interest rate of 10%. The copier has a present value of $2

Effective Interest Method for Lucy Corporation issuance of bonds

On January 1, 2007, Lucy Corporation issued $1,200,000 face value, 7% 10 -year bonds at $1,119,479 This price resulted in an effective-interest rate of 8% on the bonds. Lucy uses the effective-interest method to amortize bond premium or discount. The bonds pay annual interest January 1. Instr

Prepare journal entries for restructured long-term debt

Your company is in financial trouble and is in the process of reorganizing. Your manager wants to know how you will report on restructuring the debt. Use the following information to help with this assignment. This is the liability section of your company's balance sheet: CURRENT LIABILITIES Accounts payable

Financial Accounting: journal entries; practice exam

See excel for better formatting. Peru Corporation sold $1,500,000 6% 10 -year bonds on January 1, 2007. The bonds were dated January 1, 2007, and pay interest on January 1. Peru Corporation uses the straight-line method to amortize bond premium or discount. Instructions: (a) Prepare al

Financial Accounting: adjusting entries; practice exam

1. Cram Company collected $42,000 cash on its accounts receivable. The effects of this transaction as reflected in the accounting equation are: A. Total assets decrease and equity increases. B. Both total assets and total liabilities decrease. C. Total assets, total liabilities, and equity are unchanged

Financial Accounting: Two adjusting entries; practice exam

At the end of the fiscal year, an adjusting entry was made for accrued salaries of $2,000. The salaries for one week, $4,250, were paid on the first Friday of the new fiscal period. When the weekly salaries are paid on the first Friday of the new accounting period, what will be the general journal entry? A. Salaries Expense

Prepare the necessary entries for the current fiscal year

2. Assume that the County of Katerah maintains its books and records in a manner that facilitates preparation of the fund financial statements. The County formally integrates the budget into the accounting system and uses the encumbrance system. All appropriations lapse at year-end. At the beginning of the fiscal year, the Co

How to figure ending retained earnings

On 25 March, Phelps Company declared $2 per share cash dividend on 20,000 shares of common stock outstanding; paid cash dividends on 20 April that were declared on 25 March; On December 31st, Phelps Company closed its $52,000 credit balance in Income Summary (reflecting net income) to Retained Earnings. What would be the journal

Duchess County property taxes: Journal entries for tax

The fiscal year of Duchess County ends on December 31. Property taxes are due March 31 on the year they are levied. 1. Prepare journal entries(excluding budgetary and closing entries) to record the following property tax related transactions in which the country engaged in 2007 and 2008. a. Jan 15, 2007 the county council

E11-11 Depreciation - change in estimate for Tom Brady Co: prepare entries

E11-11 (Depreciation - Change in Estimate) Machinery purchased for $60,000 by Tom Brady Co. in 2003 was orginally to have a life of 8 yrs. with a salvage value of $4,000 at the end of that time. Depeciaition has been entered for f5 years on this basis. In 2008, it is determined that the total estimated life should be 10 yea

Facilitating Problem Solving, and Devil's Advocacy Technique

Please see attachment for selected article. The aim of the critique is to describe how the study followed or failed to follow the criteria for good research. Kindly include the following topics in the critique: -Study design -Problem or objective -Literature review -Population sampling for study -Measurement -D

Effect of entries: Maso Company, Brown Company, Big-Mouth Frog Corp, Lane Co

Maso Company recorded journal entries for the issuance of common stock for $40,000, the payment of $13,000 on accounts payable, and the payment of salaries expense of $21,000. What net effect do these entries have on owners' equity? Increase of $40,000. Increase of $27,000. Increase of $19,000. Increase

Adjusting entry to transfer net income to retained earnings at close of year

Adjusting Entries: Retained earnings at 1/1/10 was $150,000 and at 12/31/10 it was $200,000. During 2010 cash dividends of $60,000 were paid and a stock dividend of $40,000 was issued. Both dividends were properly charged to retained earnings. You are to provide the missing closing entry. For each journal entry write Dr for debi

What journal entry must PharmGen use to record this 5% stock dividend

PharmGen, a pharmaceutical company, was founded two years ago. Like most pharmaceutical campanies, PharmGen did not make any profits in its first two years of operations since the company spent heavily on research and development to create new drugs. However, in order to continue to attract investors, the company would like to i

Preparing the journal entry for the scrapping of the jukebox

A rowdy spring break guest damages a jukebox that had been purchased in 1995 for $800. The jukebox had a useful of ten years, with an estimated salvage value of $75. The company decided to scrap the jukebox after the incident. Prepare the journal entry recording the scrapping of the jukebox My answer is: Debit - accumu

Error correction for Bailey's $50,000 of expensed equipment

In 2010, Bailey Corporation discovered that equipment purchased on January 1, 2008, for $50,000 was expensed at that time. The equipment should have been depreciated over 5 years, with no salvage value. The effective tax rate is 30%. Prepare Bailey's 2010 journal entry to correct the error.

Prepare the journal entry for the Unearned rent adjustment

Unearned rent at 1/1/10 was $7,300 and at 12/31/10 was $8,000. The records indicate cash receipts from rental sources during 2010 amounted to $40,000, all of which was credited to the Unearned Rent Account. You are to prepare the missing adjusting entry. Please indicate DR (debit ) or CR (credit) to the left of the account t

Adjusting Entry: Provide the missing journal entry for Prepaid rent.

Prepaid rent at 1/1/10 was $20,000. During 2010 rent payments of $123,000 were made and charged to "rent expense." The 2010 income statement shows as a general expense the item "rent expense" in the amount of $122,000. You are to prepare the missing adjusting entry that must have been made, assuming reversing entries are no