MGMT 9170_quiz_week_2

47. A company owed P2,000,000 plus P180,000 of accrued interest to Bank of Philippines which was due to be paid on December 31, 2021. During 2021, the company’s business deteriorated because of covid-19 pandemic. On December 31, 2021, the bank agreed to accept an old machine and cancel the entire debt. The machine’s cost was P3,900,000, with accumulated depreciation of P2,210,000, and a fair value of P1,900,000. How much should the company report in its profit or loss as a result of the derecognition of the financial liability?

Problem solve

2. Utok Company owes P2,000,000 plus P180,000 of accrued interest to Alambre State Bank. The debt is a 10-year, 10% note. During 2016, Utok's business deteriorated due to a faltering regional economy. On December 31, 2016, Alambre State Bank agrees to accept an old machine and cancel the entire debt. The machine has a cost of P3,900,000, accumulated depreciation of P2,210,000 and fair value of P1,900,000, How much should Utok Company report in its profit or loss as a result of the financial liability's derecognition?

#6 On December 31, 2018, Note Co. is in financial difficulty and cannot pay a note due that day. It is a $3,000,000 note with $300,000 accrued interest payable to Piper, Inc. Piper agrees to accept from Note equipment that has a fair value of $1,450,000, an original cost of $2,400,000, and accumulated depreciation of $1,150,000. Note should recognize a gain or loss on the transfer of the equipment of A.) $0 B.) $200,000 gain C.) $300,000 gain D.) $950,000 loss

A.  Sold the building for $120,000 and paid the loan.     B.  Collected $10,000 from the accounts receivable.  Remainder is uncollectible C.  Sold the equipment for $8,000         D.  Paid the salaries and taxes payable.       E.  Sold all remaining inventory for $8,000       F.  Paid liquidation costs.           G.  Distributed settlement to remaining creditors       Bottomless Pit Statement of Realization and Liquidation For the Month Ended  May 31, 200X     Non Cash Loan Salary Liq Costs Taxes  Accounts     Cash Assets Payable Payable Payable Payable Payable Deficit Book Balances May 1 $2,000 $188,000 $115,000 $5,000 $5,000 $10,000 $80,000 ($25,000) Sold building and paid loan               Collected accounts receivable               Sold equipment                 Paid salaries and taxes                 Sold inventory                 Paid liquidation costs                 Paid settlement to creditors                 Book balances May 31

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A1 Consulting Corporation experienced a fire on December 31, 2025, in which its financial records were partially destroyed. It has been able to salvage some of the records and has ascertained the following balances. December 31, 2025 December 31, 2024 Cash $40,000 $15,000 Accounts receivable (net) 84,000 126,000 Inventory 200,000 180,000 Accounts payable 50,000 10,000 Notes payable 30,000 20,000 Common stock, $100 par 400,000 400,000 Retained earnings 170,000 101,000 Additional information: 1 The inventory turnover is 4.2 times. 2. The return on common stockholders' equity is 14%. The company had no additional paid-in-capital. 3. The accounts receivable turnover is 10.2 times. 4. The return on assets is 12.5%. 5. Total assets, Dec. 31, 2024 - $604,750. Compute the following values for 2025: (a) Cost of goods sold $ (b) Net credit sales (c) Net income $ $ 6A (d) Total assets $

6. Please help me to answer this problem with solution. Thank you

a. 234,000 b. 230,400 c. 384,000 d. 276,000

general account

APA and Co., Inc. purchased a Cadillac automobile with little cash down and signed a note, secured by the Cadillac, for 48 easy monthly payments. When the company files for bankruptcy, the balance due on the Cadillac amount to P6,000,000. The car has a book value of P8,000,000 and a net realizable value of P4,000,000. The unsecured creditors of APA and Co. can expect to receive 50 percent of their claims. In the liquidation, the bank that holds the note on the Cadillac should receive:

P7.2 Excess Earnings Valuation with an Intangible Asset-Two-Year Investment Life-The One-Shot Tee-Shirt Company: At the end of Year 0, an investor creates a company by investing $1,500 in cash for stock, and the company uses all of the cash to buy t-shirts (inventory). The company also issues $200 of stock to another investor who gave the company a customer list (the name of the vendor). The company records a $200 intangible asset at the end of Year 0 for this transaction. At the end of Year 1, the company sells the t-shirts to a vendor for $2,420 but does not collect the revenue in cash until the end of Year 2. At the end of Chapter 7 | The Excess Earnings Valuation Method Year 2, the company liquidates itself by paying a liquidating dividend. The company has no operating expenses other than those related to the inventory (cost of goods sold) and does not pay income taxes. We show the company's income statement and balance sheet forecasts in Exhibit P7.2. For all parts of this…

Problem 08-42 (Algo) [LO 8-1, 8-9] Five years ago, Firm SJ purchased land for $101,000 with $10,000 of its own funds and $91,000 borrowed from a commercial bank. The bank holds a recourse mortgage on the land. For each of the following independent transactions, compute SJ's positive or negative cash flow. Assume that SJ is solvent, any recognized loss is fully deductible, and SJ's marginal tax rate is 21 percent. Required: a. SJ sells the land for $34,000 cash and the buyer's assumption of the $80,000 principal balance of the mortgage. b. SJ sells the land for $114,000 cash and pays off the $80,000 principal balance of the mortgage. c. SJ sells the land for $82,500 cash and pays off the $80,000 principal balance of the mortgage. d. SJ defaults on the $80,000 mortgage. The bank forecloses and sells the land at public auction for $64,100. The bank notifies SJ that it will not pursue collection of the $15,900 remaining debt. e. SJ defaults on the $80,000 mortgage. The bank forecloses and…

1. During fiscal year 2018, Hoskins Corporation acquired new equipment for $1200 in cash. In addiiton, the company disposed of used equipment that had original cost of $1300 and accumulated depecreciation of $700, receiving $600 in cash from the buyer. 2. During fiscal year 2018, Hoskins Corporation arranged short-term bank financing and borrowed $1500, using a portion of the cash to repay all of its outstanding long-term debt. 3. During fiscal year 2018, Hoskins Corporation engaged in no transactions involving its common stock, though it did declare and pay in cash a common stock dividend of $250. Prepare a statement of cash flows (all three sections) for Hoskins Corporation’s fiscal year 2018, using the indirect method for the cash from operations section.

Question number 3

i need the answer quickly

6

Please answer iv,v and vi. Thanks

Orion Enterprises purchased a crane on 1 January 1997 by way of a non-interest bearing note that is to mature on 31 December 2001 for a value of $75,000. If the Company had barrowed money from the bank it would have been charged an interest rate of 8%. What is the value of the crane at the date of purchase? O $55,127 $51,044 O $75,000 O $81,000

Problem 6 Ebony Company sold an office equipment with a carrying amount of 739,000, receiving a noninterest-bearing note due in three years with a face amount of 1,300,000. There is no established market value for the equipment. The interest rate on similar obligations is estimated at 12%. The present value of 1 at 12% for three periods is .712. What amount should be reported as gain or loss on the sale and interest income for the first year? Gain (loss) Interest Income a. 200,000. 288,000 b. 168,600. 110,072 c. 186,600. 111,072 d. 110,072. 186,600

c3

Problem 2-11 (IFRS) Marie Company sells gift certificates worth P2,500,000 to customers in exchange for future delivery of its product. The gift certificates are nonrefundable by the customer and the entity expects that 5% of the gift certificates will not be redeemed. During the current year, the entity redeemed gift certificates worth P1,425,000. Required: 1. Compute the expected value of breakage. 2. Compute the expected value of gift certificates to be redeemed. 3. Compute the breakage revenue. 4. Prepare the journal entries to recognize the sale of gift certificates and the redemption of gift certificates. Problem 2-12 (IFRS) Shawn Company sells gift certificates worth P8,000,000 to customers in exchange for future delivery of its product. The gift certificates are nonrefundable by the customer and the entity expects that 15% of the gift certificates will not be redeemed. During the current year, the entity redeemed gift certificates worth P2,975,000. Required: 1. Compute the…

9. Help me to answer the item #9 with solution. thank you