7. Jurrasic Company had the following transactions, among others, during May. Which transaction represented a revenue during May? A. It received $5 000 from customer accounts receivable from sales one month earlier. B. It issued an invoice for $700 for goods delivered to customer with credit term of 30 days. C. It issued some shares in May. D. It received $600 from sales of unused furniture performed in March
Q: S The management of Mecca Copy, a photocopying center located on University Avenue, has compiled the…
A: Balance sheet :— It is one of the financial statement that shows list of final ending balances of…
Q: Roget Factory has budgeted factory overhead for the year at $3,876,600. It plans to produce…
A: The overhead is applied to the production on the basis of predetermined overhead rate. The…
Q: At the end of the year, overhead applied was $3,657,000. Actual overhead was $3,326,000. Closing…
A: Overhead is applied at the beginning of the year to estimate the cost of job. At year end when the…
Q: Required information Problem 6-18 (Algo) Calculate ending inventory and cost of goods sold for four…
A: FIFO Method - FIFO Method is inventory valuation method. Under FIFO method company utilize…
Q: You have a credit card that charges an interest rate of 17.9% compounded monthly. The table below…
A: When credit is used or extended, there is a finance fee applied, such as an interest rate. Finance…
Q: Exercise 5-5 (Algo) Solving for unknowns; single amounts [LO5-4] For each of the following…
A: Time value of money :— According to this concept, value of money in present day is greater than the…
Q: Required information [The following information applies to the questions displayed below.] Ramirez…
A: The depreciation expense is charged on fixed assets as reduction in the value of fixed assets with…
Q: Skysong, Inc. purchased a delivery truck for $30,000 on January 1, 2022. The truck has an expected…
A: The Depreciation expense is charged on fixed assets as reduction in the value of fixed assets with…
Q: Vermont Treats makes blueberry jam and blueberry syrup. Both products come out of a joint process…
A: Joint cost is the cost allocated to the products jointly involved in the process of production. It…
Q: Prepare the non-current asset note. Your note should include the cost, as adjusted for additions and…
A: Non-current assets are long-term assets that are expected to provide benefits to a company for more…
Q: a. Compute the predetermined factory overhead rate. Round your answer to the nearest cent. per…
A: Applied overhead is determined on the basis of predetermined overhead rate. Theses overhead rates…
Q: Required information [The following information applies to the questions displayed below.] Hulme…
A: Journal entries are used to record accounting transactions under double entry accounting system with…
Q: PROBLEM 5-23 CVP Applications; Contribution Margin Ratio: Degree of Operating Leverage LO5-1, LO5-3,…
A: Notes : Contribution Margin ratio = Contribution Margin/ Sales
Q: Valley View Inc., a U.S. corporation, formed a wholly owned Mexican corporation to conduct…
A: As per Tax cuts and Jobs Act, US corporations are subject to global income.
Q: If the material price variance is favorable but the material quantity variance is unfavorable, what…
A: Variance analysis is method of analysis of actual data and budgeted data. This helps an organisation…
Q: The year-end adjusted trial balance of Aggies Corporation included the following account balances:…
A: Closing entries are journal entries made at the end of an accounting period to transfer temporary…
Q: Leach Incorporated experienced the following events for the first two years of its operations. Year…
A: A business's general ledger, a master bookkeeping log that includes every financial transaction made…
Q: A debit balance in a company's Pension Asset/Liability account implies that the company has funded…
A: The Pension Asset/Liability account is used to track the funded status of a company's defined…
Q: [The following information applies to the questions displayed below.] Tiffany and Carlos decided to…
A: Liquidation refers to the process of closing a company and dispersing its assets to claims. Once the…
Q: Pearl City Corporation, a publicly traded company, is authorized to issue 213,000 $4 noncumulative…
A: The retirement of treasury stock does not affect the income statement or profit and loss account. It…
Q: PROBLEM 5-23 CVP Applications; Contribution Margin Ratio: Degree of Operating Leverage LO5-1, LO5-3,…
A: Notes : Contribution Margin ratio = Contribution Margin/ Sales Break even sales:- At the level of…
Q: Wettig Industries manufactures dining chairs and tables. The following information is available:…
A: Total overhead is the amount of money incurred on the making of the goods. It can be allocated using…
Q: Pinnacle Corp. budgeted $256,440 of overhead cost for the current year. Actual overhead costs for…
A: The predetermined overhead rate is calculated as Estimated overhead cost divided by Estimated base…
Q: Give an example of accounting problem, For that problem, there should be 4 requirements or questions…
A: Accounting is an essential function for any business, as it provides insight into the financial…
Q: Jordan electronics currently produces the shipping containers it uses to deliver the electronics…
A: Total relevant cost refers to the sum of all costs that are directly related to a particular…
Q: Required information [The following information applies to the questions displayed below.) NewTech…
A: The depreciation expense is charged on fixed assets as the reduction in the value of the fixed…
Q: Chip Company produces three products, Kin, Ike, and Bix. Each product uses the same direct material.…
A: Contribution Margin - Contribution margin is profit used against fixed cost of the company to derive…
Q: Revision of depreciation A building with a cost of $240,000 has an estimated residual value of…
A: Depreciation is an asset account that distributes the cost of a physical item over the period of its…
Q: Crane adheres to ASPE. Selected information from Crane Corp's 2023 accounting records is as follows:…
A: Cash Flow statement was used to find out the cash earned and spent on various activities. Cash Flow…
Q: Bonita Co. sells $399,000 of 12% bonds on June 1, 2025. The bonds pay interest on December 1 and…
A: Bond amortization is the process of allocating the premium or discounted amount to interest payments…
Q: shares at the time of repurchase. Which of the following correctly describes the effect of the share…
A: Brown retired the shares .Brown repurchased some of its issued shares on the open market at $23 per…
Q: Jerry Jay is the CEO of Jerry's Jackets (JJ). In June, Jerry expects to produce and sell 3100…
A: Planning budget :— It is the sum of budgeted variable cost and budgeted fixed cost. Budgeted…
Q: ! Required information [The following information applies to the questions displayed below.] The…
A: A bank reconciliation is a process of matching the balances in an entity's accounting records for a…
Q: The unit product cost under absorption costing is: Sikapin Mo Co. produces a single product that…
A: Absorption costing is a costing method that considers all the manufacturing costs. The product…
Q: The trial balance of Pacilio Security Services Inc. as of January 1, 2013, had the following normal…
A: Journal Entries - Journal Entries are the recording of transactions of the organization. It is…
Q: The unadjusted trial balance of Lakota Freight Co. at March 31, 20Y4, the end of the year, follows:…
A: Journal Entry is the primary step to record the transaction in the books of accounts. The journal…
Q: Problem 8-3A (Algo) Asset cost allocation; straight-line depreciation LO C1 [The following…
A: The lump sum price paid to acquire different assets is allocated to different assets on the basis of…
Q: What is the key difference between Absorption and Variable Costing? A Full Costing treats…
A: Variable cost means the cost which vary with the level of output and fixed cost means the cost which…
Q: What are some of the key factors that impact group interaction in an audit assignment?
A: An audit assignment is a systematic examination and evaluation of an organization's financial…
Q: Wildhorse Company's record of transactions concerning part X for the month of April was as follows.…
A: Perpetual inventory system is the one wherein the inventory records are prepared on day to day basis…
Q: RS machinery depreciation supervisor salaries direct labor supplies property tax ing cost rative…
A: Pre determined overhead rate is calculated by dividing the estimated manufacturing overhead with…
Q: Accounting The Statement of Realization and Liquidation for NMCC Corporation is as follows: ▪Assets…
A: 1.To find the amount of Assets not realized, we can use the formula:Assets not realized = Assets to…
Q: which inventory valuation method assigns a value to the inventory on the balance sheet that…
A: Inventory method: The inventory method is a method used to calculate the value of the inventory of…
Q: A Prepare common size statement Gross sales Sales return Sales Discount Net sales Cos Selling…
A: Ratio analysis is a quantitative method of gaining insight into a company's liquidity, operational…
Q: Required: Indicate the differences in accounting treatment under IFRS and under US GAAP for the…
A: Under IFRS and US GAAP, inventory is valued at the lower of cost and net realizable value (NRV).…
Q: Required information [The following information applies to the questions displayed below.] Helix…
A: If the company has spare capacity for production, then it can accept the special order if it leads…
Q: Khan, Inc., a domestic corporation, reports $650,000 of gross income and an $80,000 expense, all…
A: Sales revenue is the income generated by a company through the selling of goods or services. The…
Q: Suppose a company signs a three-year lease agreement. The lease payments have a present value of…
A: The accounting equation states that assets equal to sum of liabilities and equity. The lease…
Q: Primara Corporation has a standard cost system in which it applies overhead to products based on the…
A: Fixed overhead is the cost which signifies the cost that do not change with the change in the…
Q: 1. Identify what type of investment the Yearling stock is for Staub. 2. Journalize the transactions…
A: Introduction:- Investment by Staub In Yearling is also termed as Investment in Associate Company as:…
7. Jurrasic Company had the following transactions, among others, during May. Which transaction represented a revenue during May?
A. It received $5 000 from customer
B. It issued an invoice for $700 for goods delivered to customer with credit term of 30 days.
C. It issued some shares in May.
D. It received $600 from sales of unused furniture performed in March
Step by step
Solved in 4 steps
- The following transactions were completed by Hammond Auto Supply during January, which is the first month of this fiscal year. Terms of sale are 2/10, n/30. The balances of the accounts as of January 1 have been recorded in the general ledger in your Working Papers or in CengageNow. Hammond Auto Supply does not track cash sales by customer. Jan. 2Issued Ck. No. 6981 to JSS Management Company for monthly rent, 775. 2J. Hammond, the owner, invested an additional 3,500 in the business. 4Bought merchandise on account from Valencia and Company, invoice no. A691, 2,930; terms 2/10, n/30; dated January 2. 4Received check from Vega Appliance for 980 in payment of 1,000 invoice less discount. 4Sold merchandise on account to L. Paul, invoice no. 6483, 850. 6Received check from Petty, Inc., 637, in payment of 650 invoice less discount. 7Issued Ck. No. 6982, 588, to Fischer and Son, in payment of invoice no. C1272 for 600 less discount. 7Bought supplies on account from Doyle Office Supply, invoice no. 1906B, 108; terms net 30 days. 7Sold merchandise on account to Ellison and Clay, invoice no. 6484, 787. 9Issued credit memo no. 43 to L. Paul, 54, for merchandise returned. 11Cash sales for January 1 through January 10, 4,863.20. 11Issued Ck. No. 6983, 2,871.40, to Valencia and Company, in payment of 2,930 invoice less discount. 14Sold merchandise on account to Vega Appliance, invoice no. 6485, 2,050. Jan. 18Bought merchandise on account from Costa Products, invoice no. 7281D, 4,854; terms 2/10, n/60; dated January 16; FOB shipping point, freight prepaid and added to the invoice, 147 (total 5,001). 21Issued Ck. No. 6984, 194, to M. Miller for miscellaneous expenses not recorded previously. 21Cash sales for January 11 through January 20, 4,591. 23Issued Ck. No. 6985 to Forbes Freight, 96, for freight charges on merchandise purchased on January 4. 23Received credit memo no. 163, 376, from Costa Products for merchandise returned. 29Sold merchandise on account to Bruce Supply, invoice no. 6486, 1,835. 31Cash sales for January 21 through January 31, 4,428. 31Issued Ck. No. 6986, 53, to M. Miller for miscellaneous expenses not recorded previously. 31Recorded payroll entry from the payroll register: total salaries, 6,200; employees federal income tax withheld, 872; FICA Social Security tax withheld, 384.40, FICA Medicare tax withheld, 89.90. 31Recorded the payroll taxes: Social Security tax, 384.40, FICA Medicare tax, 89.90; state unemployment tax, 334.80; federal unemployment tax, 37.20. 31Issued Ck. No. 6987, 4,853.70, for salaries for the month. 31J. Hammond, the owner, withdrew 1,000 for personal use, Ck. No. 6988. Required 1. Record the transactions for January using a sales journal, page 73; a purchases journal, page 56; a cash receipts journal, page 38; a cash payments journal, page 45; and a general journal, page 100. Assume the periodic inventory method is used. 2. Post daily all entries involving customer accounts to the accounts receivable ledger. 3. Post daily all entries involving creditor accounts to the accounts payable ledger. 4. Post daily those entries involving the Other Accounts columns and the general journal to the general ledger. Write the owners name in the Capital and Drawing accounts. 5. Add the columns of the special journals and prove the equality of the debit and credit totals. 6. Post the appropriate totals of the special journals to the general ledger. 7. Prepare a trial balance. 8. Prepare a schedule of accounts receivable and a schedule of accounts payable. Do the totals equal the balances of the related controlling accounts?The following transactions were completed by Hammond Auto Supply during January, which is the first month of this fiscal year. Terms of sale are 2/10, n/30. The balances of the accounts as of January 1 have been recorded in the general ledger in your Working Papers or in CengageNow. Hammond Auto Supply does not track cash sales by customer. Jan. 2Issued Ck. No. 6981 to JSS Management Company for monthly rent, 775. 2J. Hammond, the owner, invested an additional 3,500 in the business. 4Bought merchandise on account from Valencia and Company, invoice no. A691, 2,930; terms 2/10, n/30; dated January 2. 4Received check from Vega Appliance for 980 in payment of 1,000 invoice less discount. 4Sold merchandise on account to L. Paul, invoice no. 6483, 850. 6Received check from Petty, Inc., 637, in payment of 650 invoice less discount. 7Issued Ck. No. 6982, 588, to Fischer and Son, in payment of invoice no. C1272 for 600 less discount. 7Bought supplies on account from Doyle Office Supply, invoice no. 1906B, 108; terms net 30 days. 7Sold merchandise on account to Ellison and Clay, invoice no. 6484, 787. 9Issued credit memo no. 43 to L. Paul, 54, for merchandise returned. 11Cash sales for January 1 through January 10, 4,863.20. 11Issued Ck. No. 6983, 2,871.40, to Valencia and Company, in payment of 2,930 invoice less discount. 14Sold merchandise on account to Vega Appliance, invoice no. 6485, 2,050. Jan. 18Bought merchandise on account from Costa Products, invoice no. 7281D, 4,854; terms 2/10, n/60; dated January 16; FOB shipping point, freight prepaid and added to the invoice, 147 (total 5,001). 21Issued Ck. No. 6984, 194, to M. Miller for miscellaneous expenses not recorded previously. 21Cash sales for January 11 through January 20, 4,591. 23Issued Ck. No. 6985 to Forbes Freight, 96, for freight charges on merchandise purchased on January 4. 23Received credit memo no. 163, 376, from Costa Products for merchandise returned. 29Sold merchandise on account to Bruce Supply, invoice no. 6486, 1,835. 31Cash sales for January 21 through January 31, 4,428. 31Issued Ck. No. 6986, 53, to M. Miller for miscellaneous expenses not recorded previously. 31Recorded payroll entry from the payroll register: total salaries, 6,200; employees federal income tax withheld, 872; FICA Social Security tax withheld, 384.40, FICA Medicare tax withheld, 89.90. 31Recorded the payroll taxes: Social Security tax, 384.40, FICA Medicare tax, 89.90; state unemployment tax, 334.80; federal unemployment tax, 37.20. 31Issued Ck. No. 6987, 4,853.70, for salaries for the month. 31J. Hammond, the owner, withdrew 1,000 for personal use, Ck. No. 6988. Required 1. Record the transactions in the general journal for January. If you are using Working Papers, start with page 1 in the journal. Assume the periodic inventory method is used. The chart of accounts is as follows: 2. Post daily all entries involving customer accounts to the accounts receivable ledger. 3. Post daily all entries involving creditor accounts to the accounts payable ledger. 4. Post daily the general journal entries to the general ledger. Write the owners name in the Capital and Drawing accounts. 5. Prepare a trial balance. 6. Prepare a schedule of accounts receivable and a schedule of accounts payable. Do the totals equal the balances of the related controlling accounts?Post the following July transactions to T-accounts for Accounts Receivable, Sales Revenue, and Cash, indicating the ending balance. Assume no beginning balances in these accounts. A. on first day of the month, sold products to customers for cash, $13,660 B. on fifth day of month, sold products to customers on account, $22,100 C. on tenth day of month, collected cash from customer accounts, $18,500
- Prepare journal entries to record the following transactions that occurred in April: A. on first day of the month, issued common stock for cash, $15,000 B. on eighth day of month, purchased supplies, on account, $1,800 C. on twentieth day of month, billed customer for services provided, $950 D. on twenty-fifth day of month, paid salaries to employees, $2,000 E. on thirtieth day of month, paid for dividends to shareholders, $500If a customer owed your company $100 on the first day of the month, then purchased $200 of goods on credit on the fifth and paid you $50 on fifteenth, the customers ending balance for the month would show a (debit or credit) of how much?Prepare journal entries to record the following transactions for the month of November: A. on first day of the month, issued common stock for cash, $20,000 B. on third day of month, purchased equipment for cash, $10,500 C. on tenth day of month, received cash for accounting services, $14,250 D. on fifteenth day of month, paid miscellaneous expenses, $3,200 E. on last day of month, paid employee salaries, $8,600
- On January 24, 20Y8, Niche Consulting collected $5,700 it had hilled its clients for services rendered on December 31, 20Y7. How would you record the January 24 transaction, using the accrual basis? A. Increase Cash, $5,700; decrease Fees Earned, $5,700 B. Increase Accounts Receivable, $5,700; increase Fees Earned, $5,700 C. Increase Cash, $5,700; decrease Accounts Receivable, $5,700 D. Increase Cash, $5,700; increase Fees Earned, $5,700Reconstructing a Beginning Account Balance During the month, services performed for customers on account amounted to $7,500 and collections from customers in payment of their accounts totaled $6,000. At the end of the month, the Accounts Receivable account had a balance of $2,500. What was the Accounts Receivable balance at the beginning of the month?Prepare journal entries to record the following transactions that occurred in March: A. on first day of the month, purchased building for cash, $75,000 B. on fourth day of month, purchased inventory, on account, $6,875 C. on eleventh day of month, billed customer for services provided, $8,390 D. on nineteenth day of month, paid current month utility bill, $2,000 E. on last day of month, paid suppliers for previous purchases, $2,850
- Prepare journal entries to record the following transactions for the month of July: A. on first day of the month, paid rent for current month, $2,000 B. on tenth day of month, paid prior month balance due on accounts, $3,100 C. on twelfth day of month, collected cash for services provided, $5,500 D. on twenty-first day of month, paid salaries to employees, $3,600 E. on thirty-first day of month, paid for dividends to shareholders, $800Analyzing the Accounts The controller for Summit Sales Inc. provides the following information on transactions that occurred during the year: a. Purchased supplies on credit, $18,600 b. Paid $14,800 cash toward the purchase in Transaction a c. Provided services to customers on credit1 $46,925 d. Collected $39,650 cash from accounts receivable e. Recorded depreciation expense, $8,175 f. Employee salaries accrued, $15,650 g. Paid $15,650 cash to employees for salaries earned h. Accrued interest expense on long-term debt, $1,950 i. Paid a total of $25,000 on long-term debt, which includes $1.950 interest from Transaction h j. Paid $2,220 cash for l years insurance coverage in advance k. Recognized insurance expense, $1,340, that was paid in a previous period l. Sold equipment with a book value of $7,500 for $7,500 cash m. Declared cash dividend, $12,000 n. Paid cash dividend declared in Transaction m o. Purchased new equipment for $28,300 cash. p. Issued common stock for $60,000 cash q. Used $10,700 of supplies to produce revenues Summit Sales uses the indirect method to prepare its statement of cash flows. Required: 1. Construct a table similar to the one shown at the top of the next page. Analyze each transaction and indicate its effect on the fundamental accounting equation. If the transaction increases a financial statement element, write the amount of the increase preceded by a plus sign (+) in the appropriate column. If the transaction decreases a financial statement element, write the amount of the decrease preceded by a minus sign (-) in the appropriate column. 2. Indicate whether each transaction results in a cash inflow or a cash outflow in the Effect on Cash Flows column. If the transaction has no effect on cash flow, then indicate this by placing none in the Effect on Cash Flows column. 3. For each transaction that affected cash flows, indicate whether the cash flow would be classified as a cash flow from operating activities, cash flow from investing activities, or cash flow from financing activities. If there is no effect on cash flows, indicate this as a non-cash activity.Journal Entries Overnight Delivery Inc. is incorporated on February 1 and enters into the following transactions during its first month of operations: February 15: Received $8,000 cash from customer accounts. February 26: Provided $16,800 of services on account during the month. February 27: Received a $3,400 bill from the local service station for gas and oil used during February. February 28: Paid $400 for wages earned by employees for the month. February 28: Paid $3,230 for February advertising. February 28: Declared and paid $2,000 cash dividends to stockholders. Required Prepare journal entries on the books of Overnight to record the transactions entered into during February. Explain why you agree or disagree with the following: The transactions on February 28 all represent expenses for the month of February because cash was paid. The transaction on February 27 does not represent an expense in February because cash has not yet been paid.