Also known as the historical cost principle, ________ states that everything the company owns orcontrols (assets) must be recorded at their value at the date of acquisition.A. revenue recognition principleB. expense recognition (matching) principleC. cost principleD. full disclosure principle

Q: The following information relates to Pug Company: Sales revenue Contribution margin Net operating in...

A: As per marginal costing, the change in sales will equal the change in contribution proportionally, f...

Q: A short-term note payable: O Is a written promise to pay a specified amount on a definite future dat...

A: Short-term note payable is not a contingent and estimated liability because it has a definite amount...

Q: On December 31, 2021, when its Allowance for Doubtful Accounts had a debit balance of $1,600, Whispe...

A: Bad debt expense = [($67,000 x 8%) + $1,600 debit balance] = $6,960

Q: field work in connection with your audit of Carla Corporation for the year ended December 31, 2020. ...

A: A cash flow statement under the indirect method is prepared by adjusting the net income of the year.

Q: 4...new..C Bonita Leasing Company agrees to lease equipment to Windsor Corporation on January 1, 20...

A: Lease Accounting It is important in the lease accounting which determine the present value of the le...

Q: In connection with your examination of the financial statements of Ringo, Inc. for the year ended De...

A:

Q: ABC Company issued 500 ordinary and 500 preference shares for a total consideration of P 20,000. Eac...

A: Amount credited in the ordinary share capita account upon issuance of the shares = Total considerati...

Q: P4.3 (LO 2, 3, 4) (Various Income-Related Items) Maher Inc. reported income from continuing operatio...

A: An income statement helps to understand the financial condition of any business.

Q: If current assets are $100,000 and current liabilities are $42,000, what is the working capital?A. 2...

A: Working capital is the amount of capital or money needed for day to day operations of the business. ...

Q: Assuming a December 31 fiscal year-end, prepare a depreciation schedule for the life of the asset us...

A: Depreciation is the expenses which falls under the non-cash expenses because there is no cash outflo...

Q: Determine the future value of the following single amounts (FV of $1. PV of $1. FVA of $1. PVA of $1...

A: The future value is computed by multiplying the invested amount by the future value factor. The futu...

Q: ABC Company grants all employees 2 weeks of paid vacation for each full year of employment. Unused v...

A: The total vacation expenses are the sum total of  a) The amount earned in 2020 and b) the increase i...

Q: Indigo Inc. manufactures an X-ray machine with an estimated life of 12 years and leases it to Chambe...

A: The question is based on the concept of Lease Accounting.  

Q: repared all indicated entries for 2012 and 2013. what is/are the rules in answering the problem?

A: Acquiring of copy right for = 285000 Remaining Life= 20 years Estimates Sales 2012 50, 000 copies 20...

Q: The following transactions are for Larkspur Company. On December 3, Larkspur Company sold $512,700 o...

A: Financial transactions are recorded via journal entries. You insert transaction details into your co...

Q: Freetown Manufacturing company acquired three patents in January 2016. The patents have different l...

A:

Q: 21.15 A company starts in business on 1 January 2017, the financial year end being 31 December. You ...

A: Machinery - Machinery is fixed assets for the company. Company invest in such non current assets to ...

Q: Salvage value is: O Also called residual value O Also called scrap value O An estimate of the asset'...

A: Solution: salvage value is the value of an asset remaining after it has been fully depreciated. It i...

Q: Provide 2 audit response for translation foreign exchange rate? (include the reasonable test)

A: Foreign Exchange Translation It is important in the business to make effective accounting procedures...

Q: On August 1, 2010, a company issues bonds with a par value of $600,000. The bonds mature in 10 years...

A: Interest  payable  on bond is        $600000 × 6% × 5/12 =                $ 15000   The amortization...

Q: Financial information is presented below: Operating expenses $ 45000 Sales revenue 241000 Cost of go...

A: Gross Profit - Gross Profit is the profit margin earned on the units sold. Gross Profit is the profi...

Q: The company m overflight at ac Required: 1. Prepare a fle the effect of ea all amounts as

A: A Flexible budget is called variable budget and adjust to change in actual revenue level.

Q: The XYZ partnership incurs $23,000 of organization costs during 2020. The partnership started operat...

A: Since full month of amortisation is to be followed, thus it shall be treated as the organization cos...

Q: Novak Corp. returned $330 of goods originally purchased on credit from Bridgeport Industries. Using ...

A: Periodic inventory is an accounting method of valuing stocks at regular intervals. Businesses physic...

Q: Exercise 8-25 (Static) Compute Equivalent Units: FIFO Method (LO 8-5)   The following data are take...

A: In this question we require equivalent units (materials; conversion) used to compute production cost...

Q: ent of Alfred Cesar Quinsay, CPA, are as follows: Accounts Payable Accounts Receivable Accumulated D...

A: The income statement explains the financial performance of the company for a particular period of ti...

Q: The December 31, 2019 statement of financial position of Help Company included the following informa...

A: Solution Working note- 1-Balance of notes receivable- Beginning balance  598000 Issued  740000 ...

Q: ABC Company reported in its 2019 current tax expense at P 5,530,000. The following changes in ABC as...

A: Income tax is acknowledged as the expense paid by a taxpayer to the government for the income earned...

Q: Using the following balance sheet and income statement data, what is the debt to assets ratio? Curre...

A: Formula: Debt to Assets ratio = ( Total liabilities / Total Assets ) x 100

Q: In 2010, Payton Corporation began selling a new line of products that carry a two-year warram the es...

A: Warranty is a form of assurance being provided by the seller to the buyer that in case product will ...

Q: Jean's an things is a factory which makes term clothing. At the end of the accounting year December ...

A: Cost of goods manufactured - Cost of Goods Manufactured is the total cost incurred to manufactured g...

Q: A lawsuit is an example of a contingent liability for the defendant. O True O False

A: Contingent Liabilities are the liabilities the outcome of which is unknown.

Q: 7...new.e1..... Sage Industries and Pronghorn Inc. enter into an agreement that requires Pronghor...

A:

Q: QUESTION 3 Hope Company's total assets were $7375. Hope collected on $617 of account receivable that...

A: Since Basic accounting equation is Total assets = Total liabilities + Owners Equity.   

Q: Miguel Wing has decided to enter contract with uber service provider in his area. The driver offers ...

A: GIVEN     There is 40% Chance he will drive an Average of 12,000 Kms Per Annum There is 30% Chance h...

Q: Required : Prepare the following in good form (1) Statement of Comprehensive Income (2) Statement of...

A: Financial statements are those statements which are prepared at the end of accounting period for the...

Q: A machine costing P 733,615 is estimated to have a life of 10 years. If the annual rate of depreciat...

A: Under Constant percentage of declining balance method, to calculate depreciation for current year,  ...

Q: Additional information: The selling and administration expenses were $1,000 in the January. Income...

A: Inventory- The term inventory refers to the raw resources used in manufacture as well as the commodi...

Q: 1. How much is the defined benefit cost taken to profit or loss for the year 2020? 2. How much is t...

A: Current Service cost shall increase with the increase in the present value of defined benefit obliga...

Q: ABC Company reported in its 2019 current tax expense at P 5,530,000. The following changes in ABC as...

A: Decrease in Deferred Tax Asset = P500000 - P200000 = P300000 Decrease in Deferred Tax Liability = P6...

Q: Assume that for a particular company the only temporary difference for tax effect accounting purpose...

A: given   Assume that for a particular company the only temporary difference for tax-effect accounting...

Q: Anderson Enterprises uses a job costing system. Record the following transactions in Anderson Enterp...

A: Financial transactions are recorded via journal entries. You insert transaction details into your co...

Q: During the month of February, Bridgeport Corp's employees earned wages of $79,920. Withholdings rela...

A: Given that total employees earned wages is $ 79920 Salaries and wages payable = Total employee earne...

Q: 8. If the direct labour cost for company A is £15,000, direct material cost is £26,000, factory rent...

A: Formula: Conversion cost = Direct labor cost + Factory overhead

Q: During your audit of cash receipts of shift number 1 of a Burger Stand, the following details of inv...

A: Cash remittance: Cash remittance indicates a payment of money through cash instead of using any card...

Q: On December 31, 2020, Sack Port Ventures Inc. borrowed $103,000 by signing a four-year, 8.0% install...

A: Introduction Since the payment scheme of the principal requires 4 equal payments, then it's computed...

Q: Save-the-Earth Company reports the following income statement accounts for the year ended December 3...

A: A MULTI-STEP INCOME STATEMENT IS A FINANCIAL REPORTING DOCUMENT THAT IS USE TO DETERMINE AND SHOW NE...

Q: attached is the problem REQUIRED: What is the lease liability on Dec. 31, 2020?  What is the lease...

A: A lease is a contract between two parties in which one party grants rights to the other to use the a...

Q: MJ Consultants. incurred the following business expenses: Bank service charges $50 Supplies 1,000 Fe...

A: Deductible expense: It implies to all the allowable expenses that are deducted from the company's pr...

Q: 4. Caesar works in the Oil & Gas industry. His wife is a stay-at-home mom, and she handles their inv...

A: Pure Risk refers to risk that cannot be controlled and has two outcome : complete loss or no loss at...