Compute Premium Liability in 2019.
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A: Consignment Account In the consignment account consignor send the goods to the consignee in a…
Q: As part of a promotion campaign, Funzy Cereal includes one coupon in each issue of various national…
A: Calculation of promotional expensesCoupon issue = 12,000,000Coupon redeem = (12,000,000 x 4%)/3…
Q: On the back of its cereal boxes, Tiger Cereal Company offers a premium to its customers. The…
A: Step 1 Journal is the part of book keeping.
Q: Teal Company sells goods to Flint Company during 2020. It offers Flint the following rebates based…
A: As per the IFRS, Revenue should be booked only when it is highly probable that the amount will be…
Q: On August, 2019, HBO consigned to GEO 10 laptops costing P15,000 each, paying freight charge of…
A: Consignment: When items are sent on consignment, the individual or firm who owns them pays for them…
Q: Swifty Frosted Flakes Company offers its customers a pottery cereal bowl if they send in 3 boxtops…
A: Premium (Gift) means the product given free of cost to the customer on fulfilling the certain…
Q: Grass Eaters, a manufacturer of lawn mowers, predicts that it will purchase 264,000 spark plugs next…
A: * As per Bartleby policy, we are supposed to answer first 3 sub parts, in case question have…
Q: Beginning the year 2021, the Chicken Wings Manufacturing Company (CWMC) began marketing its iphone…
A: Unearned revenue for unredeemed premiums is calculated by multiplying the sales revenue per premium…
Q: Telephone Sellers Inc. sells prepaid telephone cards to customers. Telephone Sellers then pays the…
A: Given information is: Telephone Sellers Inc. sells prepaid telephone cards to customers. Telephone…
Q: No Doubt Company includes one coupon in each box of soap powder that it packs, and 10 coupons are…
A:
Q: During 2020, STU Company sold 500,000 boxes of brownies mix under a new sales promotional program.…
A: Net premium expense = Cost of baking pan + Handling and Shipping - Remittance from customer = 50 + 5…
Q: At the beginning of the current year, Clan Company offers the customers a pottery bowl if they send…
A: Liability represents the obligation that has to be paid by the company by sacrificing the assets of…
Q: Hard Company placed orders to DIFFICULT for the year 2021 that will result to the following amount…
A: First Quarter Details: Tax rate = 32% Sales = P13,000,000 Rebate = 10% * 1,100,000 = P110,000 Cost…
Q: Huawey Company, a telco operator, entered into a contract with Badjyang on Feb. 1, 2019. In line…
A: It is pertinent to note that as per IFRS 15 if a contract consists of two or more goods and services…
Q: SUGA Company sold 485,000 boxes
A: Accounting treatment of Coupon / Premium Most of the business promote the coupon / premium to their…
Q: ugust, 2019, HBO consigned to GEO 10 laptops costing P15,000 each, paying freight charge of P15,000.…
A: Net Income: Net income is the excess amount of revenue that arises after deducting all the expenses…
Q: MarkosLabs, Inc. sells tattoupées – tattooable toupées for balding men. In 2021, it sold 200…
A: In accordance with IFRS 15, a company recognizes revenue to represent the transfer of promised goods…
Q: On August, 2019, KBO consigned to UFO 10 laptops costing P15,000 each, paying freight charge of…
A: This question deals with the concept of consignment and consignee. In consignment business there are…
Q: On January 1, 2021, VVV Shop received from ABC 300 pieces of bread toasters. VVV was to sell these…
A: In Consignment Accounting we prepare Consignment A/c which is like a…
Q: During 2021, SUGA Company sold 485,000 boxes of cereals under a new sales promotional program. Each…
A: Accounting treatment of Coupon / Premium Most of the business promote the coupon / premium to their…
Q: Sheridan Candy Company offers a coffee mug as a premium for every ten $1 candy bar wrappers…
A: Cost of Mug $ 2.40 Cost of Mail $ 1.60 Total Cost $ 4.00 Less: Sale Price $ 2.00…
Q: Telephone Sellers Inc. sells prepaid telephone cards to customers. Telephone Sellers then pays the…
A: Here in January prepaid cards sold having value = $4000
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A: The Accrual basis accounting states that revenue should be recognized as and when the service or…
Q: Manual Company sells goods to Nolan Company during 2020. It offers Nolan the following rebates based…
A: Sales revenue = Total sales - Rebate = $110,000 - $110,000*2% = $110,000 - $2,200 = $107,800
Q: Case Cereal frequently distributes coupons to promote new products. On October 2, 2021, Case mailed…
A: The liabilities that arise as a result of happening or non-happening of an uncertain future event…
Q: Fry Company offers its customers a pottery cereal bowl if they send in 3 boxtops from Fry boxes and…
A: Solution : Total boxes sold 675000 Boxes that is estimated to be sent by customers (60% of…
Q: Steig's Sports Store has a customer loyalty program in which it issues points to customers for every…
A: The question is based on the concept of Financial Accounting.
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A: Revenue: Revenue refers to the income received from the business activity or sale of the output,…
Q: During 2019, Boge Corporation signed a noncancelable contract to purchase 10,000 bushels of soybeans…
A: Every business should be documented in at least two locations, according to the logic of a journal…
Q: Husserl Company included a coupon in each box of its cereal. For every 10 coupons returned by a…
A:
Q: Larkspur Inc. sells prepaid telephone cards to customers. Larkspur then pays the telecommunications…
A: As per revenue recognition concept, a revenue has to be recognized by a entity when it is earned and…
Q: To increase sales, DD Company inaugurated a promotional campaign on June 30, 2020. DD placed a…
A: Expenses means the amount spent on running the business where as income means the amount earned…
Q: Splish Company sells goods to Blossom Company during 2020. It offers Blossom the following rebates…
A: Past experience shows that the 37,600 units are sold to Blossom in the third quarter, hence a rebate…
Q: Palmer Frosted Flakes Company offers its customers a pottery cereal bowl if they send in 3 boxtops…
A: Sometimes, customers are provided with offer of sending empty boxes to the company and in return…
Q: whereby a customer who purchases three boxes of chocolates at P200 per box in a single transaction…
A: A.4,000,000 B.7,20,000 3x +.75x =60,000 x = 16,000 So .75 x 16,000 = 12,000 ×200
Q: 0 sale. Each point is redeemable in the form of peso discount. The customer can earn 1 point for…
A: The operating activities are the sale of goods and services and rent revenue. Unearned revenue is…
Q: During 2021, SUGA Company sold 485,000 boxes of cereals under a new sales promotional program. Each…
A: Premium expense refers to the expense of the insurance benefit incurred by the candidate as a part…
Q: Indicate how much income Ayayai should recognize in January, February, March, and April.
A: Financial accounting: Financial accounting is the process of recording, summarizing, and reporting…
Q: Pine Company offers a coffee mug as a premium for every ten P2.50 candy bar wrappers presented by…
A: Answer - Premium Liability - Premium Liabilities “refer to all future claim payments and related…
Q: Cullumber Company sells goods to Riverbed Company during 2020. It offers Riverbed the following…
A: This question deals with the concept of revenue recognition of the entity. When entity sells the…
Q: luna Company sold 700,000 boxes of “puto” mix under a new sales promotional program. Each box…
A: Liability is the obligation for the owner of the entity in which certain amounts are to be paid back…
Q: ABC Company runs a department store and grants loyalty awards to its customers. For every P 100…
A: Points earned on ₹ 100,00,000 @ 5 points on every P100= [(100,00,000/100) x 5] = 5,00,000 points.…
Q: What amount of liability must be presented in the statement of financial position relating to…
A: Amount of liability must be presented in the statement of financial position relating to customer…
Q: to stimulate the sales of its Alladin breakfast cereal, Loptien Company places 1 coupon in each box.…
A:
Q: How much is the Unearned Revenue for Unredeemed Premiums at December 31, 2021? 2. How much is the…
A: Sales revenue: Sales revenue is the income earned by the company by selling goods and services.…
Q: On December 28, 2021, Tristar Communications sold 10 units of its new satellite uplink system to…
A: SOLUTION- A sales discount is a reduction in the price of a product or service that is offered by…
Q: Sunland Candy Company offers a coffee mug as a premium for every ten $1 candy bar wrappers presented…
A: A journal entry is made to record the financial transaction in the books of accounts A balance sheet…
Q: Beginning the year 2020, the ABC Company began marketing its phone. Each phone sells for P50,000. To…
A: As per IFRS 15 -Revenue from contracts with customers the unearned revenue to be recognized by the…
Q: On August, 2019, HBO consigned to GEO 10 laptops costing P15,000 each, paying freight charge of…
A: Consignment accounting refers to the accounting for goods sent to the consignee and other…
Cyma Cola Company sells boxes of Cola for $10 per box. In addition, Cyma Cola offers its customers a drinking mug in exchange for $1 and 10 Cola box tops. The cost of drinking mug is $3, and the company estimates that customers will redeem 60 percent of the box tops. The premium offer began in June 2019. During 2019 Cyma Cola Company purchased 20,000 Drinking Mugs at $2 for each, and sold 300,000 boxes of Cola for $10 per box, and redeemed 60,000 box tops. Compute Premium Liability in 2019.
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- Gear Up Co. pays 65% of its purchases in the month of purchase, 30% in the month after the purchase, and 5% in the second month following the purchase. What are the cash payments if it made the following purchases in 2018?CoolShoes sells its elite tennis shoes to sports retailers throughout the country. When introducing its new RF17 shoes that sell for 125 per pair, the company includes a 15 rebate form. The rebate form can be used when the customer ultimately purchases the shoes. CoolShoes sells 100 pairs of shoes and estimates that 80% of the rebate forms will be returned by customers for a rebate. Determine the transaction price that CoolShoes should use when recognizing revenue from sale of one pair of the RF17 shoe.During 2019, R Corp., a manufacturer of chocolate candies, contracted to purchase 100,000 pounds of cocoa beans at 1.00 per pound, delivery to be made in the spring of 2020. Because a record harvest is predicted for 2020, the price per pound for cocoa beans had fallen to 0.80 by December 31, 2019. Of the following journal entries, the one that would properly reflect in 2019 the effect of the commitment of R Corp. to purchase the 100,000 pounds of cocoa is:
- Cash Rebates On January 1, 2020, Fro-Yo Inc. began offering customers a cash rebate of 5.00 if the customer mails in 10 proof-of-purchase labels from its frozen yogurt containers. Eased on historical experience, the company estimates that 20% of the labels will be redeemed. During 2020, the company sold 5,000,000 frozen yogurt containers at 1 per container. From these sales, 800,000 labels were redeemed in 2020, 150,000 labels were redeemed in 2021, and the remaining labels were never redeemed. Required: 1. Prepare the journal entries related to the sale of frozen yogurt and the cash rebate offer for 2020 and 2021. 2. Next Level Assume that 300,000 labels were redeemed in 2021. Prepare the journal entries related to the cash rebate offer for 2021.GameDay sells recreational vehicles along with secure parking storage to customers. Game Day sells the FB7 model for 62,000, and this price includes one year of secure parking storage. GameDay also sell secure parking storage separately for 8,000 per year, and customers can purchase the FB7 model without secure parking storage for 60,000. If a customer purchases the FB7 model with secure parking storage, how should GameDay allocate the transaction price?Manual Company sells goods to Nolan Company during 2020. It offers Nolan the following rebates based on total sales to Nolan. If total sales to Nolan are 10,000 units, it will grant a rebate of 2%. If it sells up to 20,000 units, it will grant a rebate of 4%. If it sells up to 30,000 units, it will grant a rebate of 6%. In the first quarter of the year, Manual sells 11,000 units to Nolan at a sales price of $110,000. Manual, based on past experience, has sold over 40,000 units to Nolan, and these sales normally take place in the third quarter of the year. What amount of revenue should Manual report for the sale of the 11,000 units in the first quarter of the year?
- Carla Vista Company sells goods to Pearl Company during 2020. It offers Pearl the following rebates based on total sales to Pearl. If total sales to Pearl are 11,200 units, it will grant a rebate of 2%. If it sells up to 19,600 units, it will grant a rebate of 4%. It if sells up to 29,200 units, it will grant a rebate of 6%. In the first quarter of the year, Carla Vista sells 9,000 units to Pearl at a sales price of $90,000. Based on past experience, Carla Vista has sold over 40,000 units to Pearl, and these sales normally take place in the third quarter of the year.Splish Company sells goods to Blossom Company during 2020. It offers Blossom the following rebates based on total sales to Blossom. If total sales to Blossom are 10,500 units, it will grant a rebate of 2%. If it sells up to 21,200 units, it will grant a rebate of 5%. If it sells up to 30,800 units, it will grant a rebate of 6%. In the first quarter of the year, Splish sells 10,600 units to Blossom at a sales price of $106,000. Splish, based on past experience, has sold over 37,600 units to Blossom, and these sales normally take place in the third quarter of the year.What amount of revenue should Splish report for the sale of the 10,600 units in the first quarter of the year. Revenue $During 2021, SUGA Company sold 485,000 boxes of cereals under a new sales promotional program. Each box contains one coupon, which entitles the customer to a premium that cost the company ₱75. Five coupons plus a remittance of ₱20 must be presented by the customer to receive a premium. SUGA estimated that 85% of the coupons will be redeemed. Actual premiums redeemed were 5,000 units. Additional information disclosed that ₱10 per premium is incurred for storage and distribution. Compute for the liability for the unredeemed coupons.
- During 2021, SUGA Company sold 485,000 boxes of cereals under a new sales promotional program. Each box contains one coupon, which entitles the customer to a premium that cost the company ₱75. Five coupons plus a remittance of ₱20 must be presented by the customer to receive a premium. SUGA estimated that 85% of the coupons will be redeemed. Actual premiums redeemed were 5,000 units. Additional information disclosed that ₱10 per premium is incurred for storage and distribution. Compute for the premium expense for the year.During 2021, SUGA Company sold 485,000 boxes of cereals under a new sales promotional program. Each box contains one coupon, which entitles the customer to a premium that cost the company ₱75. Five coupons plus a remittance of ₱20 must be presented by the customer to receive a premium. SUGA estimated that 85% of the coupons will be redeemed. Actual premiums redeemed were 5,000 units. Additional information disclosed that ₱10 per premium is incurred for storage and distribution. REQUIRED: 1. Compute for the liability for the unredeemed coupons. 2. Compute for the premium expense for the year.Teal Company sells goods to Flint Company during 2020. It offers Flint the following rebates based on total sales to Flint. If total sales to Flint are 10,900 units, it will grant a rebate of 3%. If it sells up to 18,800 units, it will grant a rebate of 5%. If it sells up to 30,900 units, it will grant a rebate of 6%. In the first quarter of the year, Teal sells 11,800 units to Flint at a sales price of $129,800. Teal, based on past experience, has sold over 42,400 units to Flint, and these sales normally take place in the third quarter of the year.What amount of revenue should Teal report for the sale of the 11,800 units in the first quarter of the year. Revenue
