Given: The 456 Company purchased office supplies from A-One Supplies worth P80,000 on April 04, 2021. A - One Supplies gave the buyer trade discount of 5% and 2%. The buyer and supplier agreed with the term of 5/15, n/30. Required: How much will be paid by 456 Company on April 20?

Given: The 456 Company purchased office supplies from A-One Supplies worth P80,000 on April 04, 2021. A - One Supplies gave the buyer trade discount of 5% and 2%. The buyer and supplier agreed with the term of 5/15, n/30. Required: How much will be paid by 456 Company on April 20?

Principles of Accounting Volume 1

19th Edition

ISBN:9781947172685

Author:OpenStax

Publisher:OpenStax

Chapter11: Long-term Assets

Section: Chapter Questions

Problem 5EB: Steele Corp. purchases equipment for $30,000. Regarding the purchase, Steele paid shipping of...

See similar textbooks

Related questions

Q: Selected comparative statement data for Oriole Company are presented below. All balance sheet data…

A: Ratio analysis helps to analyze the financial statements of the company. The management can take…

Q: find out labour cost per day of 8 hours

A: 1. D.A is not given upto 100 points. So, D.A is calculated for 600 points only . And it is…

Q: The condensed financial statements of Carla Vista Co. for the years 2021 and 2022 are presented…

A: The question is related to the Ratio Analysis. Ratio is the indicated quotient of two mathematical…

Q: the sole proprietor of a consulting busines ting business and 6 days vacationing. His - fare dging…

A: If we have partly business expenses along with personal expenses , then divide the total cost…

Q: half yearly payments of £74,000 in advance -Note the Interest rate inherent in the lease is 3%…

A: Lease Accounting Financial lease Accounting, recording transaction in the books of leasee

Q: Acme Investors is considering the purchase of an undeveloped tract of land. It is currently zoned…

A: The first step is to calculate the following Operating expense ratio =Operating…

Q: Ledger account (strictly with date)

A: Ledger account is the account in which the entries debit and credit rules are entered into the…

Q: Entries for Stock Dividends Healthy Life Co. is an HMO for businesses in the Fresno area. The…

A: 1. Journalize the entry to record the declaration of the dividend, capitalizing an amount equal to…

Q: Hanson Ltd had a market value of $400m and had no debt The company has decided to issue $100m worth…

A: Answer:- Value of firm definition:- The worth of the company, also called as value of firm. It is…

Q: Issuing Stock Professional Products Inc., a wholesaler of office products, was organized on…

A: Routine transactions, such as customer billings and supplier invoicing, should not be recorded using…

Q: On Jan 1, 20X1, ABC Corp received a P450,000 3-year note from a customer. The principal and interest…

A: The note seems a zero-interest note receivable. In a zero-interest note receivable the interest…

Q: Given: The 456 Company purchased office supplies from A-One Supplies worth P124,000 on July 06,…

A: In the given question, A-one Supplies has offered a trade discount of 15% and 10%: It implies that…

Q: Assume the following: • The standard price per pound is $2.00. • The standard quantity of pounds…

A: Material Price Variance - It is calculated by using following formula - (Actual Quantity Purchased *…

Q: Given: Below are some data of the Income Statement accounts of Wishing Well Company for the year…

A: Solution: Net purchases = 611,340 Merchandise available for sale = 798,400 Merchandise available for…

Q: P Company acquired 100% of S Company through an issue of 5,000,000 shares, par P10, to the…

A: In case one company overtake the assets and liabilities of another company , then accounting for…

Q: Administrative Expense Budget Green Earth Landscaping Company provides monthly and weekly…

A: Budgeting - Budgeting is the process of estimating future operations based on past performance. %…

Q: Kevin owns a small business and uses his vehicle for personal and business use. He drove his car a…

A: Business percentage use=Business milesTotal miles×100

Q: On January 1, an entity issues 50,000 shares of $10 par value common stock for $18 per share. On…

A: Additional Paid-In Capital: In the case of stocks, additional paid-in capital (APIC) is the…

Q: Explain and give example of the following Management Reports Procedures Activities: Six Week Cash…

A: cash flow statement It provides data regarding all cash inflows that a company receives from its…

Q: You were hired by Mr. Juan Dela Cruz to prepare his sari-sari store's Statement of Financial…

A: given A. His sari-sari store has cash deposited in a bank account amounting to P50,000 B. His…

Q: The declaration, record, and payment dates in connection with a cash dividend of $70,100 on a…

A: Their will be no journal entry on record date for declaration of dividend. Because on that date…

Q: The stockyholder's section of the balance sheet contains such as the following . Common stock .…

A: Since you have posted a question with multiple sub-parts, we will do the first three sub-parts for…

Q: The units of an item available for sale during the year were as follows: January 10 Inventory 27…

A: Inventory valuation is based on the flow of exemption used by the company. There are many methods…

Q: Lame Corporation generated a 1.20 total asset turnover in its total assets of P2,000,000. The…

A: Sales = Total assets x Asset turnover = P2,000,000 x 1.2 = P2,400,000 Profit = Sales x Profit…

Q: s provided the following information: Salaries for his office (including himself at $66,850, a…

A: The answer has been mentioned below.

Q: Requirement 1. Compute the direct material price variance and the direct material quantity variance.…

A: Variance analysis measures the differences between the standard and actual cost

Q: For the coming year, Cleves Company anticipates a unit selling price of $92, a unit variable cost of…

A: Introduction: Break even sales units: The level where there is no profit nor loss to the units sold…

Q: The day count convention used in PH Bond Market 30/365 Actual/365 30/360

A: 30/360 is the correct answer. The Day count convention is called Day Count Fraction and in laymen's…

Q: 9.) Who pays the accrued interest in a bond trade?

A: We’ll answer the first question since the exact one wasn’t specified. Please submit a new question…

Q: DIDAL Company owns a ranch which produces the livestock which it uses in its meat processing…

A: Current Liabilities are those dues and obligations which needs to be settled or being paid out by…

Q: Equity-linked note can be a combination of a zero-coupon bond and an B. equity option A. efficient…

A: Equity linked noted includes to a debt instrument which do not pay fixed interest rate. It is…

Q: Department S had no work in process at the beginning of the period. It added 14,000 units of direct…

A: Equivalent units for DM = 10,500 + (3,500 x 100%) = 14,000 Equivalent units for Conversion =…

Q: The Balance sheet of Alex company limited as on 31.3.2001 is as under. Amount ($) 3,00,000 5,00,000…

Q: Selected accounts are listed below. How much is the firm's operating income? accrued payroll $2,000…

A: Operating income is one of the measure of profitability of the business. This is calculated by…

Q: Bryson Company's western territory's forecasted income statement for the upcoming year is as…

A: The differential analysis is performed when two alternatives are available with the organisation.

Q: A new drill press is being considered to purchased. The estimated first cost is Php 200,000. The net…

Q: Aguas Company produces tables. The following data apply for the month of March: Raw materials…

A: Journal entries should not be used to record routine transactions such as customer billings and…

Q: On January 1, 2017, the Gray Corporation is delinquent on a P300,000 note to the National Bank on…

A: The notes payable are the liabilities to be paid beyond 120 months and these are recognized as…

Q: Submit A machine distributor sells two models, basic and deluxe. The following information relates…

A: Sale mix variance: - The difference between a company's budgeted sales mix and the actual sales mix…

Q: ABC Corporation has 4,000, 10%, 10-year bonds, face value 1,000, and sold it at 105. Each bond is…

A: Bonds are the highly secured instruments that are issued by the entities so that investors can…

Q: Cash Budget Khloe Company imports gift items from overseas and sells them to gift shops and…

A: Cash budget- A cash budget is an estimation of the cash flows of a company over a particular phase…

Q: Feinan Sports, Inc., manufactures sporting equipment, including weight-lifting gloves. A national…

A: Materials are the actual goods utilized to make a product. Direct materials for a baker, for…

Q: On July 1, 20X1, ABC Corp received a P450,000 10% 3-year note from a customer. The principal and…

Q: TEN Company provides extended service contracts on equipment sold through major retailers. The…

A: Liabilities are the obligations and dues which needs to be settled by the business. These can be…

Q: 6.) The discounted cashflows of a bond is equal to Dirty Price (Value) Accrued Interest Clean Price…

Q: If a company is operating with ethical marketing behavior it: changes customer feedback to be…

A: Marketing is the most important function of business. But doing it ethically is even more important…

Q: Assume the following information for one of a company's variable expenses: • The actual amount of…

A: A variance is a difference between actual amount and budgeted or planned or standard amount. The…

Q: Kon Ltd was incorporated on 1.8.2013 to take over the running business of Sowmya Ltd. as from…

A: The profit and loss account is done at the end of the accounting year, and they are allocated as…

Q: 21. The_is a popular liquidity ratio formula. It is the total of current assets divided by the total…

A: The correct answer for the above mentioned question is given in the following steps for your…

Q: On Jan 1, 20X1, ABC Corp received a P300,000 3-year note from a customer. The principal and interest…

Question

Given: The 456 Company purchased office supplies from A-One Supplies worth
P80,000 on April 04, 2021. A - One Supplies gave the buyer trade discount of 5%
and 2%. The buyer and supplier agreed with the term of 5/15, n/30.
Required. How much will be paid by 456 Company on April 20?

Expert Solution

This question has been solved!

Explore an expertly crafted, step-by-step solution for a thorough understanding of key concepts.

SEE SOLUTION Check out a sample Q&A here

Concept

VIEW

Answer

VIEW

Step by step

Solved in 2 steps

SEE SOLUTION Check out a sample Q&A here

Knowledge Booster

Learn more about

Need a deep-dive on the concept behind this application? Look no further. Learn more about this topic, accounting and related others by exploring similar questions and additional content below.

Similar questions

Airplanes Unlimited purchases airplane parts from a supplier on March 19 at a quantity of 4,800 parts at $12.50 per part. Terms of the purchase are 3/10, n/30. Airplanes pays one-third of the amount due in cash on March 30 but cannot pay the remaining balance due. The supplier renegotiates the terms on April 18 and allows Airplanes to convert its purchase payment into a short-term note, with an annual interest rate of 9%, payable in six months. Show the entries for the initial purchase, the partial payment, and the conversion.
Air Compressors Inc. purchases compressor parts for its inventory from a supplier. The following transactions take place during the current year: A. On April 5, the company purchases 400 parts for $8.30 per part, on credit. Terms of the purchase are 4/ 10, n/30, invoice dated April 5. B. On May 5, Air Compressors does not pay the amount due and renegotiates with the supplier. The supplier agrees to $400 cash immediately as partial payment on note payable due, converting the debt owed into a short-term note, with a 7% annual interest rate, payable in three months from May 5. C. On August 5, Air Compressors pays its account in full. Record the journal entries to recognize the initial purchase, the conversion plus cash, and the payment.
JustKitchens Inc. provides services to restaurants and hotels. The company supplies paper products, tableware, cookware, restaurant and kitchen equipment, and cleaning supplies. On January 2, 2019, Just-Kitchens enters into a contract with a local restaurant chain to provide its services for 3 years at a cost of 10,000 per year. The restaurant chain pays the total contract fee on January 2, 2019. JustKitchenss stand-alone selling price is also 10,000 per year. After 2 years, the restaurant asks to modify the contract. On January 2, 2021, the companies agree to reduce the fee for the third year to 9,000 in exchange for extending the contract for 2 additional years at a fee of 11,000 per year. This modification is agreed to by both parties, and on that date the restaurant chain pays for the additional 2 years of service. The 11,000 fee for the additional years is the same as JustKitchenss stand-alone price. Required: 1. How should JustKitchens account for the contract modification? 2. Prepare the journal entry that JustKitchens would make over the life of the contract.
Spath Company borrows 75,000 by issuing a 4-year, noninterest-bearing note to a customer on January 1, 2019. In addition, Spath agrees to sell inventory to the customer at reduced prices over a 5-year period. Spaths incremental borrowing rate is 12%. The customer agrees to purchase an equal amount of inventory each year over the 5-year period so that a straight-line method of revenue recognition is appropriate. Required: Prepare the journal entries on Spaths books for 2019 and 2020. (Round answers to 2 decimal places.)
Steele Corp. purchases equipment for $30,000. Regarding the purchase, Steele paid shipping of $1,200, paid installation fees of $2,750, pays annual maintenance cost of $250, and received a 10% discount on sales price. Determine the acquisition cost of the equipment.
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?
Heller Company began operations in 2019 and used the LIFO method to compute its 300,000 cost of goods sold for that year. At the beginning of 2020, Heller changed to the FIFO method. Heller determined that its cost of goods sold under FIFO would have been 250,000 in 2019. For 2020, Hellers cost of goods sold under FIFO was 360,000, while it would have been 410,000 under LIFO. Heller is subject to a 21% income tax rate. Compute the cumulative effect of the retrospective adjustment on prior years income (net of taxes) that Heller would report on its retained earnings statement for 2020.
On January 1, 2019, Mopps Corp. agrees to provide Conklin Company 3 years of cleaning and janitorial services. The contract sets the price at 12,000 per year, which is the normal standalone price that Mopps charges. On December 31, 2020, Mopps and Conklin agree to modify the contract. Mopps reduces the fee for the third year to 10,000, and Conklin agrees to a 4-year extension that will extend services through December 31, 2024, at a price of 15,000 per year. At the time that the contract is modified, Mopps is charging other customers 13,500 for the cleaning and janitorial service. Required: Should Mopps and Conklin treat the modification as a separate contract? If so how should Mopps account for the contract modification on December 31, 2020? Support your opinion by discussing the application to this case of the factors that need to be considered for determining the accounting for contract modifications.
Service Revenue Softball Magazine Company received advance payments of $75,000 from customers during 2019. At December 31, 2019, $20,000 of the advance payments still had not been earned. Required: After the adjustments are recorded and posted at December 31, 2019, calculate what the balances will be in the Unearned Magazine Revenue and Magazine Revenue accounts. Use the following information for Cornerstone Exercises 5-23 and 5-24: Bolton sold a customer service contract with a price of S37 000 to Sammys Wholesale Company. Bolton offered terms of 1/10, n/30 and expects Sammy to pay within the discount period.
The balance in Ashwood Companys accounts payable account at December 31, 2019, was 1,200,000 before any necessary year-end adjustment relating to the following: Goods were in transit from a vendor to Ashwood on December 31, 2019. The invoice cost was 85,000, and the goods were shipped FOB shipping point on December 29, 2019. The goods were received on January 2, 2020. Goods shipped FOB shipping point on December 20, 2019, from a vendor to Ashwood were lost in transit. The invoice cost was 40,000. On January 5, 2020, Ashwood filed a 40,000 claim against the common carrier. Goods shipped FOB destination on December 22, 2019, from a vendor to Ashwood were received on January 6, 2020. The invoice cost was 20,000, What amount should Ashwood report as accounts payable on its December 31,2019, balance sheet? a. 1,260,000 b. 1,285,000 c. 1,325,000 d. 1,345,000
Barkers Baked Goods purchases dog treats from a supplier on February 2 at a quantity of 6,000 treats at $1 per treat. Terms of the purchase are 2/10, n/30. Barkers pays half the amount due in cash on February 28 but cannot pay the remaining balance due in four days. The supplier renegotiates the terms on March 4 and allows Barkers to convert its purchase payment into a short-term note, with an annual interest rate of 6%, payable in 9 months. Show the entries for the initial purchase, the partial payment, and the conversion.