Leonard should report Retained Earnings, 1/1/19, as adjusted at [ Select ] [ Select] $2,000,000 $2,555.000 None of these. Leonard should report Retained Earnings, 12/31/2019 at $1.785,000 $2,215,000 Leonard should report Accumulated Other Comprehensive Income, 12/31/2019 at [ Select ]
Q: What is the difference between tangible and intangible assets?
A: The tangible assets are those types of assets that are physically present, hence they can be seen or...
Q: indicate why you would or would not want to be involved in a Limited Partnership investment
A: A limited partnership (LP), as opposed to a limited partnership (LLP), is a partnership formed by tw...
Q: Which of the following branches of accounting is often limited to preparing and distributing financi...
A: Accounting is the process whereby the costs and revenues of the business are estimated and recorded....
Q: A taxpayer filed his income tax return in October 28, 2018. The deadline for the return was April 15...
A: solution concept as per the income tax provision stated by BIR In case if a person fails to file ret...
Q: What is the period of time covered by the income statement?
A: Answer:; Income statement is made for the period of one year and it is stated as for the year ended ...
Q: With regard to segregation of duties, rule one is that transaction authorization and transaction pro...
A: Answer: One of most important part of internal control is segregation of duties. It includes that tr...
Q: Question 1: What is the correct amount of accounts payable to be presented in the statement of finan...
A: The question pertains to determining the correct current and non current liabilities of the BeCarefu...
Q: The 2021 financial statement audit of OMG company began when the trial balance was received from man...
A: Answer: Given case: The schedule of liabilities to vendor showed that the company has only five supp...
Q: What is the total equity of the Ackerman Limousine Service? 2. What is the total amount of Mikasa Ac...
A: The investment made by the owner is recorded as capital in the balance sheet.
Q: What is the amount of sales under cash basis? What is the amount of purchases under cash basis? W...
A: Solution Note : as per the Q&A guideline we are required to answer the first three subparts only...
Q: On January 1 of the current year, a company purchased and placed in service a machine with a cost of...
A: 1. Depreciation Expenses - Depreciation Expenses are the expense incurred on the wear and tear of th...
Q: X Co. is engaged in constructing and renting office space to various businesses. On September 1, 200...
A: Revenue that related to future period of time, but received in advance is known as unearned revenue....
Q: Based on past experience, Maas Corp. (a U.S.-based company) expects to purchase raw materials from a...
A: A journal entry is a form of accounting entry that is used to report a business transaction in a com...
Q: overvalued Building. As a consideration, OPQ Co. issued its own shares of stock with a market value ...
A:
Q: determine how much revenue is recognized in December using Acura basic accounting on December 7th Ok...
A: Accrual basis of accounting requires recognition of revenues and expenses as and when it is due irre...
Q: Which of the following is recorded as a cost when purchasing an existing building? O A. cost to reno...
A: The correct solution is given in the following steps for your reference
Q: Bulgasal Company provided the following data: 2020 2021 5,000,000 5,850,000 Share capital (P100 par ...
A: Solution Concept Net income for the current year =change in retained earnings + share dividend issue...
Q: . ABC Corporation invested in one of DEF's ordinary shares that has a par value of P500 and a market...
A: solution concept in case ,the dividend does not grow we cannot use the Gordons growth model When th...
Q: On December 1, Jasmin Ernst organized Ernst Consulting. On December 3, the owner contributed $85,360...
A: Retained earnings refer to the earnings accumulated by the company over a period of time that can be...
Q: Using the following information, prepare a bank reconciliation. Bank balance: $4,021 Book balance: ...
A: A bank reconciliation statement is prepared by the management at a certain time period to identify t...
Q: Accounts payable subsidiary ledger. Purchase journal 15 days before and 15 days after report date. ...
A: Assertions are claims made by the management of the company which are further verified by the audito...
Q: Which of the following income items may affect both Consolidated Net Income attributable to Parent a...
A: Consolidation Consolidation means the parent company taken over the shares of subsidiary company con...
Q: weekly $fill in the blank 1 $fill in the blank 2 Starr, P. MFJ N/A 1,929 weekly fill in the blank ...
A: Wage-Bracket Method:
Q: . Landscape, Inc. includes an estimate of warranty expense in the year in which it sells its lawn mo...
A: The principle of recognizing expenses and liabilities as soon as possible when there is uncertainty ...
Q: Poly received a TV set from her employer Alfa Mart Company, a business entity engaged in the distrib...
A: The taxable compensation shall be equal to her two month’s salary
Q: REQUIRED; How much purchases should be reported on the statement of comprehensive income for the y...
A: solution concept total purchase =cash purchase + credit purchase given Accounts payable Janu...
Q: 1. Given below are adjustmentd made in December 31, 2021. Provide the original entries. a. Prepaid...
A: Income and expenses are required to be recorded on accrual basis in the books of accounts. So for al...
Q: A parent company purchased all the outstanding bonds of its subsidiary. Will this cash transaction a...
A: consolidated statement of cash flows is the aggregate of operating, financial and investing activity...
Q: Required: Preparing the cash budget for 2022 on the months of July, August and September, with comm...
A: Data for the monthly cash budget preparation is given for the month of July, August and September. T...
Q: Consider the following audit work performed by two auditors, Suzy and Gary:(a) Suzy attended the cli...
A: Audit evidence seems to be data or information used or collected by auditors as a portion of their a...
Q: Muskoko Inc. purchased a property for $1.800,000 in 2022. The carrying value of property was $1,500,...
A: Correct option: B. Impairment loss of $ 250,000 Incorrect options: A. Impairment gain of $ 550,000 C...
Q: pple issues $5,000,000, 8%, 10-year bonds on January 1, 2020. The bonds pa onds are issued to yield ...
A: A bond would be a deal between a buyer and the firm, state institutions, or government entity issuin...
Q: Roquan, a single taxpayer, is an attorney and practices as a sole proprietor. This year, Roquan had ...
A: For tax purposes, business income is a type of income earned that falls under the category of ordina...
Q: In your own understanding, Why is technical writing important in our everyday lives?
A: Technical writing is the most important impactful way of communication to the users and in our daily...
Q: Please respond promptly: ...
A: Introduction:- Internal control means:- Internal controls are company policies and procedures and ru...
Q: Under which category are gift certificates issued by a restaurant reported in the balance sheet? * o...
A: Current Liabilities: Current liabilities are financial commitments owed by a firm that are due withi...
Q: Required: a. What was the total of accounts written off during the first 11 months? (Hint Make a T-a...
A: Solution:- Given, On January 1, 2019, the balance in Tabor Co.'s allowance for Bad debts account was...
Q: 98 cases were purchased at a cost of $6,202 each. In addition, the business paid a freight charge of...
A: First-in, first-out (FIFO) cost flow assumption - Under FIFO Method, Inventory purchased first is so...
Q: Among the account balance of Jeffrey Corporation at December 31, 2009 are the following: Patent P2,4...
A: A patent is an intangible asset shown on the balance sheet. It doesn't have any physical substance w...
Q: The following information relates to Ivanhoe Limited's Cash account. The reconciled cash balance fro...
A: The bank reconciliation statement is prepared to equate the balances of cash book and passbook with ...
Q: Bunnell Corporation is a manufacturer that uses job-order costing. On January 1, the company’s inven...
A: It is given that:company’s overhead rate - $14.25 Raw materials - $634000 Where, Raw materials use i...
Q: Jerely, Inc. had the following noncurrent asset account balance at December 31, 2019: Patent P1,920,...
A: Intangible Assets Intangible Assets are the assets that do not have any physical existence, that can...
Q: A taxpayer received a notice from the BIR to file his 2020 income tax return not later than January ...
A: Surcharge- Surcharge refers to an addition of extra charge on the decided or identified price. In ot...
Q: Required information Problem 6-9B Record transactions and prepare a partial income statement using a...
A: Purchase return was made on June 8 and June 26 Purchases were made on June 2 and June 20 = $ 2300 + ...
Q: Sold food products for 1,000 cash, the cost of producing were 700. 2. Purchased ingredients from a s...
A: The accounting equation states that assets equals to sum of liabilities and shareholders equity. Th...
Q: IS single, nden Tnd fiolusd
A: Facts of the case:- A retired in...
Q: any purchased mining property for $4,875,000 (assume no salvage value) containing an estimated 15,00...
A: In mining there the depreciation based on the ore extracted from the mines.
Q: Guasha Corp. factored P600,000 of accounts receivable to Stalactite Corp. on October 1, 2020. Contro...
A: Accounts receivable is the balance of the amount due to the company for goods or services provided t...
Q: ucido Products markets two computer games: Claimjumper and Makeover. A contribution format income st...
A: The Break-even point indicates that total units are to be sold by the business entity to recover its...
Trending now
This is a popular solution!
Step by step
Solved in 2 steps
- Refer to the information for Cox Inc. above. What amount would Cox record as depreciation expense at December 31, 2020, if the double-declining-balance method were used? a. $187,200 b. $192,000 c. $195,200 d. $312, 000Comprehensive Colt Company reports pretax financial income of 143,000 in 2019. In addition to pretax income from continuing operations (of which revenues are 295,000), the following items are included in this pretax income: Colts taxable income totals 93,000 in 2019. The difference between the pretax financial income and the taxable income is due to the excess of tax depreciation over financial depreciation on assets used in continuing operations. At the beginning of 2019, Colt had a retained earnings balance of 310.000 and a deferred tax liability of 8,100. During 2019, Colt declared and paid dividends of 48,000. It is subject to tax rates of 15% on the first 50,000 of income and 30% on income in excess of 50,000. Based on proper interperiod tax allocation procedures, Colt has determined that its 2019 ending deferred tax liability is 14,100. Required: 1. Prepare a schedule for Colt to allocate the total 2019 income tax expense to the various components of pretax income. 2. Prepare Colts income tax journal entry at the end of 2019. 3. Prepare Colts 2019 income statement. 4. Prepare Colts 2019 statement of retained earnings. 5. Show the related income tax disclosures on Colts December 31, 2019, balance sheet.Prince Corporations accounts provided the following information at December 31, 2019: What should be the current balance of retained earnings? a. 520,000 b. 580,000 c. 610,000 d. 670,000
- Income Statement and Retained Earnings Huff Company presents the following items derived from its December 31, 2019, adjusted trial balance: The following information is also available for 2019 and is not reflected in the preceding accounts: 1. The common stock has been outstanding all year. A cash dividend of 1.28 per share was declared and paid. 2. Land was sold at a pretax gain of 6,300. 3. Division X (a major component of the company) was sold at a pretax gain of 4,700. It had incurred a 9,500 pretax operating loss during 2019. 4. A tornado, which is an unusual event in the area, caused a 5,400 pretax loss. 5. The income tax rate on all items of income is 30%. 6. The average shareholders equity is 90,000. Required: 1. Prepare a 2019 multiple-step income statement for Huff. 2. Prepare a 2019 retained earnings statement. 3. Compute the 2019 return on common equity (Net Income 4 Average Shareholders Equity).Fisafolia Corporation has gross income from operations of $210,000 and operating expenses of $160,000 for 2019. The corporation also has $30,000 in dividends from publicly traded domestic corporations in which the ownership percentage was 45 percent. Calculate the corporation's dividends received deduction for 2019. $_____________ Assume that instead of $210,000, Fisafolia Corporation has gross income from operations of $135,000. Calculate the corporation's dividends received deduction for 2019. $___________ Assume that instead of $210,000, Fisafolia Corporation has gross income from operations of $158,000. Calculate the corporation's dividends received deduction for 2019. $_____________On December 31, 2019, Vail Company owned the following assets: Vail computes depreciation and amortization expense to the nearest whole year. During 2020, Vail engaged in the following transactions: Required: 1. Check the accuracy of the accumulated depreciation balances at December 31, 2019. Round to the nearest whole dollar in all requirements. 2. Prepare journal entries to record the preceding events in 2020, as well as the year-end recording of depreciation expense. 3. Prepare an Accumulated Depreciation account for each category of assets, enter the beginning balance, post the journal entries from Requirement 2, and compute the ending balance.
- Gray Companys financial statements showed income before income taxes of 4,030,000 for the year ended December 31, 2020, and 3,330,000 for the year ended December 31, 2019. Additional information is as follows: Capital expenditures were 2,800,000 in 2020 and 4,000,000 in 2019. Included in the 2020 capital expenditures is equipment purchased for 1,000,000 on January 1, 2020, with no salvage value. Gray used straight-line depreciation based on a 10-year estimated life in its financial statements. As a result of additional information now available, it is estimated that this equipment should have only an 8-year life. Gray made an error in its financial statements that should be regarded as material. A payment of 180,000 was made in January 2020 and charged to expense in 2020 for insurance premiums applicable to policies commencing and expiring in 2019. No liability had been recorded for this item at December 31, 2019. The allowance for doubtful accounts reflected in Grays financial statements was 7,000 at December 31, 2020, and 97,000 at December 31, 2019. During 2020, 90,000 of uncollectible receivables were written off against the allowance for doubtful accounts. In 2019, the provision for doubtful accounts was based on a percentage of net sales. The 2020 provision has not yet been recorded. Net sales were 58,500,000 for the year ended December 31, 2020, and 49,230,000 for the year ended December 31, 2019. Based on the latest available facts, the 2020 provision for doubtful accounts is estimated to be 0.2% of net sales. A review of the estimated warranty liability at December 31, 2020, which is included in other liabilities in Grays financial statements, has disclosed that this estimated liability should be increased 170,000. Gray has two large blast furnaces that it uses in its manufacturing process. These furnaces must be periodically relined. Furnace A was relined in January 2014 at a cost of 230,000 and in January 2019 at a cost of 280,000. Furnace B was relined for the first time in January 2020 at a cost of 300,000. In Grays financial statements, these costs were expensed as incurred. Since a relining will last for 5 years, Grays management feels it would be preferable to capitalize and depreciate the cost of the relining over the productive life of the relining. Gray has decided to nuke a change in accounting principle from expensing relining costs as incurred to capitalizing them and depreciating them over their productive life on a straight-line basis with a full years depreciation in the year of relining. This change meets the requirements for a change in accounting principle under GAAP. Required: 1. For the years ended December 31, 2020 and 2019, prepare a worksheet reconciling income before income taxes as given previously with income before income taxes as adjusted for the preceding additional information. Show supporting computations in good form. Ignore income taxes and deferred tax considerations in your answer. The worksheet should have the following format: 2. As of January 1, 2020, compute the retrospective adjustment of retained earnings for the change in accounting principle from expensing to capitalizing relining costs. Ignore income taxes and deferred tax considerations in your answer.Prior to and during 2019, Shadrach Company reported tax depreciation at an amount higher than the amount of financial depreciation, resulting in a book value of the depreciable assets of 24,500 for financial reporting purposes and of 20,000 for tax purposes at the end of 2019. In addition, Shadrach recognized a 3,500 estimated liability for legal expenses in the financial statements during 2019; it expects to pay this liability (and deduct it for tax purposes) in 2023. The current tax rate is 30%, no change in the tax rate has been enacted, and the company expects to be profitable in future years. What is the amount of the net deferred tax liability at the end of 2019? a. 300 b. 450 c. 1,050 d. 1,350Investing Activities and Depreciable Assets Verlando Company had the following account balances and information available for 2019: During 2019, Verlando recorded the following transactions affecting these accounts: a. Land with a carrying value of 35,000 was sold at a loss of 6,000. b. Land and equipment were purchased with cash during the period. c. Equipment with an original cost of 20,000 that had a book value of 4,000 was written off as obsolete. d. A building with an original cost of 60,000 and accumulated depreciation of 25,000 was sold at a 23,000 gain. e. Depreciation expense and amortization expense were recorded. f. Net income for the year was 60,000. g. A patent was acquired during the year in exchange for 1,200 shares of common stock with a par value of 1 per share and a market value of 26 per share. h. Additional marketable securities wefe purchased during the year. i. Verlando Company has no notes payable in the liabilities section of its balance sheet. Required: 1. Next Level Assuming that Verlando uses the indirect method to determine operating cash flows, what is the amount of depreciation expense and amortization expense that would be added back to net income: 2. Prepare the investing activities section of the statement of cash flows for the year ended December 31, 2019. 3. Prepare the disclosure for significant noncash transactions for the statement of cash flows for the year ended December 31, 2019.