P42,000 P58,000 P75,0 cable Securities 25,0 36,000 75,000 32,000 45,000 ts Receivable 85,000 125,C pry 55,000 200,C 12000 11 000
Q: On January 1, 2020, when the fair value of its common shares was $80 per share, Pharoah Corp. issued...
A: Conversion of Bonds It is the method of converting a bond into shares. It is dependent on convert...
Q: # of Units Unit Cost Total Cost Jan 1 Beginning Inventory 09 009$ 066$ $1,300 Jan 12 Purchase $11 06...
A: Inventory valuation is based on the flow of exemption used by the company. There are many methods fo...
Q: Nico Manufacturing Company applies process costing in the manufacture of its best-seller product, "b...
A:
Q: Use the following information for the Exercises 12-13 below. (Algo) [The following information appli...
A: Bank Reconciliation statement: To reconcile the differences between cash book and pass book Bank rec...
Q: Frozen Inc. adds materials at the beginning of the process in department USB. Conversion costs were ...
A: The equivalent units are calculated on the basis of percentage of the work completed during the peri...
Q: Far and Wide Broadband provides Internet connection services to customers living in remote areas. Du...
A: You enter transaction information into your company's books to create a journal entry. Your journal ...
Q: Question 6 Indicate with the appropriate letter the nature of each situation described below: Type o...
A: appropriate letter indicate with the nature are as follows.
Q: ssuance and Interest Amortization for Zero Coupon Note (Straight Line) Kerwin Company borrowed $10,...
A: Straight-line amortization is a way of allocating interest to a bond in a fair and equitable manner ...
Q: Omission of accrued expenses in year 1 will result to a. Understatement of expenses in year 1 b. U...
A: Accrued expenses are those expenses that are incurred but yet to be paid in the future.
Q: Supply the missing dollar amounts for each of the following independent cases: Selling and General E...
A: Total available = Beginning inventory + purchases Cost of goods sold = Total available - Ending inve...
Q: he accounting records of Indigo Inc. show the following data for 2020 (its first year of operations)...
A: preparation of pretax financial income and taxable income and recording of journal are as follows.
Q: Prepare all journal entries Dec Mahmood invested $25,000 cash in his business. 1 Paid office rent fo...
A: Introduction: Journals: Recording of a business transactions in a chronological order. First step in...
Q: Q-4: Al Hamd associate manufactures two types of product X & Y and applies manufacturing overhead to...
A: Lets understand the basics. There are two methods for allocating the overheads which are, (1) Tradit...
Q: The capital accounts of Lorraine Grecco and Carrie Rosenfeld have balances of $64,000 and $99,000, r...
A: Income Statement- An income statement is one of the three main monetary statements used for coverage...
Q: 1. What is the current ratio for Company A in 2021? 2. What is the cash ratio for Company B in 2022?...
A: Ratio analysis means where different ratio of various years of years companies has been compared and...
Q: The cost of ending inventory is: Daily Custom Company manufactures plastic chairs in its Processing ...
A: Equivalent units concept is used when opening or ending work in progress is not 100% complete but pa...
Q: Final Income taxation is characterized by: Full taxes are withheld by the income payor at source. Re...
A: Here discuss about the final withhold taxes which are incurred for the certain income payments which...
Q: During your examination of the accounting books of South Sky Company for the year ended December 31,...
A: 1. Calculation of correct net income for the year 2021: Amount (P) Net Income 1,750,00...
Q: Income Statement Dec. 31, 2022 Company A Company B Sales P850,000 P1,350,000 Less: Cost of Goods Sol...
A: Efficiency in the management of stock is judged by inventory turnover ratio and days inventory outst...
Q: Zing Cell Phone Company entered into the following transactions involving current liabilities during...
A: Notes Payable - Notes Payable is the amount borrowed by the borrower with an obligation to pay it in...
Q: endoc: Adjustment Data on an End-of-Penod Spreadsheet t Security Services Co. offers security servic...
A: Solution Concept The trail balance has to be adjusted at the year end for the adjusting transactions...
Q: On December 31,2020, the Statement of Financial Position of BEA Partnership shows the following data...
A: Solution Working note Total capitalization after admission of Russia =2000000 Capital interest of Ru...
Q: A company had stock outstanding as follows during each of its first three years of operations: 1,000...
A: Annual Dividend to Preferred shareholders = No. of preferred share outstanding x Par value per share...
Q: ohnson Company adds materials, 50% at the start of the process and 50% at the end of the process in ...
A: Solution: Equivalent units of production (EUP) Units % material EUP-Materials % Conversion E...
Q: Frozen Inc. adds materials at the beginning of the process in department USB. Conversion costs were...
A: Solution: Frozen Inc. Computation of Equivalent unit of Production Particulars Physical Units...
Q: noncurrent asset
A: The balance sheet represents the financial position of the company that includes the assets, liabili...
Q: Orion Iron Corporation tracks the number of units purchased and sold throughout each year but applie...
A: The inventory can be valued using various methods as LIFO, FIFO and weighted average method. Under p...
Q: True or false 12) The brokers' motivation is measured in five levels: Great, Good, Regular, Bad, an...
A: The answer is shown below:
Q: The Potter Corporation purchased a machine on January 1, 2020. The machine cost P 46,000, with an es...
A: Solution.. Cost = P46,000 Estimated salvage value = P2,000 Life = 10 years
Q: Lee Co. Ltd. purchases NT$6,000 of music downloads for its restaurant from Yang Music, using a Visa ...
A: Formula: Service charge expense = Purchase value x Service fee %
Q: aily Custom Company manufactures plastic chairs in its Processing Department. Direct materials are i...
A: In process COSTING , product pass through two different process to reach the final output,. cost at ...
Q: Sunset Products manufactures skateboards. The following transactions occurred in March. ...
A: The question is based on the concept of Cost Accounting.
Q: ew PolicieS Current Attempt in Progress On January 1,2020, Larkspur Corporation had 66,500 shares of...
A: The company can raise funds by various methods. Some of them are, by way of issuing common stock, is...
Q: Ortiz purchased a 30% interest for $60,000. If an amount box does not require an entry, leave it bla...
A: Journal entry refers to the process of recording or classyfing of business transactions into books o...
Q: Curl is entering the professional hairdryer market. Research shows that their customers wish to pay ...
A: To determine the selling price, cost-plus pricing includes adding a markup to the cost of products.
Q: Checks Balance 18,500 Date Deposits Other une 1 3 440 18,060 4 1,200 16,860 16,360 15,160 8 500 10 1...
A:
Q: Martin Farley and Ashley Clark formed a limited liability company with an operating agreement that p...
A: Revenue is defined as the amount of income made by normal business operations and is computed by add...
Q: %24 %24 Question 16 of 20 Splish Brothers Company reported the following balances at December 31, 20...
A: The amount of assets remaining after all liabilities have been paid is referred to as stockholders' ...
Q: Activity 1-ACCHT 221 - RECORDING TRANSACTIONS; POSTING TO LEDGER AND PREPARATION OF TRIAL BALANCI Re...
A: Let's understand the basic For accounting one should know the three golden rules of accountancy Fi...
Q: n January 1, 2020, JWS Corporation issued $600,000 of 7% bonds, due in 10 years. The bonds were issu...
A: Solution Working note Coupon amount =600000*7% / 2 ...
Q: Waling-waling Company had 6,400 units of work-in-process inventory in department A on October 1, 202...
A: The equivalent units are calculated on the basis of percentage of the work completed during the peri...
Q: For the month of January 2022, PBB Company reported the following production data for Finishing Depa...
A: Equivalent units concept comes in to existence when some units remain incomplete at the end of proce...
Q: Warranties Kim’s Athletics sells bicycles and other sports and athletic equipment. Sales and expect...
A: Given that, Expected Warranty Claims for Warranty Period for - Mountain bikes = 5 claims per 100 sol...
Q: Johnson Company adds materials, 50% at the start of the process and 50% at the end of the process in...
A:
Q: n January 1, 2018, PNB and Allied Bank entered into a contract of merger wherein PNB will issue 100,...
A: Solution Concept There is a goodwill in business combination when , purchase price is greater than f...
Q: Enumerate at least 5 violations on required disclosures in the Notes to Financial Statements.
A: The answer for the question on violation on required disclosures in the Notes to financial statement...
Q: Following dată iš availäble rom the Company. Estimated Factory Overhead Estimated Direct Labor Hours...
A: Solution Note dear student as per the Q&A guideline we are required to answer the first three su...
Q: Practice Problem 6.5: RRSPS Cherie Cardinal had the following reported on her tax return in the prev...
A: RRSP is Registered Retirement Saving Plan which is used in Canada as a savings scheme for the times ...
Q: In a production budget, total required production units are the budgeted sales units plus Select one...
A: Solution:- Production Budget:- The production budget, also called the manufacturing budget, is a bud...
Q: Counter balancing error is sometimes referred to as: which of the following? a Compensating errors ...
A: Rectification entry means where some error has been done in past and we need to rectify that errors....
- Comment on the company that has a longer Cash Conversion Cycle. Do they need to improve cycle? Give your insights.
Step by step
Solved in 3 steps
- Orbit Limited Statement of Financial Position as at 31 December: 2022 2021 R R ASSETS Non-current assets 11 810 000 7 560 000 Property, plant and equipment 10 025 000 6 250 000 Investments 1 785 000 1 310 000 Current assets 4 190 000 4 690 000 Inventories 1 875 000 2 350 000 Accounts receivable 1 925 000 2 200 000 Cash 390 000 140 000 Total assets 16 000 000 12 250 000 EQUITY AND LIABILITIES Equity ? ? Ordinary share capital 5 480 000 3 680 000 Retained earnings ? ? Non-current liabilities 4 500 000 3 800 000 Loan (20% p.a.) 4 500 000 3 800 000 Current liabilities 2 300 000 1 500 000 Accounts payable 2 300 000 1 500 000 Total equity and liabilities 16 000 000 12 250 000 Statement of Comprehensive Income for the year ended 31 December: 2022 2021 R R Sales 10 800 000 7 150 000 Cost of sales (6 000 000) (3 650 000) Gross profit 4 800 000 3 500 000 Operating expenses (1 800 000) (1 200 000) Depreciation 580 000 200 000…The Canada Technology Corporation (CTC) financial statements follow: Book value per common share of CTC outstanding at December 31,2020 was: a) 4.37 b) 2.72 c) 2.46 d) 6,280Orbit Limited : Statement of Financial Position as at 31 December 2022 2021 Non-current Assets R11 810 000 R7 560 000 Property, Plant, Equipment R10 025 000 R6 250 000 Investments R1 785 000 R1 310 000 Current Assets R4 190 000 R4 690 000 Inventories R 1 875 000 R2 350 000 Account Receivable R1 925 000 R2 200 000 Cash R390 000 R140 000 Toatal Assets R16 000 000 R12 250 000 Equities & Liabilities Equity ? ? Oridanary share capital R5 480 000 R3 680 000 Retained earnings ? ? Non-current Liabilities R4 500 000 R3 800 000 Loan (20% p.a) R4 500 000 R3 800 000 Current Liabilities R2 300 000 R1 500 000 Accounts payable? R2 300 000 R1 500 000 Calculate the increase in the retained earnings over the two-year period.
- Reference is made to the 2022 Balance Sheet of Tram-Ropes limited.Tram-Ropes Limited Balance Sheet 2022Cash 1,000,000.00 Accounts Payable 8,000,000.00Acc. Receivable 12,000,000.00 Notes Payable 8,500,000.00Marketable securities 3,000,000.00 Long-term Debt 20,000,000.00Inventories 7,500,000.00 Common stock 7,500,000.00Fixed Assets 26,500,000.00 Preferred Stock 6,000,000.00Total Assets 50,000,000.00 Total Liabilities and Equity 50,000,000.00Additional Information:i. The Long-Term debt consists of 8% annual coupon bonds, with15 years to maturity and are currently selling for 95% ofpar.ii. The company’s common shares which have a book value of $20per share are currently selling at $25 per share.PREPARED BY THE CI, MGMT2023 4iii. Preferred shares have a book value of $100 per share. Theseshares are currently selling at $120 per share and paysdividends of 6% per annum on book value.iv. The dividend growth rate is expected to be 3%, and dividendfor 2023 is projected to be $5.00 per…Paul Company presented the following information pertaining to its investments in equity securities. FVPL FVOCICost P1,000,000 P1,000,000Market value December 31, 2020 1,050,000 980,000 December 31, 2019 950,000 920,0001. What amount should Paul Company report as unrealized gain on its 2020 profit or loss? a. P160,000 b. P110,000 c. P100,000 d. P 50,000 2.What amount should Paul report as unrealized gains/losses in the shareholders' equity of its December 31, 2020 statement of financial position? a. P60,000 credit b. P20,000 debit c. P80,000 debit d. P20,000 creditPharoah Corporation’s comparative balance sheet is presented below. PHAROAH CORPORATIONBalance SheetDecember 31 Assets 2021 2020 Cash $12,010 $8,980 Accounts receivable 17,810 19,660 Land 16,800 21,840 Buildings 58,800 58,800 Accumulated depreciation—buildings (12,600 ) (8,400 ) Total $92,820 $100,880 Liabilities and Shareholders’ Equity Accounts payable $10,390 $26,120 Common shares 63,000 57,960 Retained earnings 19,430 16,800 Total $92,820 $100,880 Additional information: 1. Profit was $19,010. Dividends declared and paid were $16,380. 2. No noncash investing and financing activities occurred during 2021. 3. The land was sold for cash of $4,120 resulting in a loss of $920 on the sale of the land. Prepare a cash flow statement for 2021 using the indirect method. Lu…
- Paul Company presented the following information pertaining to its investments in equity securities. FVPL FVOCICost P1,000,000 P1,000,000Market value December 31, 2020 1,050,000 980,000 December 31, 2019 950,000 920,000 2.What amount should Paul report as unrealized gains/losses in the shareholders' equity of its December 31, 2020 statement of financial position?The Statement of Financial Position (SFP) of Arthur Corporation on June 30, 202X is presented below:Current Assets P195,000Land 1,320,000Building 660,000Equipment 525,000Total Assets P2,700,000Liabilities P525,000Ordinary Shares, P5 par 900,00Share Premium 825,000Retained Earnings 450,000Total Equities P2,700,000All the assets and liabilities of Arthur were assumed to approximate their fair values except for land and building. It is estimated that the land has a fair value of P2,100,000, and the fair value of the building increased by P480,000. Ezekeil Corporation acquired 80% of Arthur’s outstanding shares for P3,000,000. The non-controlling interest is measured at fair value.Required:a. Determine the goodwill or gain on bargain purchase assuming the consideration paid includes control premium of P852,000. Determine the goodwill or gain on bargain purchase assuming the consideration paid excludes control premium of P138,000 and the fair value of the non-controlling interest is…Financial statements for the Genatron Manufacturing Corporation for the years 2020 and 2019 are shown. Genatron Manufacturing CorporationBalance Sheet 2020 2019 ASSETS Cash $41,847 $50,643 Accts. receivable 261,201 201,804 Inventory 504,430 450,954 Total current assets 807,478 703,401 Fixed assets, net 400,000 300,000 Total assets $1,207,478 $1,003,401 LIABILITIES AND EQUITY Accts. payable $170,208 $134,265 Bank loan 91,242 91,242 Accruals 70,000 50,000 Total current liabilities 331,450 275,507 Long-term debt, 12% 392,625 293,723 Common stock, $10 par 300,000 300,000 Capital surplus 48,173 48,173 Retained earnings 135,230 85,998 Total liabilities & equity $1,207,478 $1,003,401 Genatron Manufacturing CorporationIncome Statement 2020 2019…
- The following are extracts from the financial statements of Captus Ltd. As at 31 March: 2021 2020 Sh.’000’ Sh.’000’ Sh.’000’ Sh.’000’ Fixed assets: Goodwill Freehold land and building Plant and machinery (NBV) Investment at cost Current assets: Stocks Accounts receivable Investments Cash at hand and bank Current liabilities Bank overdraft Accounts payable Proposed dividends Taxation Net current assets 15% debentures Capital and reserves: Authorised, issued and paid Sh.10 Ordinary shares Share premium Revaluation reserve Retained profit 10,050 6,140 1,710 200 18,100 (2,390) (5,850) (450) (820) (9,510) 2,800 16,800 5,860 3,600 29,060 8,590 37,650 (7,500) 30,150 18,000 1,500 4,500 6,150 8,700 7,800 840 430 17,770 (6,540) (5,250) (380) (600) (12,770) 2,900 12,000 6,350 3,750 25,000 5,000 30,000 (9,000) 21,000 15,000 750 -…Liabilities 2021 2020 Assets 2021 2020 ₹ ₹ ₹ ₹ Share Capital 5,00,000 5,00,000 Premises 4,75,000 5,00,000 General Reserve 1,50,000 1,25,000 Machinery 4,22,500 3,75,000 Profit & Loss Ac 76,500 76,250 Equipments 40,500 45,000 Term Loan from ICICI 1,55,000 1,75,000 Stock 74,000 1,00,000 Sundry Creditors 2,31,250 2,75,000 Sundry Debtors 1,60,000 2,00,000 Provision for Taxation 76,250 84,250 Cash 7,000 3,000 Bank 10,000 - Goodwill - 12,500 11,89,000 12,35,500 11,89,000 12,35,500 Other Information: (1) Dividend (interim) of Rs. 25,000 was paid during the year. (2) Depreciation on Premises is provided at 5% & at Equipment at 10% (3) Machinery of Rs. 75,000 was acquired during the year. (4) Income Tax provision for the year was Rs. 75,000. Prepare Cash flow statement?Rodriquez Corporation’s comparative balance sheets are presented below: RODRIQUEZ CORPORATIONComparative Balance SheetsDecember 31 2020 2019 Cash $16,500 $17,400 Accounts receivable 25,300 22,100 Investments 20,150 15,850 Equipment 59,950 69,850 Accumulated depreciation—equipment (13,850 ) (10,300 ) Total $108,050 $114,900 Accounts payable $14,850 $11,150 Bonds payable 10,600 30,100 Common stock 49,500 45,500 Retained earnings 33,100 28,150 Total $108,050 $114,900 Additional information: 1. Net income was $18,550. Dividends declared and paid were $13,600. 2. Equipment which cost $9,900 and had accumulated depreciation of $1,600 was sold for $3,300. 3. No noncash investing and financing activities occurred during 2020. Prepare a statement of cash flows for 2020 using the…