Record the necessary fair value adjustment on December 31, assuming that the market value of the company’s remaining unsold securities was $20,000.

Q: The Unadjusted Trial Balance for James Basketball Academy Ltd for the year ended 30 June 2021 is pre...

A: The adjustment entries are prepared to adjust the revenue and expenses of the current period. The wo...

Q: Below are the information provided by Mari&Ria Company for the preparation of proof of cash:   Ple...

A: Proof of cash is when in the bank reconciliation statement (BRS), each item is presented separately ...

Q: Use the following to answer questions 18 – 21 BY Ic., begins the year with inventory of $36,500 and ...

A: Net sales = Sales - Sales returns and allowances Cost of goods sold = Beginning inventory + Purchase...

Q: 1. What is the distinction between product costs and period costs? 2. Why is it important to sort co...

A: Here is the answer for your first question: 1. Distinction between product costs and period cost: ...

Q: pense and accounts receivable balance. Under different circumstances, another method is used called ...

A: When there is only one large accounts receivable due from one client the direct write off method if ...

Q: Raider-X Company budgets sales of 14,000 units for April and 16,000 units for May. Beginning invento...

A: The purchase budget is prepared to estimate the requirements for the future period. 

Q: (please solve it fast i will give thumbs up)

A: Given: Annual gross premiums are 200 q53 = 0.006 and q54 = 0.007 i = 0.05 Annual expenses are 5% of ...

Q: In a business combination - stock acquisition, difference between current fair values and book value...

A: Solution Concept Goodwill                 In a business combination - stock acquisition, difference ...

Q: Suppose a sole proprietor withdraws supplies from the firm. The journal entry should be O Dr. Capita...

A: Total assets means the resources owned by business and liabilities means amount to be paid to an out...

Q: A company manufactures and sells a single product. Budgeted data per unit of the product is:  $ per ...

A: The question is related to the Marginal Costing and Absorption Costing. The details for two period i...

Q: What is the operating cash flow in 2015? What is the change of working capital in 2015? What is the ...

A: A cash flow statement is prepared to summarize all the inflows and outflows of cash throughout a spe...

Q: Given the two machines' data Machine A Machine B First Cost P8,000.00 P14,000.00 Salvage value 2,000...

A: Equivalent uniform annual cost refers to cost of owning, operating and maintaining an asset over its...

Q: Problem 1 In 2020, Plumpton Company started selling new computer that carried a 2-year warranty agai...

A: The warranty expense is the expense which arises with the sales made during the period.

Q: mobiles. Based in Chicago, the company has been operating since 1996. The company sells their electr...

A: Lease refers to the concept when an asset is being rented out from the owner to a party for the desi...

Q: lease liability right of use of asset depreciation expense please use a table for explaining lease l...

A: A lease agreement is an agreement whereby the owner of the asset allows the lessee to use the asset ...

Q: Walthman Industries Inc. employs seven salespersons to sell and distribute its product throughout th...

A: Formula: Contribution margin = Total sales - variable cost of goods sold - variable selling expense

Q: 9.  Bonds usually sell at a premium a. when the market rate of interest is greater than the stated ...

A: Solution Note : Dear student as per the Q&A guideline we are required to answer the first questi...

Q: . What amount of pre-acquisition earnings is eliminated in the acquisition date worksheet eliminatio...

A: Since there is no revenue and expense of the  acquire upto the date of acquisition.

Q: 3. Evaluate trends in the company's financial condition and performance and present your interpretat...

A: Financial statements are the set of records of the financial transactions and position of a business...

Q: Cari Furniture has the following information in respect of Coffee tables for 2021:   Production sp...

A: The purchase budget is prepared to estimate the units to be purchased during the period.

Q: A law firm began November with office supplies of P16,000. During the month, the firm purchased  sup...

A: An adjusting entry is a section in an organization's overall record that happens toward the end of a...

Q: 1. Compute the standard overhead rate. Hint.: Standard allocation base at 80% capacity is 20,000 DLH...

A: Production of goods involve direct cost and indirect cost. Direct cost are fixed per unit and indire...

Q: A certain company has an annual fixed cost of $20 and the variable

A:                           In Marginal Costing we stress on contribution margin which we get by deduc...

Q: for Marvin Company revealed the following: Cost Mar. 1 Beginning inventory 1,090 $7.14 Mar.10 Purcha...

A: Average cost per unit = Total cost of goods available for sale / Total no. of units available for sa...

Q: Tempo Company's fixed budget (based on sales of 12,000 units) folllows. Fixed Budget Sales (12,000 u...

A: Variable cost per unit=Total Variable CostUnits sold

Q: The fixed costs incurred by a automotive shop are $200,000 per year. Variable costs are 60% of the a...

A: Formula: Net profit = Revenues - Expenses

Q: On January 1, 2021, Marigold company acquired a computer amounting to P47,000, transportation cost o...

A: Cost of computer = Purchase price of computer + transportation cost + installation cost of desk    ...

Q: Which is true regarding the Investment in Subsidiary Stock account? * [a] It is accounted for in...

A:

Q: 18. A(n)_ would be an example of a bond issuer, while an individual would be an example of a bondhol...

A: The correct answer is: Company: It is because company, being an entity is permitted to raise funds ...

Q: For each of the following (1) identify the type of account as an asset, liability, equity, revenue, ...

A: Assets Assets are resources that are controlled which results from prior transactions that are expec...

Q: PART I- FMT Company had the following balance sheets and income statements accounts over the last th...

A: Balance Sheet:   Balance Sheet December'31 Assets (In Thousands) 2018 2019 2020 Current A...

Q: · Beginning cash balance on March 1, $77 . Cash receipts from sales, $300,000. . Cash payments for d...

A:  A cash budget is an estimation of the cash inflows and outflows for a business over a specific peri...

Q: A grouping of the entry's accounts is referred to as a ledger.

A: The accounting is process to record the transactions, post the transactions, prepare the trial balan...

Q: July 1- Sold 1,000 subscriptions for common shares at $20 per share. Subscribers paid $5 per share ...

A: Common shares can be issued on subscriptions basis where shares are issued on receipt of last paymen...

Q: Note: This case is based on an actual situation.) tan Sewell paid $50 000 for a franchise that entit...

A: 1 The capitalization of the franchise's market worth is immoral in this case. Even though the value ...

Q: ng must be reduced to zero for a 30-day period during the year. On an equivalent revolving credit ag...

A: Here, The borrowed Amount is $600,000 Borrowing Limits is $1,000,000 Interest Rate of Line of Credit...

Q: For how long would P1,000,000 have to be invested at 5% simple interest for it to double its value? ...

A: Formula: Maturity value = Bond amount x Interest rate x Time period

Q: (b). Briefly discuss how a firm should choose its debt-equity ratio.

A: Debt- equity ratio is the ratio which measures about how much the firm is financed through the funds...

Q: You are auditing the financial statements of Austin Software Company, which is a fast-growing softwa...

A: Introduction:- Audit procedures are actions taken by auditors to obtain all relevant information abo...

Q: 3. Discuss the different types of Business and explain their advantages to each other.

A: Three main categories of business are: Sole proprietorship, Partnership, & Company.

Q: res. The firm will pay interest only on this a future. The prevailing corporate tax rate e market va...

A: (i) MARKET VALUE OF QLINK LTD EXISTING ASSETS BEFORE THE ANNOUNCEMENT = 30 * 10 PER SHARE = 300 M

Q: year, the following events occurred: Summer Company is a wholesaler of car seatcovers. At the heginn...

A: Inventory is the raw materials used in production as well as the goods that are available for sale. ...

Q: What the answer for 22, 24, 27 For 22 I had got 950,000 and it’s wrong For 24 I had got 46,500 and i...

A: Calculation of Sales. Sales = Net Sales - Sales Discount. Sales = 5950000 - 20000 = 5930000

Q: Which of the following does not directly or indirectly affect the owner's Capital account? O Paying ...

A: Total assets means the resources owned by business and liabilities means amount to be paid to an out...

Q: Determine the exact simple interest on P500,000 invested for the period from January 15,1996 to Octo...

A: Formula: Simple Interest = Loan amount x Interest rate x Time period

Q: The Bronxville Company has a Dec 31st year-end. On Nov 1, 2020, the Bronxville company sold merchand...

A: Face value of notes receivable on November 1, 2020 $92,000 Rate of interest  5% Interest Revenue...

Q: Santos Company is preparing a cash budget for February. The company has $16,000 cash at the beginnin...

A: Cash budget means expected cash receipts and expected cash payment with opening and closing cash bal...

Q: Dewey Company purchased a machine that was installed and placed in service on January 2, 2001, at a ...

A: Double declining balance method is a method of depreciation under which depreciation is being charge...

Q: How do you envisage the use of principle based reporting for the six types of capital that companies...

A: The following response has been produced in a step-by-step approach.

Q: You wish to purchase some equipment for a new business venture. You plan to save $35,000 per year. Y...

A: Lets understand the basics. Here in this year we are required to calculate how much savings with int...

Deferred Tax

Deferred tax is an estimated future tax which is made while preparing accounts. It is estimated as a result of past and present transactions in the financial statements. It is not the actual tax which needs to be paid or refundable from the revenue authority, it is an accounting entry. It exists because of the difference between accounting profits and taxable profits.