Requlred Information [The following information applies to the questions displayed below.] A company makes the payment of a one-year Insurance premium of $4,248 on March 1, 2019. e. Prepald expenses reflects as an asset for more meaningful net Income amount. True or False True False
Q: On October 1, 2021 Adam Realty collected P28,000 from a tenant representing an advance collection…
A: The advance rent collected constitutes an unearned revenue because the tenant has not availed the…
Q: Reidgewood company had the following ending balances on its financial statements: 2018 2019 2020…
A: Insurance expenses refers to the used amount of the insurance. It is the amount paid for the…
Q: On October 1, 2021, FDN Company paid an insurance premium covering the period from October 1, 2021…
A: Adjusting entries are prepared at the end of the accounting year to ensure the accrual base…
Q: Berlin Company paid or collected during 2020 the following items: Insurance premiums paid P462,000;…
A: Given: - Prepaid insurance (beginning)= 36,000 Insurance paid during Year= 462,000 Prepaid insurance…
Q: On August 31, 2021, A company paid an insurance premium covering the period from August 31, 2021 to…
A: The insurance expense would be recognized on the pro-rata basis. The insurance expense would be…
Q: Prepaid Insurance amounting to P35,000 was recorded by FDNACCT Co. on April 1, 2021 for a year of…
A: Prepaid insurance is the amount of insurance that is paid by an entity in advance. In other words,…
Q: 44. On January 18, 2019, Big City Co, paid $36,000 for a two-year insurance premium that covers…
A: a)
Q: Assume that on July 1, 2021, Togo's Sandwiches Issues a $2.53 million, one-year note. Interest Is…
A:
Q: If total assets decreased by P47,000 during a period of time and owner’s equity increased by P…
A: Hi student Since there are multiple questions, we will answer only first question. Accounting…
Q: n October 1, 2021, FDN Company paid an insurance premium covering the period from October 1, 2021 to…
A: Solution Given insurance premium paid on October 1, 2021 Period covering October 1,…
Q: On the 1 September 2019 Jacobson Limited paid insurance premiums of $18,000 for 12 months to 31…
A: Journal: Recording of a business transactions in a chronological order. First step in the process of…
Q: The following additional information is available at the December 31 2020 year end. A) insurance…
A: The expenses and revenue are adjusted on the basis of the period in which they are incurred.
Q: On September 1, 2019, a company borrowed cash and signed a 1-year, interest-bearing note on which…
A: Current liabilities : The obligations owed by a company to creditors and suppliers and are to be…
Q: 1) Tappa Corp.'s current liabilities at December 31, 2020, totaled P1,600,000 before any necessary…
A: 2/10 net 30 means 2% discount will be there if payment is made with in 10 days and no discount after…
Q: Required: Prepare an accrual basis income statement for 2021. (Ignore income taxes.) STANLEY AND…
A: An income statement refers to the one from which net income/loss is determined by taking all the…
Q: The premium on a three-year insurance policy expiring on December 31, 2018 was paid in total on…
A: d. Decrease in prepaid assets; increase in expenses
Q: Journalize the entry on July 1 and the adjusting entry on December 31 for Sheridan Company. Sheridan…
A: Journal entry: Journal entry is a set of economic events which can be measured in monetary terms.…
Q: Beautiful Company reported utilities expense amounting to P117,000 in its statement of comprehensive…
A: The income statement is prepared to find the net income or loss incurred during the period.
Q: Requlred Information [The following Information applies to the questions displayed below.] A company…
A: The premium of $8,496 is paid on March 1, 2019 for two years, i.e. from March 1, 2019 to February…
Q: Eddy's statement of profit or loss for his first year of trading to 30 September 2019 showed a…
A: In profit and loss a/c we record only that much of expense which was incurred / accrued for that…
Q: Paid 1/1/20 Coverage period 1/1/20—12/31/20 $3,500 Fire, storm, and other casualty insurance:…
A: Accounting refers to the process of documenting all the financial transactions of a company in its…
Q: Live Company acquired a fire insurance on Nov. 1, 2021. The company paid P12,000 for the said annual…
A: Prepaid expense: Prepaid expense means future expenses which are paid in advance. Initially, Prepaid…
Q: Requlred Information [The following information applies to the questions displayed below.] A company…
A: Compute the insurance expense for one month:
Q: 33. As of Dec. 31, 2020, Unadjusted Interest Income account of Entity A was P5,000. It was learned…
A: Income that is not earned should be transferred to the Unearned income account. 1. journal entry to…
Q: 3. On August 31st 2018, Barakat company paid BD 4,800 for 2 years insurance. Calculate the…
A: Hi student Since there are multiple subparts, we will answer only first three subparts. Prepaid…
Q: A company makes the payment of a one-year insurance premium of $4,584 on March 1, 2019. c.…
A: Prepaid insurance is considered a prepaid expense. It is a payment made to the insurer in advance…
Q: 18.0n June 1, 2021, Whipple Corporation received $2,520 in advance for a two-year rental of some…
A: Given, Rent paid in advance = $2,520 June 1, 2021 to Dec. 31, 2021 = 7 months
Q: On October 1, 2021 Adam Realty collected P28,000 from a tenant representing an advance collection…
A: The rent is collected in advance for one full year but the rental income would only be recognized…
Q: At December 31, 2022, before any year-end adjustments, Blue Spruce Corp.'s Insurance Expense account…
A: Adjusting Entry – These entries make the cash transaction the accrual one. This also ensures that…
Q: The following is the accounts found in the trial balance of Lei, Inc., an SME: 2020 2019 Lease…
A: The correct answer for the above mentioned question is given in the following steps.
Q: A faxpayer providing services provIded the following: Description Payment of expenses current period…
A: Under accrual method of expense recognition, all expenses related to the particular period should be…
Q: On October 1, 2021, FDN Company paid an insurance premium covering the period from October 1, 2021…
A: Prepaid insurance : In some cases, the benefit of amount already spent and also paid relates to next…
Q: During 2019, P determined that insurance premiums of $12289 for the 3-year period beginning January…
A: Given, Insurance premiums paid for 3 years=$12,289Income tax rate=37%
Q: Prepare the Revenue Account and Balance sheet for the year ended 31-3-2020 after taking in…
A: Answer - The balance sheet shows what a company owns (assets) and owes (liabilities) at a specific…
Q: For the year ended Dec. 31, 2019, Nando Company paid interest totaling P100,000. The prepaid…
A: Interest expense is an expense that is due on the amount borrowed from the lender. It is reported in…
Q: ncluded in Bonita Company’s December 31, 2020, trial balance are the following accounts: Accounts…
A: Liability refers to the amount which is owned by the company to the outsiders. On the basis of…
Q: A. The company bought a 3-year insurance policy from Philamlife dated January 1, 2021 amounting to P…
A: Since you have asked multiple question, we will solve the first question for you. If you want any…
Q: The premium on a 3-year insurance policy expiring on December 31, 2022 was paid in total on January…
A: Prepaid insurance:- The term prepaid insurance is defined as the insurance payment, which is already…
Q: Under Fierce Company’s accounting system, all insurance premiums paid are charged to insurance…
A: Journal: It is the first step of recording financial transactions. It is used to prepare the…
Q: On October 1, 2021, ABC Company paid an insurance premium covering the period from October 1, 2021…
A: Insurance expense per month = Total amount paid / Total period of service Prepaid Insurance Expense…
Q: Assume that rent of P14,400 was paid on September 1, 2021 to cover a one-year period from that date.…
A: Prepaid rent is the amount of rent paid in advance. Rent of 14,400 is for 1 year paid in advance on…
Q: 2. Taxpayer C earns a $ 310,000 annual salary and pays 17% income tax. If tax rates increase to 25%…
A: There are five distinct scenarios in this question. Questions 2, and 4 have been answered below.
Q: .An entity reported wages expense of P3,500,000 for 2019. The wages payable at the beginning of year…
A: Adjusting entries: Adjusting entries can be defined as the journal entries that are prepared by the…
Q: At December 31, 2022, before any year-end adjustments, Dallis Company's Prepaid Insurance account…
A: The prepaid insurance is the amount of insurance expense paid in advance by the business but…
Q: On May 1, 2019, a two-year insurance policy was purchased for P24,000 with coverage effective…
A: Insurance is a protection against risk in which one party agrees to protect othe other in return of…
Q: Additional information: i. Supplies as at 31st December 2019, RM34,500. ii. Insurance expense at the…
A: Statement of profit and loss and Statement of financial position are two financial statements that…
Q: Maple Tree Inc. purchased a 12-month insurance policy on March 1, 2019 for $900. At December 31,…
A: Introduction: Journals: Recording of a business transactions in a chronological order. First step in…
Q: At December 31, 2022, before any year-end adjustments, Dallis Company's Prepaid Insurance account…
A: The prepaid insurance is the amount of insurance paid in advance but is not due yet.
Q: An examination of Insurance Policies of Standard Company is presented below: Policy Date of Purchase…
A: Here in this question, we are required to calculate the amount that will be there in the prepaid…
Q: The premium on a 3-year insurance policy expiring on December 31, 2022 was paid in total on January…
A: Prepaid insurance can be defined as the insurance amount is paid in advance before it incurs.…
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- At the end of 2019, Framber Company received 8,000 as a prepayment for renting a building to a tenant during 2020. The company erroneously recorded the transaction by debiting Cash and crediting Rent Revenue in 2019 instead of 2020. Upon discovery of this error in 2020, what correcting journal entry will Framber make? Ignore income taxes.In December 2019, Swanstrom Inc. receives a cash payment of $3,500 for services performed in December 2019 and a cash payment of S4,500 for services to be performed in January 2020. Swanstrom also receives the December utility bill for S600 but does not pay this bill until 2020. For 2019, under the accrual basis of accounting, Swanstrom would recognize: a. $8,000 of revenue and $600 of expense. b. $8,000 of revenue and $0 of expense. c. $3,500 of revenue and $600 of expense. d. $3,500 Of revenue and $0 of expense.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, 000
- Dudley Company failed to recognize the following accruals. It also recorded the prepaid expenses and unearned revenues as expenses and revenues, respectively', in the following year when paid or collected. The reported pretax income was 20,000 in 2018, 25,000 in 2019, and 23,000 in 2020. Required: 1. Compute the correct pretax income for 2018, 2019, and 2020. 2. Prepare the journal entries necessary in 2020 if the errors are discovered at the end of that year. Ignore income taxes. 3. Prepare the journal entries necessary in 2021 if the errors are discovered at the end of that year. Ignore income taxes.Dallas Company loaned to Ewing Company on December 1, 2019. Ewing will pay Dallas $720 of interest ($60 per month) on November 30, 2020. Dallass adjusting entry at December 31, 2019, is: a. Interest Expense ........... 60 c. Interest Receivable ....... 60 Cash ......................... 60 Interest Income ........ 60 b. Cash ............................ 60 d. No adjusting entry is required. Interest Income ........ 60Balance Sheet from Adjusted Trial Balance The following is the alphabetical adjusted trial balance of Meadows Company on December 31, 2019; Required: 1. Prepare Meadowss December 31, 2019, balance sheet. 2. Next Level Compute the debt-to-assets ratio. What does it indicate about Meadows at the end of 2019?
- Worksheet Victoria Company has the following account balances on December 31, 2019, prior to any adjustments: Additional adjustment information: (a) depreciation on buildings, 1,100; on equipment, 600; (b) bad debts expense, 240; (c) interest accumulated but not paid: on note payable, 50; on mortgage payable, 530 (this interest is due during the next accounting period); (d) insurance expired, 175; (e) salaries accrued but not paid 370; (f) rent was collected in advance and the performance obligation is now satisfied, 800; (g) office supplies cm hand at year-end, 230 (expensed when originally purchased earlier in the year); and (h) the income tax rate is 30% on current income and is payable in the first quarter of 2020. Required: 1. Transfer the account balances to a 10-column worksheet and prepare a trial balance. 2. Prepare the adjusting entries in the general journal and complete the worksheet. 3. Prepare the companys income statement, retained earnings statement, and balance sheet. 4. Prepare closing entries in the general journal.Property Taxes Family Practice Associates has an estimated property tax liability of 7,200 assessed as of January 1,2019, for the year May 1, 2019, to April 30, 2020. The property tax is paid on September 1, 2019. The property tax becomes a lien against the property on May 1. Required: 1. Prepare the necessary monthly journal entries to record the preceding information for the period from May 1 to September 30, 2019 (assuming actual taxes are the same as estimated). 2. What would be the amount of the liability on December 31, 2019?Interest-Bearing and Non-Interest-Bearing Notes On December 11, 2019, Hooper Inc. made a credit sale to Marshall Company and required Marshall to sign a 12,000,60-day note. Required: Prepare the journal entries necessary to record the receipt of the note by Hooper, the accrual of interest on December 31, 2019, and the customers repayment on February 9, 2020, assuming: 1. Interest of 12% was in addition to the face value of the note. 2. The note was issued as a 12,000 non-interest-bearing note with a present value of 11,765. The implicit interest rate on the note receivable was 12%. Assume a 360-day year. (Round to the nearest dollar.)
- Spreadsheet The following 2019 information is available for Payne Company: Partial additional information: The net income for 2019 totaled 1,600. During 2019, the company sold, for 390, equipment that cost 390 and had a book value of 300. The company sold land for 200, resulting in a loss of 40. The remaining change in the Land account resulted from the purchase of land through the issuance of common stock. Required: Making whatever additional assumptions that are necessary, prepare a spreadsheet to support the 2019 statement of cash flows for Payne.Koolman Construction Company began work on a contract in 2019. The contract price is 3,000,000, and the company determined that its performance obligation was satisfied over time. Other information relating to the contract is as follows: Required: 1. Compute the gross profit or loss recognized in 2019 and 2020. 2. Prepare the appropriate sections of the income statement and ending balance sheet for each year.Accrued Income Taxes Nolan Inc. had taxable income of $400,000 in 2019. Its effective tax rate is 35%. Nolan pays its 2019 income taxes on April 15, 2020. Required: 1. Given this information, determine the adjusting journal entry that Nolan must make on December 31, 2019. 2. Prepare the journal entry to record the tax payment.