Short-term notes payable: O Can replace an account payable O Can be issued in return for money borrowed from a bank Are negotiable O Are an unconditional promise to pay O All of the above
Q: Accounting Equation The total assets and total liabilities (in millions) of ThriftShop, Inc. and Bul...
A: Lets understand the basics. As per balance sheet equation, total assets are always equal to total eq...
Q: Which of the following is an advantage of the periodic inventory system?A. frequent physical invento...
A: When a physical inventory count is performed, a periodic inventory system just updates the ending in...
Q: Comparison between ABC and Traditional costing
A: Traditional costing is also written as volume based costing. Under this method, overheads are alloca...
Q: 4. Mean enterprises offered a selling price of Php 5500 and an invoice price of Php 4375 on a cloth ...
A: Hi student Since there are multiple questions, we will answer only first question.
Q: 2021 April 5 Dr. Ramirez invested P725,000 in the business April 7 Purchased equipment from Triple X...
A: The journal entries are prepared to keep the record of day to day transactions of the business. The...
Q: Financial information is presented below: Operating expenses $ 29000 Sales returns and 9000 allowanc...
A: Gross profit is calculated by subtracting the cost of goods sold from net sales. Net sales are gross...
Q: Zedus mobiles had an mobile assembling unit and it has given the following details for the year ende...
A: Cash flow statement was prepared by the entity to identify level of cash earned and spent on activit...
Q: An objective of the statement of cash flows is to disclose changes during the period in all asset ...
A: The cash flow statement is an essential part of the financial statements of the company. It is usefu...
Q: Cullumber Company provides you with the following balance sheet information as of December 31, 2017....
A: A balance sheet is a financial statement that displays a company's assets, liabilities, and equity. ...
Q: If the company realizes at the start of 2021 that the remaining useful life of the 6-year-old buildi...
A: Depreciation is the demunition in the value of an asset on account of...
Q: Kingbird publishes a monthly sports magazine, Hockey Hits. Subscriptions to the magazine cost $22 pe...
A: Journal entries are used to keep records of financial transactions. To generate a journal entry, you...
Q: Data concerning NikNik Corporation's activity for the 6 months appear below: Machine Electrical Cost...
A: High low method is a method of cost estimation under which variable costs and fixed costs are being ...
Q: On March 12, Medical Waste Services provides services on account to Grace Hospital for $10,700, term...
A: In the given question if the grace pay the amount before or within 10 days then they will get the di...
Q: Homestead Crafts, a distributor of handmade gifts, operates out of owner Emma Finn's house. At the e...
A: Ending inventory includes inventory in hand, inventory in transit, and inventory sent on a consignme...
Q: A business has sales of $3800, a Contribution Margin of 25%, fixed costs of $791.66666666667, and a ...
A: In Variable Costing when we deduct variable costs from sales we get con...
Q: Wilson Corporation has budgeted sales and production over the next quarter as follows: July 40,000 4...
A: Lets understand the basics. Budget is prepared by the management to estimate the profit and loss of ...
Q: Financial information is presented below: Operating expenses $ 45000 Sales revenue 241000 Cost of go...
A: Gross Profit - Gross Profit is the profit margin earned on the units sold. Gross Profit is the profi...
Q: Carla Vista Co. accepts from Gates Stores a $4,400, 4-month, 9% note dated May 31 in settlement of G...
A: Principal = $4,400 Rate = 9% Time = 4-month
Q: On June 30, 2022, the company sold old equipment for $14,400. The equipment originally cost $21,600 ...
A: To make a journal entry, you enter transaction data into your company's books. Your journal entries ...
Q: A $650000 bond was retired at 102 when the carrying value of the bond was $677000. The entry to reco...
A: Bonds are issued by the company for raising finance. It can be issued at a discount or at a premium.
Q: What is the amount of gain or loss to be recognized by WAVY Company in its income statement as a res...
A: Reclassification of the asset means that the assets value has to be revalued so that the current val...
Q: Enumerate and explain briefly the limitations of using CVP analysis in pricing decisions.
A: Cost Volume Profit (CVP) analysis is a way to find out how changes in variable and fixed costs affec...
Q: On 31 May 2022, Mars's closing inventory count was valued at a cost of $750,000. This included some ...
A: We know that general provision of valuation of inventory is "Inventory is valued at Cost of Net real...
Q: a. Prepare a worksheet for the postretirement plan in 2022.
A: a) Post retirement plan takes time to evolve. In order to have a fun, secured and comfortable retire...
Q: Jackie is curious why the lawmakers provided for the 6% CGT to be in the form of a final withholding...
A: For Transfer of Real estate Asset or any other capital asset transferred to the buyer, when titles a...
Q: 4. Caesar works in the Oil & Gas industry. His wife is a stay-at-home mom, and she handles their inv...
A: Pure Risk refers to risk that cannot be controlled and has two outcome : complete loss or no loss at...
Q: Concord Company reports the following for the month of June. Date Explanation Units Unit Cost Total ...
A: In this question we will find out Ending inventory, COGS with LIFO, FIFO method and Average cost met...
Q: 4. What is the adjusted cash balance as of January 31, 2022? A. 2,000 B. 3,000 C. 13,500 D. None...
A: Ideally cash balance as per cashbook and bank balance as per bank statement must reconcile with each...
Q: 21. If variable selling and administrative costs increased, how would the gross margin and contribut...
A: Variable selling and administrative costs are those selling and admin costs which will be changed wi...
Q: ABC Corp. is identifying the value of its equity using the enterprise value approach as they have ne...
A: Calculation of Nominal risk free rate :- Nominal risk free rate is 5.05%
Q: Effect of Transactions on Cash Flows State the effect (cash receipt or payment and amount) of each ...
A: Cash flows include the cash outflows and cash inflows. The cash flows is positive when cash inflows ...
Q: Yorkville sells a haircutter at $65 and each unit has variable cost of $25. Yorkville's fixed manufa...
A: Calculation of the Incremental net income:- Incremental net income = Incremental Revenue - Increment...
Q: 1,80,00,000. Building Fund 24,00,000, Prize Fund 12,00,000, Reserve Fund (b) Balances as at 1.4.2020...
A: Capital Fund : It is also called accumulated Fund or General fund. It is actually the capital of a n...
Q: ports Socks has a policy of always paying within the discount period and each of its suppliers provi...
A: ACCOUNTS PAYABLE; is an accounting entry that is recorded in the balance sheet. they are paid after ...
Q: Below is the adjusted trial balance for the partnership of J, K and L. group of CPA's in the practic...
A: The income statement explains the financial performance of the company for a particular period of ti...
Q: Review your notes and compile a list of confidence interval formulas we have learned so far and cond...
A: Confidence intervals are crucial metrics for statistical inference. Statisticians use a confidence i...
Q: On March 12, Medical Waste Services provides services on account to Grace Hospital for $10,700, term...
A: Introduction: Journals: Recording of a business transactions in a chronological order. First step in...
Q: Which financial statement shows the financial performance of the company on a cash basis?A. balance ...
A: Financial statements are those reports and statements that are prepared at the end of accounting per...
Q: Jackie Inc. made the following capital transactions on a domestic share not listed in the exchange J...
A: The answer is stated below:
Q: Chapter (10) practices Q1: The following information is extracted from Basra Company. 1- Balances on...
A: Accounts Receivables - Accounts Receivables are the amount unpaid by the customer for the service re...
Q: When a company records a bank deposit, it will: O A. credit the Cash account on the company's books....
A: Introduction: Journals: Recording of a business transactions in a chronological order. First step in...
Q: 2) You have been the finance director of a Diwan Silks LLC Sohar, for ten years. Its yearend is 31st...
A: Accounting ethics refers to following specific standards and conventions established by governing bo...
Q: on Johnson is the management accountant for Cari-Blocks (CB), which manufactures specialty blocks. C...
A: Standard costing Standard costing is that costing method that estimates future costs and checks the ...
Q: Which of the following accounts is increased by a debit?A. Common StockB. Accounts PayableC. Supplie...
A: Debit and credit are two sides of account in accounting framework. All assets, expenses and withdraw...
Q: On March 12, Medical Waste Services provides services on account to Grace Hospital for $10,700, term...
A: When services are being provided on account to customers, then it will generate or create accounts r...
Q: ABC acquired a patent on an oil extraction technique on January 1, 2018 for $12,000,000. It was expe...
A: Note: Impairment is not done for the intangible assets i.e Patent, trademark etc. Annual amortizatio...
Q: The units-of-production method of depreciation charges a varying amount of expense for each period o...
A: Depreciation expense based on the units-of-production method charges the depreciation for each based...
Q: Make a journal enrty of the accounting eqaution: Carla established an insurance agency on July 1 of...
A: The question is related to Journal Entries for the mont of July.
Q: Jackie forecasts the following for the taxable year 2023. Gross profit from regular operations - 5,...
A: Working Note :- Optional standard ...
Q: Infrequent Items) Presented below is a combined single-step income and retained earnings statement f...
A: Solution Retained earning are cumulative net earnings or profits of a company after accounting for ...
Trending now
This is a popular solution!
Step by step
Solved in 2 steps
- Long-Term Notes Payable Business transactions often involve the exchange of property, goods, or services for notes or similar instruments that may stipulate no interest rate or an interest rate that varies from prevailing rates. Required: 1. When a company exchanges a note for property, goods, or services, what value does it place on the note: a. if it bears interest at a reasonable rate and is issued in a bargained transaction entered into at arms length? Explain. b. if it bears no interest and/or is not issued in a bargained transaction entered into at arms length? Explain. 2. If the recorded value of a note differs from the face value, explain: a. how the company should account for the difference. b. how the company should present this difference in the financial statements.What business circumstance could produce a short-term notes payable created from a loan?Which of the following is true? Short-term notes payable should be discounted at its present value, more so, if it constitutes a financing transaction and the imputed interest can be measured without undue cost or effort. Transaction costs of issuing financial liabilities are expensed outright. The present value of a serial note's principal is computed by using the PV of 1 as the present value factor. Notes payable are obligations supported by creditor's promissory notes.
- I need answer ASAP 1.b)Bills payable and promissory notes are negotiable instruments and are used mostly to replace_____Select one:O a. financial meansO b. term loansO c. long-term creditO d. trade creditO e. overdraft facilitiesThe net figure for accounts receivable (debtors) after deducting the allowance for uncollectible debts account: Select one: a. overstates the realisable value of debtors. b. is a contra account. c. understates the realisable value of debtors. d. represents the expected cash to be collected. e. None of the above answers is correct.If a note receivable is discounted without recourse a. the contingent liability may be disclosed b. liability for note receivable discounted is credited c. note receivable is credited d. the transaction shall be accounted for as a secured borrowing as opposed to a sale
- Commercial (in contrast to consumer) line of credit is an agreement between a customer and a bank that a. is renewed at the end of the contract period in an evergreen facility. b. gives the customer the right to borrow up to a predetermined amount. c. is usually for one year or longer. d. may not obligate the bank to honour the customer’s request for a loan The APR is a. the average annual percentage cost paid on deposits b. the average rate paid on deposits c. the average rate paid for credit d. the average annual percentage cost paid for credit3. which of the following transactions will result in the increase and decrease in liability? a. payment of loan by installmentb. borrowed money from the bankc. issued a promissory note in payment of a liabilityd. request for an extension of the date of paymentIf a bill of exchange is discounted and on the date of maturity such bill of exchange was dishonored by the acceptor, what will the bank do to collect such amount?
- how are the origination fees borne by the borrower accounted for in relation to the initial measurement of a loan receivable a. Added to initial measurement of the loa receivable b. Deducted from the initial measurement of the loan receivable c. Ignored d. Either added to or deducted from the initial measurement of the loean receivable if the origination fees are at leasr 10% of the proncipal amount of the loanWhich of the following is not a way in which banks lend short-term unsecured loans? a. Through a guaranteed credit line that has a commitment fee for any unused amount for the year b. Through credits cards lines with a certain credit limit c. By sending the amount earned from trust and investment products offered by the bank d. By lending a single date maturity loan to a debtorWhich of the following is true when accounts receivable are factored without recourse? a. The transaction may be accounted for either as a secured borrowing or as a sale, depending upon the substance of the transaction. b. The financing cost (interest expense) should be recognized ratably over the collection period of the receivables. c. The receivables are used as collateral for a promissory note issued to the factor by the owner of the receivables. d. The factor assumes the risk of collectibility and absorbs any credit losses in collecting the receivables.
