Taehyung started operating a service proprietorship on April 1, 2021 with an initial cash investment of P100,000. The business provided P58,500 of services in April and received full payment in May. The business incurred expenses of P20,300 in April which were paid in June. During May, Taehyung drew P4,300 against his capital account. What was the income to be reported for the 2 months ended May 2021 under cash basis?

Q: Cost method consolidation entries (controlling investment in affiliate, fair value differs from book...

A: Common stock is a type of security that represents a company's ownership. The board of directors is ...

Q: FINANCIAL STATEMENTS Refer to the trial balance in Problem 3-13A and to the analysis of the change i...

A: Ledger refers to the book under which the accounting transactions are reported and the amounts are p...

Q: Medhurst Corporation issued $86,100 in bonds for $83,000. The bonds had a stated rate of 8% and pay ...

A: Lets understand the basics. When bond is issued for the price which is less than its face value then...

Q: Indicate the net effect (+ for increase; - for decrease; 0 for no effect) of each part of the accoun...

A: The accounting equation states that assets equal to sum of liabilities and equity. The transactions ...

Q: Determining Cost of Goods Sold For a recent year, Best Buy (BBY) reported sales of $39,528 million. ...

A: Gross Profit = Sales - Cost of Goods Sold

Q: In a multiple-step income statement, interest expense usually is not classified as an operating expe...

A: A multi-step income statement is the type of income statement that presents revenues and expenses as...

Q: Kang, King, and Kong are partners in KKK partnership. They share profit or loss in the ratio of 5:3:...

A: Partnership is the association of two or more persons who have agreed to share profit and loss on th...

Q: 6. True or False: When two processes are needed, the cost of finished units in Process #1 is transfe...

A: Process costing is costing method followed where one product is manufactured in bulk in a multi-proc...

Q: Karima Corporation was formed on January 2, 2014, with 100,000 authorized shares of USD100 par value...

A: Shares issued means the number of shares sold or exchanged with public for money or money's worth. S...

Q: ​A principal of $2000 is placed in a savings account at 3% per annum compounded annually. How much i...

A: >There can be two instances of interest payment and accrual:#1: Simple interest, where interest i...

Q: 1. There are a few errors in the annual income statement for Mayfare Pluml ing, owned by James Fare....

A: Income statement is the statement which shows net income or loss of the company by the difference be...

Q: Mr. Allan derived the following income in 2019: Business income Compensation income Interest income ...

A: The answer for the multiple choice question and relevant explanation are presented hereunder : Who a...

Q: Open general ledger accounts for Allowance for Uncollectible Accounts and Uncollectible-Accounts Exp...

A: 1. Allowance from Uncollectable accounts Date Particulars Amount Date Particulars Amou...

Q: Universal Gagarin purchased a residential unit for P3,000,000 and transferred it to its supervisory ...

A: Solution Concept When a employer transfers the residential unit to employee , the monetary value of ...

Q: Norte Company has three manufacturing divisions, each of which has been Determined to be reportable ...

A: The segment margin is calculated as difference between revenue earned by margin and traceable expens...

Q: ABC Company was engaged in leasing machinery. The following were obtained from the incomplete record...

A: The accrued rent income is the rent earned but not received yet.  It is treated as a current asset i...

Q: Preparation of the Income Statement The income and expense accounts of Nora Maniquiz Real Estate Age...

A: The question is related to Income Statement. An income statement is a financial statement that shows...

Q: During 2021, Cavite Coffee had profit of P8,200,000. Included on its income statement was depreciati...

A: Introduction: Statement of cash flows: All cash in and out flows are shown in cash flow statements. ...

Q: Dakota Corporation is an owner/operator of 15 water filtration systems in the Northwestern region of...

A:                        In Accounting we have capital expenditure and revenue expenditure.  Capital e...

Q: F2 Use the following information for questions 20-23: You are provided with the following informatio...

A: Net Income =Total Revenue -Total Expense. Income Statement Sales  56800 Less: Cost of goods sol...

Q: PROBLEM NO.1- Composition of cash and cash equivalents The following data pertain to PRTC Corporatio...

A: Computation of the cash and cash equivalents to be reported on the entity's December 31 2018 stateme...

Q: Required: Prepare Fidel Trading’s adjusted cash book for November 30th Prepare the necessary journa...

A: Please see the attached solution. 

Q: Redemption of Bonds Payable An $800,000 bond issue on which there is an unamortized premium of $57,0...

A:  A BOND is a type of securities  issued by company. These are type of   loan that are taken. A bond ...

Q: Cola Company is preparing the interim financial statements for the quarter ended March 31, 2020. Sal...

A: Variable expenses = Sales x 20% Advertisement expense = Total advertisement expense for one year x 3...

Q: 8-27 LO 6 (h) in 8-26, assuming a population size of $8,500,000. Recall that sampling interval = pop...

A:   8-26: Solution

Q: Wharton, Inc., pays income taxes on capital gains (Including gains on marketable securities) at a ra...

A: Realized Gain = Cash - Cost Tax amount = Realized Gain * Tax rate

Q: View Policies Current Attempt in Progress On November 1, 2021, Golden Valley Inc. accepted a three-m...

A: >Note receivables are the current asset. >It can be accepted in case of: --when goods ...

Q: On July 1, 2022, Kim Seok-jin Company purchased a machinery from a dealer paying P2,310,000 cash. In...

A: Purchase cost = P2,310,000 Cost incurred to bring the machinery = P150,000

Q: Who provided the financing for the company? Wasthis arrangement considered unusual, or was it routin...

A: Here discuss about the financial arrangement needs to the business as raise the additional fund as w...

Q: Mr. Lito Bag is engaged in the sale of goods and has a maximum charitable contribution of P30,000 an...

A: Answer: Itemized deductions is the deduction that are taken if standard deduction is not taken. It i...

Q: but here are some extra probl- Extra practice problems: 1. On January 1, 2017, you b is 4.00%. The l...

A: Interest Calculation Interest calculation is important for the borrower to given the credit to custo...

Q: Assign account numbers and specify whether each account would appear on the balance sheet or income ...

A: The question is based on the concept of Financial Accounting.

Q: PE 2. Baler Company has annual sales of P2.5M with variable expenses of 60 percent of sales and fixe...

A: Solution Given Annual sales 2.5M Variable expenses 60% of sales Fixed expense per mo...

Q: A retailer obtains a 21% retail discount, a 15% wholesale discount and 5% volume discount. The retai...

A: Net Price For Calculating the Net Price after discount first to taken the Discounted Price and Divid...

Q: ype between owners and c

A: The answer is explained as,

Q: Which ofr the following Items is not a management concept that was created to improve company perfor...

A: Solution: Managerial accounting is an accounting system that is used mainly for internal purposes. I...

Q: Bill's deductible loss from the activity in Year 1 and Year 2?

A: Partners investing in partnership business have a limitation on the losses from the partnership that...

Q: 22. Ernst Company experienced the following changes in selected accounts for the current year: · ...

A: Accrual sales (A) = P6,000,000 Account receivable, January 1 (B) =  P1,000,000 Account receivable, D...

Q: According to the RUPA, a new partner is admitted to a partnership if a majority of the partners cons...

A:  According to partner ship act 1932,A partner can admitted only with the consent of all partners unl...

Q: A report that lists the types and anmounts af costs incurred in manufacturing is a: Multiple Choice ...

A: Introduction:- A cost sheet is a statement that exhibit the various components of total cost for a p...

Q: Bruce bought a bank bill with a face value of $1 million, priced to yield 3.30 per cent per annum ov...

A: Face value of the bill $1,000,000 Yield per annum 3.30% Monthly yield  3.30% / 12 months = 0.275...

Q: the Accumulated OCI included in the 12 O credit O debit 0 credit

A: Stockholders' equity refers remaining value of monetary remained at a company after it has sorted al...

Q: Upper Limit on Misstatements Calculations: Monetary Unit Sampling. Clyde Billy isconducting the audi...

A: Disclaimer:- “Since you have posted a question with multiple sub-parts, we will solve first three su...

Q: The warehouse is funded via a mortgage loan of R1 million, which bears interest at 10% per annum. Ta...

A: An income statement is a financial report that indicates the revenue and expenses of a business. It ...

Q: Is the following statement TRUE or FALSE? Please provide reason for the answer. When Karen uses mon...

A: Money is a commodity which is generally accepted as a medium of exchange. It has various functions l...

Q: Lebel Corporation has the following capital structure at the beginning of the year: Preferred shares...

A: The question is based on the concept of Financial Accounting.

Q: The WGN Company has a bonus arrangement, which grants the financial vice president and other executi...

A: Introduction:- The finance vice president and other executives of the WGN Company are eligible for a...

Q: Copy Center pays an average wage of $12 per hour to employees for printing and copying jobs and allo...

A: Total cost assigned to the Job = Direct material costs + Direct labor costs + Overhead where, Direct...

Q: Luker Corporation Luses a process costing system. The company had $177,500 of beginning Finished Goo...

A: Answer) The entry is required for cost of goods manufactured during the year. In this question, good...

Q: Direct Write-Off Method Williams & Hendricks Distributors uses the direct write-off method in accoun...

A: Under direct write off method, the bad debt expense is not estimate and allowance is not created for...

Financial Transaction Analysis

The transaction analysis is done with the help of the accounting equation. The basic accounting equation is alternatively known as the balance sheet equation is based on the double-entry system which says that for each transaction happening in a business, at least two accounts should be affected I.e. both the debit side and the credit side should be equal. The Accounting Equation is