United Supply has a $45 million liability at December 31, 2021, of which $9 million is payable in each of the next five years. United Supply reports the liability in the balance sheet as a:

Q: Taken from the records of Care Company as of December 31, 2021 are the following information: …

A: As per IAS 1 of International financial reporting standards Current liabilities are those…

Q: At December 31, 2020, Crane Corporation owes $ 514,900 on a note payable due February 15, 2021. (a)

A: A current liability is a debt that must be paid up either this year or next year, whichever comes…

Q: Sunland AG, which began operations at the beginning of 2020, produces various products on a contract…

A: Meaning: A journal entry is the first step and an essential function of the accounting process.…

Q: The following events occurred during the year ended 30 June 2020 for Electrical Limited. On 1 June…

A: As posted multiple sub parts we are answering only first three sub parts kindly repost the…

Q: On October 1, 2020, Balaton Corporation issued a P500,000, 12 month, 12% note to ABC Company in…

A: Total liability as on 31-december-2020.  1). Interest Bearing Note = Note payable + Interest Payable…

Q: exclude this note from current liabilities

A: Second option is wrong because even though the company demonstrates the ability to refinance before…

Q: Carpet Company had a balance of P800,000 in the warranty liability account on December 31, 2020. The…

A: Given: Warranty balance = P800,000 Warranty expenditure = P2,500,000 Sales = P40,000,000 Warranty…

Q: Included in Sheridan Company's December 31, 2020, trial balance are the following accounts: Accounts…

A: The balance sheet is also known as a statement of financial position considered as one of the most…

Q: On October 1, 2019, Donna Equipment signed a one-year, 8% interest-bearing note payable for $50,000.…

A: Maturity date of Note = Issue date + Period = October 1, 2019 + 1 years = October 1, 2020 No. of…

Q: On January 1, 2021, Umbrella Insurance Company has collected $24,000 for multiple two-year insurance…

A: Insurance premium for a month = Total premium collected / Period of insurance = $24,000 / 24 months…

Q: Indonesia Company had P2,000,000 note payable due on June 30, 2021. Under the existing loan facility…

A: Non-current liabilities are those which are due to be paid in not less than 1 year. Those loans or…

Q: On September 1, 2019, Donna Equipment signed a one-year, 8% interest bearing note payable for…

A: Note means an instrument acknowledging as debt due from one party to another party. Interest bearing…

Q: Casual Company entered in a franchising contract with a franchisee on January 5, 2021. The contract…

A: Casual Company entered in a franchising contract with a franchisee on January 5, 2021. The contract…

Q: a. How much is the amortization expense for the year 2021? b. How much is the franchise fee expense…

A: Purchase amount of franchise = 3,125,000 The estimated useful life of the franchise = 10 years…

Q: United Supply has a $30 million liability at December 31, 2021, of which $6 million is payable in…

A: A current liability has a settlement period of less than 12 months whereas any liability that has a…

Q: On April 1, 2019, Char Company borrowed P5,000,000 and signed a 2-year note bearing interest at 12%…

A: Interest accrued for April 1, 2019 to March 31, 2020 = Amount borrowed x rate of interest x no. of…

Q: The adjusted trial balance for Bonita Industries at the end of the current year, 2021, contained the…

A: Liabilities can be defined as business obligations which needs to be fulfilled in the future time…

Q: On January 1, 2020, Tine Company signed an agreement to operate as a franchisee of Sarawat Corp. for…

A: If the collection of franchisee income is not reasonably assured then the revenue is not recognized…

Q: On June 2021, A Corporation loaned $1,000,000 from a bank, payable in 10 equal instalments. The…

A: A liabilities account in balance sheet is classified as current liabilities when such obligation is…

Q: On September 1, 2021, Southwest Airlines borrows $41 million, of which $10 million is due next year.…

A: Current liabilities: Liabilities which have to be paid  within one year or one operating cycle,…

Q: The company has had over P3,000,000 in interest-bearing debt outstanding in 2020, at a weighted…

A: The question is multiple choice question and is related to Borrowing Cost. Required  Choose the…

Q: On October 1, 2021, Smash Company discounted its own note of $500,000 at 10% for 1 year. In its…

A: Note means an instrument acknowledging as debt due from one party to another party. It carry defined…

Q: On January 1. 2020, Sheridan Company, a calendar-year company, issued S608000 of notes payable, of…

A: A current liability is an obligation which needs to be settled within a period of 12 months and any…

Q: ined the following: Accounts payable   $ 107,500   Note payable   $157,000 Accounts receivable…

A: Solution: Non current liabilities are those liabilities which are not due to be paid within next one…

Q: On January 1, 2020, Pharoah Company, a calendar-year company, issued $2160000 of notes payable, of…

A:

Q: Honest Corporation carried a provision of P1,500,000 in the draft financial statements for the year…

A: Answer:  C.1,000,000 Accrued liabilities are such liabilities which have not yet been paid during an…

Q: For each of the following situations, indicate the amount shown as current or long-term liability on…

A: The current liability is the liability which is to be paid off within one year.

Q: Mackenzie Corp, is preparing the December 31, 2020, year-end financial statements. Following are…

A: Adjusting Entries :— It is the journal entry made at the ending the accounting period to adjust the…

Q: On September 30, 2019, Lakatan Inc. borrowed P1,000,000 on a 9% note payable. The entity paid the…

A: solution given Date of issue September 30 2019 Amount of note 1000000 Rate of…

Q: Rodriguez Corporation includes the following items in its liabilities at December 31, 2020. 1.…

A: 1. If Rodriguez Corporation intends to refinance the liability of $25,000,000, it can exclude this…

Q: On July 1, 2021, Guarin Co. obtained fire insurance for a three-year period at an annual premium of…

A: As per the honor code, We’ll answer the first question since the exact one wasn’t specified. Please…

Q: Cryer, Inc. has a $45,000,000 note payable on its balance sheet as of 12/31/19, of which $6,000,000…

A: Total note payable on Dec 31, 2019 = $45,000,000 Notes to be paid in 2020 should be classified as…

Q: For each of the following situations, indicate the amount shown as current or long-term liability on…

A: a) Long-term notes payable are similar to short-term interest-bearing notes payable except the term…

Q: Jamison Company has the following obligations at December 31: For each obligation, indicate whether…

A: A liability is classified as a current liability if it is expected to be paid within 12 months from…

Q: On January 1, 2020, Elmer Company, a calendar-year company, issued $2,000,000 of notes payable, of…

A: In case a portion of a debt is payable within next year, then that portion is reported as current…

Q: Included in Adams Company’s December 31, 2020, trial balance are the following accounts: Accounts…

A: Balance sheet: This financial statement reports a company’s resources (assets) and claims of…

Q: On October 1, Dalton Corp. borrows $100,000 fromNational Bank, signing a six-month note payable for…

A: Interest amount: Interest charged on the borrowed principal amount. Interest is charged…

Q: On April 1, 2019, Flamengo Co. signed a one-year, 8% interest-bearing note payable for $50,000.…

A: Since you have asked multiple questions we will solve the first question for you as per the policy.…

Q: Lynford Company sold 10,500 dishwashers for $1,100 each during 2021. The dishwashers are under…

A: Warranty liability is calculated by deducting the warranty cost from the warranty liability.

Q: Grouper, Inc. has a fiscal year ending April 30. On May 1, 2020, Grouper borrowed $9,912,000 at 11%…

A:

Q: The adjusted trial balance for Cullumber Corporation at July 31, 2021, the corporation's fiscal year…

A:

Q: Hunter Corporation pays an annual insurance premium of $8,500 to cover the lives of its board…

A: The cash surrender value seems to be the sum the policyholder will receive from the insurance…

Q: Trisha Company had a ₱2,400,000 note payable due June 30, 2021. On December 31, 2020, the entity…

A: Current liabilities are those dues and obligations which needs to be settled or paid in short period…

Q: Honest Corporation carried a provision of P1,500,000 in the draft financial statements for the year…

A: Adjusting events are those events occurring after balance sheet date and has relation to the amounts…

Q: On January 1, 2020 there is a P300,000 balance in Construction in progress-building account.…

A: The question is multiple choice question and is related to Borrowing Cost. Required  Choose the…

Q: On September 1, 2021, Zara Company issued a 6-month note to supplier amounting to P300,000, 12%…

A: Adjusting entries are those journal entries which are passed at the end of accounting period for the…

Q: On September 30, 2021, Coronado Corporation received a three-year, 12%, $1,750,000 bank loan. The…

A: GIVEN   On September 30, 2021, CORONADO Corporation received a three-year, 12%, $1,750,000 bank…

Q: The following events occurred during the year ended 30 June 2020 for Electrical Limited. On 1 June…

A: As per your request we are answering from Question number 04 to 06.

Q: On 30 June 2018, Bamberga Ltd borrowed $600,000 as an interest-only loan at 8% for 5 years. In…

A: Current liability : Which means, any due amount on borrowings which can be includes interest for…

Contract Costing

Contract costing is about tracing particular costs related to a particular contract entered into with the customer. It is one of the forms of job order costing. It is useful in long-term contracts at the most. It is seen that substantial time is required for the completion of the contract which takes different accounting periods. Thus, it is very much helpful for recognizing the costs associated with it and accounting in their specific accounting periods.