V. Prepare the Trial Balance
Q: For Questions 36-38 refer to problem below: On August 1, 2020, Tempest Company bought a property…
A: Prepaid insurance are current assets disclosed in the Balance Sheet.
Q: How much is the total net cash flow? O P430.000 O P270.000 O P620.000 O P695,000
A: Total net cash flow refers to the net cash generated by the business during the period from its…
Q: In a sale-leaseback transaction, the lease liability is equals to: A. PV of lease payments accruing…
A: Sale and leaseback transaction refers to the transaction where the asset is first sold by the seller…
Q: cash flow to the firm in 2022 using EBIT
A: Cash Flow Statements states that cash flows should exclude the movements between items which forms…
Q: Net income after tax is: The difference of financial income and total deferred income tax expense.…
A: Net income is the amount of money earned by an entity after deducting its outlays from the revenues.…
Q: Narrate how AIS adds value.
A: Accounting Information System (AIS) is a system used by businesses to gather, store, and process…
Q: On January 1, 2021, Golden Company acquires $400,000 of ABC Company's 10- year, 6% bonds at a price…
A: Introduction Carrying value of bond refers to face value of bond plus unamortized premium, during…
Q: Explain why partnership is a good form of business in your dream business and how are you going to…
A: partnership ,agreement between two or more person to share their knowledge and skills and profit and…
Q: Sales Cost of Sales Gross Profit Operating Expenses (b) Net Income P75,000 (a) P40,000 P17,000
A: Formula used for Cost of sales: Cost of sales = Sales - Gross profit.
Q: The income tax payable of ABC Corporation for the taxable year 2023 is:
A: This question belongs to Phillipines so, the income tax provisions of Phillipines will apply. The…
Q: Discuss the factors that accountants should consider when setting up company accounting policy…
A: Accounting Policy- Accounting policies are the specific principles, foundations, conventions, rules,…
Q: 2. A bank offers a 272- day discounted loan at a simple discount rate of 12%. (a) How much money…
A: Solution Concept Simple interest rate is the rate that does not have the effect of compounding To…
Q: Marvel Corporation (a C-corporation) has the following operating profit for 2019 through 2021. Year…
A: Net operating loss is a situation when the deductions exceed the income. For example, deductions…
Q: ackie, a non-business taxpayer, paid for the following relevant figures (in pesos) anent his…
A: Dutiable Goods are calculated on a CIF basis. Note 1. CIF is Cost, Insurance, and Freight (here…
Q: . On December 31, 2021, JV Company purchased for P4,000,000 cash all of the outstanding ordinary…
A: The value of goodwill is calculated by reducing the carrying value of liabilities from the fair…
Q: On January 1, 2018, Alan Company purchased an equipment for P8,000,000. The equipment is depreciated…
A: Depreciation means a fall in the value of tangible assets due to wear and tear. Depreciation is…
Q: Sales (8,400 units) $ 764,400 Variable expenses 445, 200 Contribution margin 319, 200 Fixed expenses…
A: Contribution margin per unit = Total contribution/Number of units sold
Q: The following data were taken from the Statement of Cash Flows of Department JKL for the year ended…
A: Cash flows from operating activities: It is a section of the Statement of cash flow that explains…
Q: 16. This is a joint tenancy between husband and wife where each person owns the property in its…
A: Ans. C Tenants by the Entirety
Q: Determine the account and amount to be debited and the account and amount to be credited for the…
A: Depreciation: Depreciation means the reduction in the value of an asset over the life of the assets…
Q: What is the amount of headquarters' cests'atibcateď toʻPlant A if payroll is used s the allocation…
A: Answer:
Q: Tic Ling sold 1,000 shares directly to the stock market for P 1,000,000. How much is the percentage…
A: Solution Provision applicable Percentage tax When the share is sold /disposed through…
Q: Solen Corporation's break-even-point in sales is $850,000, and its variable expenses are 80% of…
A: Formula used : Sales value = Contribution margin / ( 100 - variable expenses % )
Q: The charity is small and trustees do not consider that the charity can afford to employ a qualified…
A: Auditing refers to the art of inspecting and investigating financial accounts of a company. It is…
Q: An engineering study performed in 2021 indicated that on January 1, 2021, 7,500,000 tons of…
A: Depletion refers to the reducing in the value of natural resources of the earth from extraction of…
Q: How much is the net cash flow from financing? O (P 285,000) O (P510,000) O (P210,000) O (P445,000)
A: Cash flow from financing activities include the cash paid or received from the financing activities…
Q: bo19 bns 2noS es mile Company has underapplied overhead of P45,000 for the year ended ecemben om. 3…
A: The underapplied or overapplied overhead cost is closed to various accounts as work in process,…
Q: Juan Company purchased four convenience store buildings on January 1, 2015 for a total of…
A: An asset is impaired if carrying amount of an asset is greater than its recoverable amount. Carrying…
Q: On December 31, 2021, JV Company purchased for P4,000,000 cash all of the outstanding ordinary…
A: Goodwill reported on consolidated financial position represents the amount excess paid over the…
Q: Which of the following types of messages might the Active Auditor display? Question 9 options:
A: Solution Concept Active auditor is a feature that is built in the Quick books online There are two…
Q: In the accounting literature, there is substantial scepticism towards the adoption of the…
A: The process of defining, assessing, and reporting transactions to regulatory authorities, tax…
Q: Problem-solving Admission by Purchase of Interest or Investment of Assets Angeles. Bondoc and Campos…
A: The partnership comes into existence when two or more persons agree to do the business and further…
Q: le when the agreement was signed and the balance in five annual payments of P8,000 each. Tam's is…
A: In franchise business, owner of the business which has its business market acceptability along with…
Q: e takeover strategy that can be made by an entity when there is a high chance that current holders…
A: Introduction An anti-takeover measure is any move that is initiated on a ceaseless or irregular…
Q: On December 31, 2022, Day Company leased a new machine from Parr with the following pertinen…
A: Lease liability is the obligation of the person who has taken an asset on lease.
Q: A lease agreement whereby the lessee recognized rent expense which is always equals to the rent…
A: The lease is a type of agreement between the lessor who is the asset owner and the lessee who takes…
Q: Warriors Company reported taxable income of Php8,000,000 in the income tax return for the first year…
A: The correct answer for the above mentioned question is given in the following steps for your…
Q: On January 1, 2019, Chiz Company acquired equipment to be used in its manufacturing operations. The…
A: Depreciation is charged on asset due to wear and tear, obsolescence, new technology, etc.…
Q: 45. Mr. Gerry, hired as employee on July 1, 2019 received the following compensation for the year:…
A: If maximum value is to be achieved for both employers and employees, tax efficient incentive plans…
Q: A taxable income always results when a. none of the choices. b. revenues exceed the cost of goods…
A: Taxable income is the value at which the tax is calculated by the company.It is calculated by…
Q: (a) A sale of goods £412 to T More had been entered in T Mone's account. (b) The purchase of a…
A: The error in the books may be occurred due to some posting in account or amount entered to the…
Q: During the measurement period, which of the following may affect the amount of goodwill from…
A: The correct answer for the above mentioned question is given in the following steps for your…
Q: A. What amount should be reported as basic earnings per share? B. What amount should be reported as…
A: Given, Net income is P11,000,000 Outstanding shares issued on Jan 2 is 1,500,000 On Jan 3 entered…
Q: What amount should be
A: Shareholders also invest money in the company and in return they become the owners in proportion to…
Q: On January 1, 2021, Robin Company received a grant of P1,500,000 frorm the government to subsidize…
A: The grant is the amount that is received from the government to fulfill a certain activity. It is a…
Q: Discuss how a deferred tax provision can arise under IAS 12, Income Taxes, and the available methods…
A: the above requirement are discussed below
Q: Mateen Oil and Gas Company provides the following data: 2019 2020 2021 Unproved property acquisition…
A: Calculation of finding cost of BOE for 2020 = =G&G+Exploratory drillingExtensions &…
Q: How much is the contributions receivable to be presented in the statement of financial position of…
A: solution concept Whenever there are pledges made by the contributor , the estimation relating to its…
Q: On January 1, 2023, Legis Company issued 10-year, P200,000 face value, 6% bonds at par (payable…
A: The Entry was Passed on Date Particular Debit Credit January 1 2023 Cash and Bank A/c…
Q: 00 cash plus accrued interest. Gi burse and assesses a finance cha
A: Fair market value refers to the monetary value of an asset at which the asset will be sold in the…
Do v) only.
Step by step
Solved in 4 steps with 3 images
- Provide journal entries to record each of the following transactions. For each, identify whether the transaction represents a source of cash (S), a use of cash (U), or neither (N). A. Paid $22,000 cash on bonds payable. B. Collected $12,600 cash for a note receivable. C. Declared a dividend to shareholders for $16,000, to be paid in the future. D. Paid $26,500 to suppliers for purchases on account. E. Purchased treasury stock for $18,000 cash.Provide journal entries to record each of the following transactions. For each, also identify *the appropriate section of the statement of cash flows, and s utility bill, $1,500To demonstrate the difference between cash account activity and accrual basis profits (net income), note the amount each transaction affects cash and the amount each transaction affects net income. A. issued stock for cash $20,000 B. purchased supplies inventory on account $1,800 C. paid employee salaries; assume it was current days expenses $950 D. paid note payment to bank (principal only) $1,200 E. collected balance on accounts receivable $4,750
- Analyzing the Accounts The controller for Summit Sales Inc. provides the following information on transactions that occurred during the year: a. Purchased supplies on credit, $18,600 b. Paid $14,800 cash toward the purchase in Transaction a c. Provided services to customers on credit1 $46,925 d. Collected $39,650 cash from accounts receivable e. Recorded depreciation expense, $8,175 f. Employee salaries accrued, $15,650 g. Paid $15,650 cash to employees for salaries earned h. Accrued interest expense on long-term debt, $1,950 i. Paid a total of $25,000 on long-term debt, which includes $1.950 interest from Transaction h j. Paid $2,220 cash for l years insurance coverage in advance k. Recognized insurance expense, $1,340, that was paid in a previous period l. Sold equipment with a book value of $7,500 for $7,500 cash m. Declared cash dividend, $12,000 n. Paid cash dividend declared in Transaction m o. Purchased new equipment for $28,300 cash. p. Issued common stock for $60,000 cash q. Used $10,700 of supplies to produce revenues Summit Sales uses the indirect method to prepare its statement of cash flows. Required: 1. Construct a table similar to the one shown at the top of the next page. Analyze each transaction and indicate its effect on the fundamental accounting equation. If the transaction increases a financial statement element, write the amount of the increase preceded by a plus sign (+) in the appropriate column. If the transaction decreases a financial statement element, write the amount of the decrease preceded by a minus sign (-) in the appropriate column. 2. Indicate whether each transaction results in a cash inflow or a cash outflow in the Effect on Cash Flows column. If the transaction has no effect on cash flow, then indicate this by placing none in the Effect on Cash Flows column. 3. For each transaction that affected cash flows, indicate whether the cash flow would be classified as a cash flow from operating activities, cash flow from investing activities, or cash flow from financing activities. If there is no effect on cash flows, indicate this as a non-cash activity.SJM's financial statements contain the following information: Cash $2,725,000 Marketable securities 1,725,000 Accounts receivable 3,050,000 Inventory 3,950,000 Accounts payable 3,275,000 Accrued expenses 1,700,000 Long-term debt 9,100,000 Cost of goods sold 4,250,000 Required: Assume the accounts payable balance is all trade payables and opening and closing balances are the same. Round your answers to two decimal places. 1. What is the current ratio?fill in the blank 1 2. What is the quick ratio?fill in the blank 2 3. What is the cash ratio?SJM's financial statements contain the following information: Cash $2,725,000 Marketable securities 1,725,000 Accounts receivable 3,050,000 Inventory 3,950,000 Accounts payable 3,275,000 Accrued expenses 1,700,000 Long-term debt 9,100,000 Cost of goods sold 4,250,000 Required: Assume the accounts payable balance is all trade payables and opening and closing balances are the same. Round your answers to two decimal places. 1. What is the current ratio? fill in the blank 1 2.30 2. What is the quick ratio? fill in the blank 2 1.51 3. What is the cash ratio? fill in the blank 3 0.89 4. What is the trade payable turnover ratio? fill in the blank 4
- What is the spcial journal of the following statements : Invested cash of 250,000 and merchandise of 50,000 to open the business. Deposited 200,000 of the cash investment with citibank Sold merchandise on account to Rustan, 11,760 Terms: 2/10, n/30. Inovice no.801 Sold merchandise on account to Robinson's, 8,960. Terms: n/30. Paid Evergreen the amount owed on the May 14 purchase (May 14- Purchased merchandise on account from Evergreen, 28,000. Terms 1/10, n/30. Invoice no. 801.The following transactions are taken from Pak Maun Enterprise in November 2020: Nov 1 Starting business with cash in hand RM18,000 and cash in bank account RM100,000 3 Purchased office furniture worth RM24,000 from Kedai Perabot Dinesh 4 Purchased business inventories worth RM12,800 using cheque 5 Sold inventories worth RM6,000 to Kedai Mei Ling 7 Kedai Mei Ling returned defective inventories worth RM920 9 Withdrawal (business inventories) worth RM480 for family use 10 Received cheque from Kedai Mei Ling RM3,400 12 Purchased business inventories worth RM27,200 from Pembekal Syazwani 15 Returned business inventories worth RM560 to Pembekal Syazwani (wrong brand) 16 Cash sale RM2,400 20 Paid to Pembekal Syazwani using cheque RM14,000 22 Paid rental fee RM2,000 using cash 29 Paid workers’ salaries RM2,800 using cheque (i)Record the above transactions into the respective ledgers and balance the accounts.…Suppose your company sells goods for $300, of which $200 is received in cash and $100 is onaccount. The goods cost your company $125 and were paid for in a previous period. Your companyalso recorded salaries and wages of $70, of which only $30 has been paid in cash.Required:1. Show the journal entries to record these transactions.2. Calculate the amount that should be reported as net cash flow from operating activities.3. Calculate the amount that should be reported as net income.4. Show how the indirect method would convert net income (requirement 3) to net cash flowfrom operating activities (requirement 2).5. What general rule about converting net income to operating cash flows is revealed by youranswer to requirement 4?
- The comparative balance sheet of Orange Angel Enterprises Inc. at December 31, 20Y8 and 20Y7, is as follows: 1 Dec. 31, 20Y8 Dec. 31, 20Y7 2 Assets 3 Cash $151,000.00 $190,000.00 4 Accounts receivable (net) 522,000.00 569,000.00 5 Merchandise inventory 968,000.00 759,000.00 6 Prepaid expenses 28,000.00 19,000.00 7 Equipment 2,032,000.00 1,424,000.00 8 Accumulated depreciation-equipment (380,000.00) (304,000.00) 9 Total assets $3,321,000.00 $2,657,000.00 10 Liabilities and Stockholders’ Equity 11 Accounts payable (merchandise creditors) $190,000.00 $171,000.00 12 Mortgage note payable 0.00 759,000.00 13 Common stock, $10 par 1,140,000.00 380,000.00 14 Excess of paid-in capital over par 570,000.00 190,000.00 15 Retained earnings 1,421,000.00 1,157,000.00 16 Total liabilities and stockholders’ equity…The following T-account is a summary of the Cash account of Pharoah Company. Cash (Summary Form) Balance, Jan. 1 8,500 Receipts from customers 362,500 Payments for goods 255,900 Dividends on stock investments 6,800 Payments for operating expenses 140,600 Proceeds from sale of equipment 36,400 Interest paid 11,700 Proceeds from issuance of bonds payable 499,400 Taxes paid 7,200 Dividends paid 59,900 Balance, Dec. 31 438,300 What amount of net cash provided (used) by financing activities should be reported in the statement of cash flows? (Show amount that decrease cash flow with either a - sign e.g. -15,000 or in parenthesis e.g. (15,000).) Net cash select an option by financing activities $enter enter net cash used or provided by financing activities amount in dollarsThe income statement of Mus Plaga Services for the year ending 31 May 2021 showed service revenue of $98 000. Sales made by the business is 80% received in cash and the remaining on account. The balance sheet as at 31 May 2020, showed accounts receivable of $12 700 and the 2021 balance sheet showed customers owned the business $14 500 from credit sales.Calculate the cash received from customers.A. 96 200 B. 98 000 C. 78 400 D. None of the other answers E. 99 800
