What is the importance of having standard setting bodies in accounting? Give at least 5 reasons.
Q: Entity G acquired a 40% interest in Pokus Corp. for P1,700,000 on January 1,2021. The shareholders' ...
A: Equity Method: The equity method of bookkeeping is the most common way of treating interests in part...
Q: Complete the Inventory and Overhead T-Accounts For Job 1 and Job 2 and Job 3
A: Job costing is the method of costing applied when each job is different from the other. These method...
Q: 18. The property, plant and equipment account of Toy Shop Manila was revisited by its property offic...
A: Answer : B. credit Loss from Derecognition, P350,000. Explanation: When PPE is to be derecognised, a...
Q: In consolidated financial statements, it is expected that: A. Retained earnings equals to the sum o...
A: The answer for the multiple choice question and relevant explanation are presented hereunder : Conso...
Q: YSL Corporation acquired 80% of the outstanding ordinary shares of GBX Company on June 1, 2022 for P...
A: Non-controlling interest is the position where the shareholders own less than 50% of the organizatio...
Q: Lyman Nurseries purchased seeds costing $25,000 with terms of 3/15 net 30 EOM on January 12. 1. How...
A: Solution:- 1) calculation of How much will the firm pay if it takes the cash discount as follows und...
Q: Statement of Cash Flows (Direct Method) The Wolff Company's income statement and comparative balance...
A: Answer - Formula for Operating Cash flow to Capital Expenditure Ratio = Cashflow from Operation /...
Q: Interest revenue need not be added to the gross income to compute for the total income.
A: Gross income and net income are two concepts associated with the accounting that helps to identify t...
Q: Data Back-Up Systems has obtained a $10,000, 90-day bank loan at an annual interest rate of 15%, pay...
A: Solution Given Loan amount 10000 Interest rate 15% Maturity period 90 day Numb...
Q: Monopolists sometimes practice price discrimination to O a. get rid of surplus product. O b, decreas...
A: Correct answer:Option d:Increase profit
Q: Randall Company manufactures chocolate bars. The following were among Randall's manufacturing costs ...
A: Direct material is the basic material used for the products such as sugar, cocoa, sugar, etc.
Q: On January 2, 2020, Popsters Corporation purchased 80% of SG Corporation's ordinary shares for P648,...
A: A) Net income attributable to non-controlling interest Subsidiary Income P105,000 The share of ...
Q: During 2020, Cullumber Company started a construction job with a contract price of $1,600,000. The j...
A: Solution a: Computation of % of completion, revenue recognition and Gross Profit - Cullumber Comp...
Q: Theresa and Oliver, married filing jointly, and both over 65 years of age, have no dependents. Their...
A: Adjusted Gross Income: Adjusted Gross Income (AGI) is characterized as gross pay short acclimations ...
Q: The entry to record a transfer of direct materials for use in production would include a debit to wh...
A: On the issue of direct material for use in production, the work-in-process inventory is debited beca...
Q: The gain on early retire
A: Early retirement of bonds payable is where the bond holders are repaid before the maturity date. Com...
Q: 5. Understanding marginal and average tax rates Consider the economy of Cocoland, where citizens con...
A: Calculation of marginal tax rate and average tax rate are as follows:
Q: ules Inc. reported an impairment loss of P5,200,000 in its income statement for the year 2015. This ...
A: Solution Given Impairment loss on 2015 5200000 Cost of building acquired 80000000 Da...
Q: Find the compound amount if P5,000 is invested at 10% compounded semi-annually for 2 years.
A: Compund Amount = PV * (1 + r/n)^ntWhere PV = Present Value = P5,000r = rate of interest = 10%n= num...
Q: On July 1, 2017, Entity H acquired 25% of the shares of Oki, Inc. for P1,000,000. At the date, the e...
A: Entity H acquired 25% share, therefore its share in profit = 25% x 160000 = 40000
Q: 43. Using FIFO method, how much is the ending inventory?
A: LIFO means last in first out where as FIFO means first in first out. Inventory and cost of goods sol...
Q: Using the data given below, compute for the total amount of items that meet the definition of financ...
A: Answer: Total amount of items that meet the definition of financial liability = 100,000 + 1,200,000...
Q: Rem was retired by his employer corporation in 2020 and was paid P1,000,000 as a retirement gratuity...
A: An individual's gross income (sometimes known as gross pay on a paycheck) is their total earnings be...
Q: A proposal to reduce oil spill on MX5 has a B-C ratio of 1.4. The conventional annual worth of benef...
A: Benefit to cost ratio = 1.4 Annual benefits (P) = P 560,000 Interest rate (r) = 6% Period (n) = 20
Q: Mr. Ernesto dela Cruz, had the following during the taxable year: • P1,500,000 for outliving his lif...
A: According the Philippines taxation there are some rules and procedures which are involved while dete...
Q: In all cases, an entity shall measure agricultural produce at the point of harvest at fair value les...
A: Agriculture Product: The term "agricultural products" refers to crops, livestock, and livestock prod...
Q: Destiny Vacations operates in a province with 15% HST, which is charged on all sales. In the month ...
A: Tax means the mandatory payment made by assesse to the government without expecting anything directl...
Q: Your company's average make-up is 90%. The sales per tonne is R4300.It produced 500t during February...
A: Breakeven is the point at which the company will have no profit or loss. The company uses to calcula...
Q: On January 01, 2022, TGIF Company sold equipment costing 10,000,000 with accumulated depreciation of...
A: Carrying amount of the note = annual installments x Present value factor No. of installment to be re...
Q: SLEX Company purchased a machine with a cash price of P350,000. SLEX gave the following as payment: ...
A: Discount on notes payable to be recorded on the date of purchase = Fair value of shares issued + cas...
Q: e Jessica Company purchased a drilling machine on October 1, 2018 at a cost of P250,000 and deprecia...
A: Solution: Firstly we need to compute Book value on Oct 1, 2020 by computing accumulated depreciation...
Q: What amount should be reported as noncurrent assets as of December 31, 2021?
A: Non-current assets are those assets of the company which is held by them for a period of more than o...
Q: Inventory Costing Methods-Periodic Method The following information is for the Bloom Company for 201...
A: Periodic inventory method of inventory valuation is the one whereby the records are maintained at th...
Q: Marigold, Inc. has 10500 shares of 4%, $100 par value, noncumulative preferred stock and 105000 shar...
A: A dividend is the transfer of a portion of a company's earnings to a certain group of shareholders, ...
Q: Rainbow Company has the following information pertaining to its biological assets for the year 2021....
A: A biological asset, according to International Accounting Standard 41 (IAS 41), is any living plant ...
Q: RM Inc. had the following bank reconciliation on August 31, 2021: Balance per bank statement, 8/31 A...
A: Bank reconciliation: It is a statement drawn up by the business to verify the cash book balance with...
Q: 2. The entry to assign the costs of indirect labor for the janitor responsible for cleaning the fact...
A: Let's understand the basic WHAT IS INDIRECT LABOR COST: Indirect labor is the cost of any labor tha...
Q: CuddlePH accepted several office equipment from a stockholder which originally costed the donor P1,2...
A: The assets will be recorded at Fair Value less cost of disposal. The details are as given Original C...
Q: Live Corporation has equipment with a carrying value of 450,000 on December 31, 2021. The following ...
A: The question is related to Impairment of Assets. The Impairment Loss is Excess of Carrying Amount ov...
Q: Red and Blue formed a joint venture to acquire and sell a special type of merchandise. Red is to man...
A: Joint venture means where two or more persons comes together to do some business and share profit as...
Q: Tiger Company purchased a machine with a cash price of P350,000.Tiger gave the following as payment:...
A: Discount on notes payable to be recorded on the date of purchase = Fair value of shares issued + cas...
Q: View Policies Current Attempt in Progress Sunland, Inc. has 11700 shares of 4%, $100 par value, nonc...
A: On preference share Dividend is to be paid on face value. When dividend is declared on common stock ...
Q: R FALSE? Material overdraft in one bank must be deducted from the another bank's acco
A: Bank overdraft is a negative cash balance where the bank has extended credit when the accountholders...
Q: QUESTION 4 Indicate whether each of the following costs incurred by a manufacturer would be consider...
A: Product Cost - Product Cost is the cost incurred by the organization for the product of the entity. ...
Q: Each of the following decreases total stockholders' equity except a stock dividend, cash dividend. O...
A: A decrease in stockholders' equity happens when a company distributes its earnings by way of dividen...
Q: A piece of equipment is acquired by an entity by issuing 10,000 shares of P10 par ordinary shares. ...
A: Cost of the equipment =List price - Trade discount - Cash discount where, Cash discount = (List pric...
Q: 3. The work in process inventories of Jungkook Manufacturing, Inc. were completely destroyed by fire...
A: Inventory includes both raw materials used in production and finished commodities for sale. Inventor...
Q: Morgan Financial Services, Inc. was incorporated on January 1, 2021, with 300,000 no par value commo...
A: Since you have asked multiple question, we will solve the first question for you. If you want any sp...
Q: Sheffield Corp. includes one coupon in each bag of dog food it sells. In return for eight coupons, c...
A: Given 2020 Bags of dog sold 520000 Leashes purchased 19000 Coupons redeemed ...
Q: Lucena Products provided the following information: ...
A: Solution: Amount of inventory should be reported in statement of financial position = Raw materials ...
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- Select any five of the Generally Accepted Accounting Principles (GAAP) and describe how each of them enhances the usefulness of accounting information.A Further Look at Financial Statements,” of Accounting. What is a standard-setting environment? How can I Identify 1 example and describe how it functions.Name and define six major elements of accounting?
- What are the accounting concepts and conventions? Name them and explain any four accountingconcepts in detail.Discuss the meaning and needs of accounting standards.Problem 4: Explain the purpose of the Code of Professional Conduct for the accounting profession. What are the six principles, described in detail, with an example of how it applies to the auditor?