Horngren's Financial & Managerial Accounting Plus Mylab Accounting With Pearson Etext -- Access Card Package (5th Edition) (miller-nobles Et Al., The Horngren Accounting Series)
5th Edition
ISBN: 9780134077345
Author: Tracie L. Miller-Nobles, Brenda L. Mattison, Ella Mae Matsumura
Publisher: PEARSON
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Textbook Question
Chapter 11, Problem 11.4SE
Accounting for a note payable
On December 31, 2015, Franklin purchased $7,000 of merchandise inventory on a one-year, 11% note payable. Franklin uses a perpetual inventory system.
Requirements
1. Journalize the company's purchase of merchandise inventory on December 31, 2015.
2. Journalize the company's accrual of interest expense on June 30, 2016, its fiscal year-end.
3. Journalize the company's payment of the note plus interest on December 31, 2016.
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Q1. On October 30, 2018, Muscat Co. purchased OR 18,000 of merchandise inventory on a seven months, 7% note payable. Muscat Co. uses a perpetual inventory system.
Required: Journalize the company’s purchase of merchandise, accrual interest expense on December 31, and the payment of the note plus interest.
Q2. Explain the current portion of long-term notes payable
Q3. Ali, Ahmed, and Khalid are liquidating their partnership. Before selling the assets and paying the liabilities, the capital balances are Ali, OR 60,000; Ahmed, OR 70,000; and Khalid, OR 50,000. The profit and loss ratio has been 2:3:1 for Ali, Ahmed, and Khalid, respectively. The partnership has OR 35,000 cash, OR 170,000 non cash assets, OR 25,000 accounts payableRequired: Journalize the sale of the non-cash assets for OR 200,000, the payment of the liabilities, and the payment to the partners.
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On October 30, 2018, Muscat Co. purchased OR 18,000 of merchandise inventory on seven months, 7% note payable. Muscat Co. uses a perpetual inventory system.
Required: Journalize the company’s purchase of merchandise, accrual interest expense on December 31, and the payment of the note plus interest.
Explain the current portion of long-term notes payable
Pedroni Enterprises issues a $260,000, 45 day 5 % note to Zorzi Industries for merchandise inventory
Journalize Pedroni Enterprises entries to record:
The issuance of the note
The payment of the note at maturity
Journalize Zorzi Industries entries to record:
The receipt of the note
Receipt of the payment of the note at maturity
On July 31, 2019 the balances of the accounts appearing in the ledger of Pedroni Interiors company a furniture wholesales, are as follows.
Accumulated Depreciation – Building $365,000 Ray Zorzi – Capital $530,000
Administrative Expenses 440,000 Ray Zorzi – Drawing 15,000
Building 810,000 Sales 1,437,000
Cash 78,000 Sales tax Payable 4,500
Cost of Merchandise Sold…
Chapter 11 Solutions
Horngren's Financial & Managerial Accounting Plus Mylab Accounting With Pearson Etext -- Access Card Package (5th Edition) (miller-nobles Et Al., The Horngren Accounting Series)
Ch. 11 - Prob. 1QCCh. 11 - On January 1, 2016, a business borrowed 18,000 on...Ch. 11 - A company sells 180,000 (selling price) of goods...Ch. 11 - Prob. 4QCCh. 11 - Prob. 5QCCh. 11 - Prob. 6QCCh. 11 - Prob. 7QCCh. 11 - Vega Company expects to pay a 4% bonus on net...Ch. 11 - Prob. 9QCCh. 11 - Prob. 10QC
Ch. 11 - Prob. 1RQCh. 11 - What is a current liability? Provide some examples...Ch. 11 - How is sales tax recorded? Is it considered an...Ch. 11 - How do unearned revenues arise?Ch. 11 - What do short-term notes payable represent?Ch. 11 - Coltrane Company has a 5,000 note payable that is...Ch. 11 - Prob. 7RQCh. 11 - Prob. 8RQCh. 11 - Prob. 9RQCh. 11 - Prob. 10RQCh. 11 - What are the two main controls for payroll?...Ch. 11 - When do businesses record warranty expense, and...Ch. 11 - Prob. 13RQCh. 11 - Prob. 14RQCh. 11 - Prob. 15RQCh. 11 - Determining current versus long-term liabilities...Ch. 11 - Prob. 11.2SECh. 11 - Prob. 11.3SECh. 11 - Accounting for a note payable On December 31,...Ch. 11 - Prob. 11.5SECh. 11 - Prob. 11.6SECh. 11 - Computing payroll amounts considering FICA tax...Ch. 11 - Prob. 11.8SECh. 11 - Prob. 11.9SECh. 11 - Prob. 11.10SECh. 11 - Prob. 11.11SECh. 11 - Accounting treatment for contingencies Fernandez...Ch. 11 - Prob. 11.13SECh. 11 - Recording sales tax Consider the following...Ch. 11 - Prob. 11.15ECh. 11 - Recording and reporting current liabilities...Ch. 11 - Journalizing current liabilities Erik OHern...Ch. 11 - Prob. 11.18ECh. 11 - Recording employer payroll taxes and employee...Ch. 11 - Prob. 11.20ECh. 11 - Prob. 11.21ECh. 11 - Prob. 11.22ECh. 11 - Prob. 11.23ECh. 11 - Prob. 11.24ECh. 11 - Prob. 11.25APCh. 11 - Prob. 11.26APCh. 11 - Journalizing liability transactions T he following...Ch. 11 - Journalizing liability transactions The following...Ch. 11 - Prob. 11.29APCh. 11 - Prob. 11.30BPCh. 11 - Prob. 11.31BPCh. 11 - Prob. 11.32BPCh. 11 - Prob. 11.33BPCh. 11 - Prob. 11.34BPCh. 11 - Prob. 11.35CPCh. 11 - Prob. 11.1CTDCCh. 11 - Sell-Soft is the defendant in numerous lawsuits...Ch. 11 - Prob. 11.1CTEICh. 11 - Derails about a company's liabilities appear in a...Ch. 11 - Prob. 11.1CTCA
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