Survey Of Accounting
5th Edition
ISBN: 9781259631122
Author: Edmonds, Thomas P.
Publisher: Mcgraw-hill Education,
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Textbook Question
Chapter 2, Problem 3ATC
This chapter defined and discussed accrual and deferral transactions. Complete the requirements below using the most recent financial statements available on the Internet for Netflix, Inc. Obtain the statements by following the steps below. (Be aware that the formatting of the company’s website may have changed since these instructions were written.)
1. Go to www.netflix.com.
2. Click on “Investor Relations,” which is at the bottom of the page in very small print.
3. Click on the “Annual Reports and Proxies” link at the left side of the page.
4. Click on the “20xx Annual Report.” Use the PDF version of the annual report.
5. Find the company’s balance sheet and complete the requirements below. In recent years this has been shown toward the end of the Form 10-K section of the company’s annual report, on page 38. The “Index” near the beginning of the report can help you locate the financial statements.
Required
a. Make a list of all the accounts on the balance sheet that you believe are accrual-type accounts.
b. Make a list of all the accounts on the balance sheet that you believe are deferral-type accounts.
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Requirements:
1.
Journalize each transaction including explanations.
2.
The accounts listed in the trial balance, together with their balances as of
March 31,2024, have been opened for you in T-account form. Post the journal entries to the ledger (use T-account format).
3.
Prepare the trial balance of Harper Service Center as of April 30, 2024.
More info
Apr. 2
Borrowed $45,000 from the bank and signed a note payable in the name of the business.
Apr. 4
Paid cash of $40,000 to acquire land.
Apr. 9
Performed services for a customer and received cash of $5,000.
Apr. 13
Purchased office supplies on account, $300.
Apr. 15
Performed services for a customer on account, $2,600.
Apr. 18
Paid $1,200 on account.
Apr. 21
Paid the following cash expenses: salaries, $3,000; rent, $1,500; and interest, $400.
Apr. 25
Received $3,100 from a customer on account.
Apr. 27
Received a $200 utility bill that will be paid next month.
Apr. 29
Received $1,500 for services to be…
Activity: 1
Anwar Furniture Trading Company (Medium Scale Business) started their business on 1st January 2010 at Muscat and maintained their accounts by manual until 31st March 2021. The manager of Anwar Company approached your accounting consultancy firm located at 67, Muscat Souk, Muscat the suitable to maintain accounts for medium scale business, he accepted and requested to you create company and ledger accounts for the following transactions for the year ended 31st December 2020.
i) Capital introduced in the business
ii) Furniture purchased for cash
iii) Furniture purchased on credit from Mr. Mohammed
iv) Furniture sold for cash
v) Furniture sold on credit to Mr. Ahmed
vi) Machinery purchased by cash for business use.
vii) Computer purchased on credit for business use from Mr. Azan
viii) Office salary paid by cash
ix) Office electricity expenses paid by bank muscat
x) Cash deposited…
Homework 1
EX.01-22
EX.01-14
EX.01-21
EX.01-16
EX.01-13
EX.01-15.Algo
EX.01-18
MP.FINANCIAL.STMT.RELATIONSHIPS
EX.01-14.Algo
EX.01-23
MP.PREPARING.FINANCIAL.STMTS-BASIC
EX.01-20.Algo
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Income Statement
Maynard Services was organized on August 1, 20Y5. A summary of the revenue and expense transactions for August follows:
Fees earned
$3,400,000
Wages expense
2,150,000
Miscellaneous expense
55,000
Rent expense
320,000
Supplies expense
30,000
Prepare an income statement for the month ended August 31.
Maynard Services
Income Statement
For the Month Ended August 31, 20Y5
$fill in the blank 2
Operating expenses:
$fill in the blank 4
fill in the blank 6
fill in the blank 8
fill in the blank 10
Total operating expenses
fill in the blank 11
$fill in the blank 13
Chapter 2 Solutions
Survey Of Accounting
Ch. 2 - 1. What does accrual accounting attempt to...Ch. 2 - 2. Define recognition. How is it independent of...Ch. 2 - 3. What does the term deferral mean?Ch. 2 - 4. If cash is collected in advance of performing...Ch. 2 - Prob. 5QCh. 2 - 6. What effect does the issue of common stock have...Ch. 2 - 7. How does the recognition of revenue on account...Ch. 2 - 8. Give an example of an asset source transaction....Ch. 2 - 9. When is revenue recognized under accrual...Ch. 2 - 10. Give an example of an asset exchange...
Ch. 2 - 11. What is the effect on the right side of the...Ch. 2 - Prob. 12QCh. 2 - Prob. 13QCh. 2 - Prob. 14QCh. 2 - Prob. 15QCh. 2 - Prob. 16QCh. 2 - 17. Why may net cash flow from operating...Ch. 2 - Prob. 18QCh. 2 - Prob. 19QCh. 2 - 20. What is the difference between a cost and an...Ch. 2 - Prob. 21QCh. 2 - Prob. 22QCh. 2 - 23. What does the term expense mean?Ch. 2 - Prob. 24QCh. 2 - 25. What is the purpose of the statement of...Ch. 2 - Prob. 26QCh. 2 - 27. Why is the balance sheet dated as of a...Ch. 2 - 28. In what order are assets listed on the balance...Ch. 2 - Prob. 29QCh. 2 - Prob. 30QCh. 2 - 31. What types of accounts are closed at the end...Ch. 2 - 32. Give several examples of period costs.Ch. 2 - 33. Give an example of a cost that can be directly...Ch. 2 - Prob. 34QCh. 2 - Prob. 1ECh. 2 - Exercise 2-2 Effect of accrued expenses on the...Ch. 2 - Prob. 3ECh. 2 - Prob. 4ECh. 2 - Prob. 5ECh. 2 - Prob. 6ECh. 2 - Prob. 7ECh. 2 - Prob. 8ECh. 2 - Exercise 2-9 Supplies on financial statements Yard...Ch. 2 - Prob. 10ECh. 2 - Exercise 2-11 Prepaid items on financial...Ch. 2 - Exercise 2-12 Effect of an error on financial...Ch. 2 - Exercise 2-13 Unearned items on financial...Ch. 2 - Prob. 14ECh. 2 - Prob. 15ECh. 2 - Prob. 16ECh. 2 - Prob. 17ECh. 2 - Prob. 18ECh. 2 - Prob. 19ECh. 2 - Prob. 20ECh. 2 - Exercise 2-21 Adjusting the accounts Norell Inc....Ch. 2 - Prob. 22ECh. 2 - Prob. 23ECh. 2 - Prob. 24ECh. 2 - Prob. 25ECh. 2 - Prob. 26ECh. 2 - Exercise 2-27 Identifying transaction type and...Ch. 2 - Exercise 2-27A Effect of accounting events on the...Ch. 2 - Prob. 29ECh. 2 - Exercise 2-29A Identifying source, use, and...Ch. 2 - Prob. 31ECh. 2 - Problem 2-32 Recording events in a horizontal...Ch. 2 - Problem 2-37A Effect of adjusting entries on the...Ch. 2 - Prob. 34PCh. 2 - Prob. 35PCh. 2 - Problem 2-36 Identifying and arranging elements on...Ch. 2 - Problem 2-37 Missing information in financial...Ch. 2 - Problem 2-38 Events for two complete accounting...Ch. 2 - Prob. 1ATCCh. 2 - ATC 2-3 Research Assignment Identifying accruals...Ch. 2 - ATC 2-4 Writing Assignment Revenue Recognition and...
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