Chapter 7, Problem 5FPC

George's Dilemma:  During the last week of December 2019, George, controller for We 'R" Appliances, received a memo from the firm's president, Jane Anderson.  The memo stated that Anderson had negotiated a very large sale with a new customer and directed George to see that the order was processed and the goods shipped before the end of the year (12/31).  Anderson noted that she had to depart from the usual credit terms of n/30 and allow terms of n/60 to cinch the sale.  Although, the credit terms were unusual for the company, George was particularly pleased with the news because business had been somewhat slow.  The goods were shipped on 12/29 and the sale was incorporated into the 2019 financial data. It is now mid-February 2020, and two events have occurred recently that, together, cause George concern.  First, George was inadvertently copied on a letter from the firm's bank to Anderson.  The letter stated that the bank had reconsidered its decision to deny a loan to the company and…

38) On December 1, 2019, Pinewood Company sold machinery to a customer for $2,000. Pinewood regularly sells machinery. The customer could not pay at the time of sale but agreed to pay 9 months later and signed a 9-month note at 12% interest. Prepare the journal entry to record the revenue at the time of sale. Ignore the entry for cost of goods sold. Omit explanation.       39) ABC Accepted a  90 day, 8%, $50,000 Note Receivable from from a customer to replace an Account Receivable. The note matured and ABC received $50,500 at maturity. Record the entry for the collection of the note receivable.

Simon Sharpe executed and delivered to Ben Bates a negotiable promissory note payable to the order of Ben Bates for $500. Bates indorsed the note “Pay to Carl Cady upon his satisfactorily repairing the roof of my house, (signed) Ben Bates” and delivered it to Cady as a down payment on the contract price of the roofing job. Cady then indorsed the note and sold it to Timothy Tate for $450. What rights, if any, does Tate acquire in the promissory note?

Check my work 10 The Chair Company provides a 120-day parts-and-labor warranty on all merchandise it sells. The Chair Company estimates the warranty expense for the current period to be $1,240. During the period, a customer returned a product that cost $930 to repair. Required  a. Show the effects of these transactions on the financial statements using a horizontal statements model like the example shown here. Use a + to indicate increase or a - for decrease. if the element is not affected, leave the cell blank. In the Cash Flow column, indicate whether the item is an operating activity (OA), investing activity (IA), or financing activity (FA). (Not all cells will require entry.) Hint Ask Print CHAIR COMPANY Horizontal Statements Model Balance Sheet Income Statement Statement of Cash Flow Stockholder's Equity Event Assets Liabilities + Revenue - Expense = Net Income Estimates Paid

Connie Is a purchasing assistant for Sabre Manufacturing. She has received quotes from two different suppliers for a shipment of aluminum. Supplier Ns quote Is for $68,808.55 with  payment due In 90 days Supplier B will offer the same product, but requires full payment In 15 days lien other terms are the same, below what price would Supplier B's quote need to be In order for to be selected If Sabre pays an Interest rate of 8.25% on Its One of credit with the bank, (Use 365 days a year. Round your answer to 2 decimal places.)

CASE: Leander owns a greenhouse in which she grows flowers and plants for florists. Oct 25th Jason, a retail florists, agrees to buy from Leander 1000 roses. Each plant to cost 1 BD and to be available from December 10 to December 20. Jason paid some advance and requests delivery on Dec 11th. At that time Leander advises him that she will not perform the contract since she can get rose plants for 1.5 BD. Jason refuses to pay more than 1 BD on a plant and continues to insist on deliveryas he has paid advance. On December 16th, an extreme cold spell arrive, Leander‘s heating system breaks down and all the roses she has on hand freeze. Jason then purchases 1000 roses from another wholesale florist but has to pay 1.3 BD a plant. a)Evaluate the case in your own word.

PLEASE SHOW ALL WORK 7. Agnes Abanilla was granted a loan of $20,000 by her employer CPM Industrial Fabricator and Construction Corporation with an interest of 6% for 180 days on the principal collected in advance. The corporation would accept a promissory note for $20,000 non-interest for 180 days. If discounted at once, find the proceeds of the note. 8. On May 12, Scott Rinse accepted an $8,000, 12%, 90-day note for a time extension of a bill for goods bought by Ron Prentice. On June 12, Scott discounted the note at Able Bank at 10%. What proceeds does Scott receive?

30 Assume that Mr Abdullah purchased a Laptop from LuLu Hyper market on 31st march 2021.The market gave the written promise to Mr Abdullah by mentioning that if any problem incur in the functionality of laptop within one year, the company will give free service to Abdullah. The written promise given by the company to Mr Abdullah is known as: a. Notes payable b. Cash receipt c. Notes receivable d. Warranty Clear my choice

Sew & More sells sewing machines and sewing supplies. The company recently ran a sales promotion on sewing machines that allowed customers to purchase a new sewing machine using store credit. The terms of the contract stated that customers would make 12 monthly payments that included a 6% annual interest rate. On the date of each sale, Sew & More should record.   No revenue until the contract is paid in full.   Sales revenue equal to the sales price of the sewing machine, interest revenue equal to the total amount of interest for the contract, and a receivable for the total of the sales price plus the interest.   revenue equal to the sales price of the sewing machine plus the total interest to be collected and a receivable for the same amount.   revenue equal to the sales price of the sewing machine and a receivable for the same amount.