Accounting: What the Numbers Mean
11th Edition
ISBN: 9781259535314
Author: David Marshall, Wayne William McManus, Daniel Viele
Publisher: McGraw-Hill Education
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Textbook Question
Chapter 8, Problem 8.30P
Problem 8.30
LO 1. 2, 4, 6
Transaction analysis-various accounts Enter the following column headings across the top of a sheet of paper:
Other | Paid-In | Retained | Treasury | Net |
Transaction Cash Assets | Liabilities Capital | Earnings | Stock | Income |
Enter the transaction letter in the first column and show the effect (if any) of each of the following transactions on each financial statement category by entering a plus (+) or minus (-) sign and the amount in the appropriate column. Do not show items that affect net income in the
Remember to consider appropriate effects of previous transactions.)
- Issued 6,000 shares of $100 par value
preferred stock at par. - Issued 7,200 shares of $100 par value preferred stock in exchange for land that had an appraised value of $756,000.
- Issued 68,000 shares of $5 par value common stock for $12 per share.
- Purchased 28,000 shares of common stock for the treasury at $15 per share.
- Sold 18,000 shares of the
treasury stock purchased in transaction d for $17 per share. - Declared a cash dividend of $2.50 per share on the preferred stock outstanding, to be paid early next year.
- Declared and issued a 12% stock dividend on the common stock when the market price per share of common stock was $30.
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Problem 19
When examining the accounts of Ayala Corporation, it is ascertained that balance relatingto both receivables and payables are included in a single controlling account called“Receivables control” that has a debit balance of P4,850,000. An analysis of the make-upof this account revealed the following:Debit Accounts receivable – customers 7,800,000Accounts receivable – officers 500,000Debit balances – creditors 300,000Postdated checks from customers 400,000Subscriptions receivable 800,000CreditAccounts payable for merchandise 4,500,000Credit balances in customer’s accounts 200,000Cash received in advance from customers 100,000Expected bad debts 150,000After further analysis of the aged accounts receivable, it is determined that the allowancefor doubtful accounts be P200,000. What is the correct total of current net receivables?__________.
Question 6
The Bank Account (General Ledger account) and the Bank Statement of Bintang Enterprise for September are as follows:
Bank Account
RM
RM
Sep 1
Balance b/d
7,137
Sep 6
Daud
450
8
Wawasan Ltd
474
13
Jalal & Co.
1,299
17
Abd Halim
279
17
Sunway Bhd
264
26
Mendung Sdn Bhd
921
27
Sedaya Trading
171
29
Kamal Enterprise
1,872
30
Balance c/d
8,499
10,683
10,683
Oct 1
Balance b/d
8,499
Bank Statement as at 30 September
Dr
Cr
Balance
RM
RM
RM
Sep 1
Balance b/f
7,137
8
Deposit
474
7,611
9
Cheque
450
7,161
17
Deposit
279
7,440
18
Cheque
1,299
6,141
19
Cheque
264
5,877
26
Deposit
921
6,798
27
Standing order
132
6,666
29
Credit transfer
270
6,936
30
Bank…
Question 6
The Bank Account (General Ledger account) and the Bank Statement of Bintang Enterprise for September are as follows:
Bank Account
RM
RM
Sep 1
Balance b/d
7,137
Sep 6
Daud
450
8
Wawasan Ltd
474
13
Jalal & Co.
1,299
17
Abd Halim
279
17
Sunway Bhd
264
26
Mendung Sdn Bhd
921
27
Sedaya Trading
171
29
Kamal Enterprise
1,872
30
Balance c/d
8,499
10,683
10,683
Oct 1
Balance b/d
8,499
Bank Statement as at 30 September
Dr
Cr
Balance
RM
RM
RM
Sep 1
Balance b/f
7,137
8
Deposit
474
7,611
9
Cheque
450
7,161
17
Deposit
279
7,440
18
Cheque
1,299
6,141
19
Cheque
264
5,877
26
Deposit
921
6,798
27
Standing order
132
6,666
29
Credit transfer
270
6,936
30
Bank…
Chapter 8 Solutions
Accounting: What the Numbers Mean
Ch. 8 - Prob. 8.1MECh. 8 - Mini-Exercise 8.2 LO 2 Preferred stock-calculate...Ch. 8 - Prob. 8.3MECh. 8 - Mini-Exercise 8.4 LO 6 Treasury stock transactions...Ch. 8 - Prob. 8.5ECh. 8 - Exercise 8.6 Review exercise-calculate net income...Ch. 8 - Prob. 8.7ECh. 8 - Exercise 8.8 Review exercise-calculate retained...Ch. 8 - Prob. 8.9ECh. 8 - Prob. 8.10E
Ch. 8 - Prob. 8.11ECh. 8 - Prob. 8.12ECh. 8 - Prob. 8.13ECh. 8 - Prob. 8.14ECh. 8 - Exercise 8.15 LO 3 Dividend dates-market price...Ch. 8 - Exercise 8.16 LO 3 Ex-dividend date-market price...Ch. 8 - Prob. 8.17ECh. 8 - Prob. 8.18ECh. 8 - Prob. 8.19ECh. 8 - Prob. 8.20ECh. 8 - Prob. 8.21ECh. 8 - Prob. 8.22ECh. 8 - Prob. 8.23PCh. 8 - Prob. 8.24PCh. 8 - Prob. 8.25PCh. 8 - Prob. 8.26PCh. 8 - Prob. 8.27PCh. 8 - Problem 8.28 LO 1, 2, 4, 6 Transaction...Ch. 8 - Problem 8.29 LO 1, 2, 4, 6 Transaction...Ch. 8 - Problem 8.30 LO 1. 2, 4, 6 Transaction...Ch. 8 - Prob. 8.31PCh. 8 - Prob. 8.32PCh. 8 - Prob. 8.33CCh. 8 - Prob. 8.34CCh. 8 - Prob. 8.35CCh. 8 - Case 8.36 LO 1, 2, 7 Capstone analytical review of...
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