- Accounting On August 1, 2
Q: At the end of 2022, Cullumber Co. has accounts receivable of $729,400 and an allowance for doubtful…
A: An allowance for doubtful accounts is also termed as bad debt reserve account. The allowance for…
Q: The following information is related to Waterway Company for 2025. Retained earnings balance,…
A: An income statement is prepared by the business entities so as to know how much amount of gross…
Q: XYZ Company had the following account balances: Accounts Receivable $20,000, Allowance for Doubtful…
A: Lets understand the basics. Accounts receivables are those customer accounts to whom business has…
Q: Cullumber Inc. is publicly traded and uses a calendar year for financial reporting. The company is…
A: Shares are defined as the company’s holdings that are provided to the investors or any person who…
Q: The post-closing trial balances of two proprietorships on January 1, 2022, are presented below. Cash…
A: Balance sheet is the financial statement which is prepared by the entity for the purpose of…
Q: What are the information about the balance sheet and income statement account groups and their…
A: In Day to day business, Company requires various accounting information's to carry its business. Due…
Q: The following information relates to BETTER BOOKS LIMITED, a publishing company. The selling price…
A: As per the Honor code of Bartleby we are bound to give the answer of first three sub part only,…
Q: Shelhorse Corporation produces and sells a single product. Data concerning that product appear…
A: Contribution margin :— It is the difference between sales revenue and variable cost. Net operating…
Q: Waterway Company sponsors a defined benefit pension plan for its employees. The following data…
A: A journal entry is a form of accounting entry that is used to report a business transaction in a…
Q: May 2 Purchases books on account from Readers Whole May 3 Pays cash for freight costs of $130 on…
A: A journal entry is a recording of a business transaction or event in the accounting system of a…
Q: HotSauce Inc. wants to purchase the net assets of AuntyAcid Inc. for purposes of horizontal…
A: For the purpose of maintaining track of commercial transactions, the business entities record them…
Q: NoGrowth Corporation currently pays a dividend of $0.41 per quarter, and it will continue to pay…
A: According to Gordon Model, if there is no growth then P0 = D/Ke Where, P0 = Current Stock Price…
Q: XYZ Company had the following information: Net Sales $1,000,000, Beginning Inventory $200,000,…
A: The cost of goods sold is computed by deducting the ending inventory from the cost of goods…
Q: Exercise 24-3 (Algo) Payback period and unequal cash flows LO P1 Beyer Company is considering buying…
A: Payback period :— It is the time period in years which is required to recover all the cash outflows…
Q: On October 1, 2024, Oriole Corporation ordered some equipment from a supplier for 285,000 euros.…
A: A forward rate is the agreed-upon cost of a transaction that will take place at a future date.…
Q: Profitability Ratios The following selected data were taken from the financial statements of…
A: Return on total assets :— It is calculated by dividing income before interest by average total…
Q: Waterway Company uses a periodic inventory system. Details for the inventory account for the month…
A: The ending inventory comprises of the units that remains unsold at the end of the accounting period.…
Q: Here are simplified financial statements for Phone Corporation in 2020: INCOME STATEMENT (Figures…
A: The business entities or lenders determine financial ratios to compare different companies' outcomes…
Q: Refer to the data given in Table 2. Prepare a report for the checking account balances for each of…
A: In this current world every business and an individual is having a bank account and the balance of…
Q: Question attached in photo
A: The FIFO method tells that older inventory is sold first and newer inventory is left in the stock.…
Q: Andre Wheeler wants to know what home price he can afford. His annual gross income is $52,800. He…
A: A mortgage is a loan in which lender gives you money and you will pay the money back with interest,…
Q: July 3 11 20 Purchases Sales 32 units @ $14 July 13 52 units 32 units @ $15 22 10 units 10 units @…
A: The (first in first out) is one of the methods of inventory management used to calculate the value…
Q: the following information was available for Marigold company at December 31, 2020: beginning…
A: Given: Beginning Inventory = $104,000 Ending Inventory = $76,000 Cost of Goods Sold = $900,000
Q: Required information [The following information applies to the questions displayed below] The…
A: Lets understand the basics. As per accounting equation, total assets are always equals to total…
Q: Accounts Payable had a balance of $18,380 at the beginning of the month. During the month, three…
A: Accounts payable is one of the liability for business. Normal balance of all liabilities is credit.…
Q: The income statement for Carla Vista, Inc. is as follows: Sales revenue Cost of goods sold Gross…
A: The ratio analysis helps to analyze the financial statements of the business on the basis of various…
Q: T/F: The statement of cash flows reports the cash inflows and outflows from operating, investing,…
A: Cash inflow means the amount of cash received by an entity during a period and cash outflow means…
Q: A company has $50,000 in accounts receivable. The company estimates that 5% of accounts receivable…
A: The net realizable value of accounts receivable is the amount the company expects to collect after…
Q: Georgetown Motorcars (GM) had a profit for the year of R428 571 and sales to the amount of R10 000…
A: Total asset turnover is the measure that helps the entity to determine the efficiency of the entity…
Q: The following information is for 2023: Income before income tax Correction of prior period error:…
A: Retained earnings play a vital role in a company's financial health and stability. They serve as a…
Q: 7 Buggy Whip Manufacturing Company is issuing preferred stock yielding 11% Seten Corporation is…
A: The yield on preferred stock refers to the rate of return or income generated by holding preference…
Q: Centre Black Company planned to produce 40,000 units of product and work at the 100,000 direct…
A: Variable overhead budget variance = (Actual hours worked * Predetermined overhead rate) - Actual…
Q: Required information [The following information applies to the questions displayed below.] Matt and…
A: Given, Total salary = ($ 64,000 +$ 21,000) = $ 85,000 Net Short Term Capital Gains = ($ 9,000 - $…
Q: Here is Flounder Company's portfolio of long-term stock investments at December 31, 2021, the end of…
A: For the purpose of maintaining track of commercial transactions, the business entities record them…
Q: View Policies Current Attempt in Progress Novak Company's record of transactions for the month of…
A: Average Cost Method - Average Costing is an Inventory Valuation Method under this method company…
Q: ances as of January 1, Year 2: Cash Beginning inventory Common stock Retained earnings $19,100…
A: The financial statements of the business are prepared using the adjusted trial balance. The income…
Q: calculate the removable cost of a building under IFRS
A: Given in the question:Discount rate = 7%Removable cost after 20 Years = $100,000Building Cost =…
Q: Which of the following accounts would not appear within the Balance Sheet columns of the worksheet…
A: Balance sheet is a financial statement prepared by the business firm on a particular date for…
Q: Thome and Crede, CPAs, are preparing their service revenue (sales) budget for the coming year…
A: In business, budgeting entails taking a look at an organization's projected incomes (the money the…
Q: On January 1, 2021, QuickStream Communications leased telephone equipment from Digium, Inc. Digium's…
A: For the purpose of maintaining track of commercial transactions, the business entities record them…
Q: Use the information provided below to calculate the number of units of Product Blue that must be…
A: Given that,Estimated Sales volume for ;August = 25 000 unitsSeptember = 21 000 units October = 30…
Q: Weighted Average Method, Unit Cost, Valuation of Goods Transferred Out and Ending Work in Process…
A: Unit cost = Total cost / Equivalent units Unit cost for material and conversion cost need to be…
Q: The company would like to initiate an intensive advertising campaign in on campaign would cost…
A: Segmented income reporting is particularly relevant for companies with diverse business operations…
Q: Krell Industries has a share price of $21.81 today. If Krell is expected to pay a dividend of $1.18…
A: DIVIDED YIELD The dividend yield is also known as dividend–Price ratio. Divided Yield is Computed :—…
Q: Peanut Company acquired 100 percent of Snoopy Company's outstanding common stock for $313,000 on…
A: When one company decides to takeover the another company (subsidiary company), the parent company…
Q: Moffett Industries is considering new equipment. The equipment can be purchased from an overseas…
A: Lets understand the basics.When management have more than one alternative option available then…
Q: Case 2- Audit of Non-Current Liabilities Bubble Inc. has the following information about the notes…
A: A note payable would be valued at the prevailing market interest rate to determine the fair value.…
Q: ganya manufacturer of hand sanitizers, intends to produce 40.000 units in the thed quarter and…
A: Lets understand the basics. Budget is an estimation of future profit and loss of the business in…
Q: A- An example of a permanent account is : a) Withdrawal b) Revenues c) Sales expenses d) Merchandise…
A: A permanent account refers to such accounts which does not close at the end of the accounting period…
Q: mpute conversion costs given the following data: direct: $764,800 3408,000 $571200 $174000
A: The purpose of tracking and calculating conversion costs is to assess the total expenses associated…
22.
Subject :- Accounting
On August 1, 2022, Colombo Company's treasurer signed a note promising to pay $120,300 on
December 31, 2022. The proceeds of the note were $116,100.
b. Calculate the effective interest rate (APR) on the loan.
Note: Enter your answer as a percentage rounded to 1 decimal place (i.e., 32.1).
Effective interest rate
Step by step
Solved in 3 steps with 2 images
- On August 1, 2022, Colombo Company's treasurer signed a note promising to pay $120,900 on December 31, 2022. The proceeds of the note were $116,400. Required: a. Calculate the discount rate used by the lender.Problem: ABC Company issued a promissory note to RCBC Bank. Details from the promissory note are as follows: Date of note: November 1, 2020 Term of note: 180 days Principal: P120,000 Interest rate: 12% Determine the following: 1. What is the account to be credited on the adjusting entry on December 31, 2020? 2. How much is the amount to be credited on December 31, 2020? 3. How much is the total interest expense for the full term of the note.FINANCIAL ACCOUNTING (a) Compute the amount of interest during 2020, 2021, and 2022 for the following notes receivable; on april 30, 2020, BCDE lent $170,000 to Abbot on a two-years 7% note. (b) Which party has a (an) a. notes receivable b. notes payable c. interest revenue d. interest expense (c) How much total would BCDE collect if Abbot paid off early, say on November 30, 2020?
- Required information [The following information applies to the questions displayed below.] On August 1, 2019, Colombo Co.'s treasurer signed a note promising to pay $121,200 on December 31, 2019. The proceeds of the note were $115,800. Required: a. Calculate the discount rate used by the lender. (Enter your answer as a percentage rounded to 1 decimal place (l.e., 32.1).) Discount rate %65. Borrowed P100,000 by issuing a 1-year note with 7% annual interest to Century Savings Bank on October 1, 2021. What is the adjusting entry on December 31, 2021? A. Debit: Interest Expense and Credit: Interest Payable P1,750 B. Debit: Interest Expense and Credit. Interest Payable P7,000 C. Debit: Interest Expense and Credit: Interest Payable P3,500 D. Debit: Interest Expense and Credit: Interest Payable P5,250K Bethany Realty loaned money and received the following notes during 2024. (Click the icon to view the notes received.) Read the requirements. Requirement 1. Determine the maturity date and maturity value of each note. (For each applicable note, compute interest using a 365-day year. Round to the nearest dollar.) Note Note (1) Note (2) Note (3) Jun. 19 Date Principal Amount Interest Rate Term Due date Month/Day Year Apr. 1 Sep. 30 $ 18,000 8% 1 year 24,000 12% 6 months 20,000 9% 180 days Data table Principal Note Date Amount Interest Rate Term Note (1) Note (2) Note (3) Jun. 19 Apr. 1 Sep. 30 $ 18,000 8% 1 year 24,000 12% 6 months 20,000 9% 180 days Print Done - ☑ Question Viewer
- 1.Suppose, on September1, 2019 Fido Corporation borrows $30,000 from its bank for a period of 8 months at an annual interest rate of 5%. Please do the following journal entries. a) September 1, 2019 Fido corporation borrows $30,000 at an interest rate of 5% for 8 months Date Debit Credit Db Cr b) Adjustment entry at year end on December 31. 2019 to record for the interest owed. Date Debit Credit Db Cr c) Payment of the note on May 1, 2020. Date Debit Credit Db CrPrepare entries for interest-bearing notes. E10.1 (LO 1), AP C.S. Lewis Company had the following transactions involving notes payable. July 1, 2022 Nov. 1, 2022 Dec. 31, 2022 Feb. 1, 2023 Apr. 1, 2023 Instructions Borrows $50,000 from First National Bank by signing a 9-month, 8% note. Borrows $60,000 from Lyon County State Bank by signing a 3-month, 6% note. Prepares annual adjusting entries. Pays principal and interest to Lyon County State Bank. Pays principal and interest to First National Bank. Prepare journal entries for each of the transactions. Prepare entries for interest-bearing notes.On December 31, 2022, the lender on a $5,400, 120-day, 12% note dated November 5, 2022, will recognize : A) interest receivable, $213 B) interest payable, $99 C) interest payable, $213 D) interest receivable, $99
- 3. Assume the following information regarding a note received by LENDYOU Company: January 1, 2020 6 months Date of note Term of note Interest rate 12% Date of discounting Discount rate March 1, 2020 15% Accrued interest on note P15,000 How much is the carrying amount of the note receivable on March 1, 2020?2. Assume the following information regarding a note received by HEERHUM YU Company: P1,500,000 October 1, 2020 120 days December 1, 2020 Principal amount of note receivable Date of note Term of note Date of discounting Discount rate 12% Interest income for 120 days P50,000 Compute the interest rate charged to customer. How much is the principal amount of the note receivable?19. The following balances were reported by Nagpapangap Company on December 31, 2020 and 2019: 2020: Accounts payable - P3,500,000; Notes payable - P4,000,000 2019: Accounts payable - P2,500,000; Notes payable - P1,500,000 On July 1, 2020, the company issued a one-year, 12% note for a bank loan of P1,000,000. All other notes payable arose from purchases of merchandise. Total payment to suppliers in 2020 amounted to P11,000,000, after purchase discount of P250,000. During 2020, company returned defective merchandise costing P500,000. What is the amount of gross purchases for 2020 under the accrual basis?Choices: P14,250,000 P11,000,000 P12,450,000 P18,250,000