What is meant by bond issue cost and how do we account for such bond

Q: or December 2017 $2,000 Water for December $650 Audit fees for the year 2017 $5,500 On March 13…

A: Answer : Date account title Debit Credit Jan.13,2018 Electricity expenses a/c Dr. $2,000…

Q: Actuary and trustee reports indicate the following changes in the PBO and plan assets of Lakeside…

A: Pension refers to the amount that is paid by the company or government to the person who stopped…

Q: For each description of adjusting entry given below, indicate whether it relates to a deferred…

A: Deferred revenue portion of revenue is that portion that has been received by the company but not…

Q: r Containers sold marketable equity securities, land, and common stock for $40.0 million, $13.5…

A: Answer : Net cash flow (Outflow) from financing activities :   ($ in million) Cash flow from…

Q: I want to borrow $700 for ten days from a payday loan store. Here are the terms for the payday loan:…

A: Pay Day loan: A payday loan is a small personal cash loan at a very high interest rate, secured by…

Q: Following are examples of control deficiencies that may represent significant deficiencies or…

A: Whether a deficiency is classified as a significant deficiency or a material weakness is determined…

Q: Benjamin is working on next year's budget. Given the following information, calculate the budgeted…

A: Budgeted revenue seems to be an estimate of the revenue you expect to collect in the coming year.…

Q: The McCarthy and Mars (IM) Company purchased a new machine on January 1, 2020 for a list price of…

A: The term depreciation refers to an accounting method used to allocate the cost of a tangible asset…

Q: Affiliated Buyers. For what reason might an exporter use standard international trade documentation…

A: A straightforward example may be used to illustrate the significance of documentation in…

Q: 9. Portfolio beta and weights Rafael is an analyst at a wealth management firm. One of his clients…

A: Required return refers to the return at the minimum level required by the investor for accepting the…

Q: Losses on the cash sale of capital assets are the excess of the cash proceeds over the carrying…

A: Capital assets are meant to stay in the business for a longer period and their value is charged…

Q: Zachary Publications established the following standard price and costs for a hardcover picture book…

A: The variance is the difference between the actual result and the company's standard result.…

Q: The labor bonus for the production in June is: The total net savings to the company for the month…

A: Bonus is the reward given to employees for their good performance. It can be given in term of cash…

Q: Sheryl's AGI Is $250,700. Her current tax liability is $52,138. Last year, her tax liability was…

A: Given,         Sheryl's AGI = $250,700        Current Tax Liability = $52,138        Last year's tax…

Q: Aqua, a South Carolina corporation, is a 20 percent partner in a Swiss partnership. This year, Aqua…

A: To avoid double taxation, the US Taxation authorities will provide credit on the taxes paid in other…

Q: Calculate Ltd was incorporated on 31 January 2020 with authorised capital as: 950 000 ordinary…

A: Journal entry is a primary entry that records the financial transactions initially. The transactions…

Q: Which of the following is not a required step during the accounting cycle? O a. Transactions are…

A: Identifying transactions, documenting transactions in a journal, posting, creating a worksheet, the…

Q: Sales Territory and Salesperson Profitability Analysis Havasu Off-Road Inc. manufactures and sells…

A: The contribution margin refers to the gross profit earned by the company by manufacturing the…

Q: service costing is the difficulty in defining a realistic cost unit. (iv) Inventory levels are…

A: Service costing is the cost associated with providing and delivering service . There are difference…

Q: in its first year (2021), Barsky Corporation made charitable contributions totaling $70,000. The…

A: Charitable contributions refer to the deductions that are made for non-profit organizations. These…

Q: HERA Corporation incurred the following quality costs for the year ended 2024:   Cost of quality…

A: Prevention Cost  A portion of the cost of quality is the cost of prevention, which is expended to…

Q: Hickory Company manufactures two products-14,000 units of Product Y and 6,000 units of Product Z.…

A: Overhead is the amount of expense which is incurred on the making of the products. It includes the…

Q: Midland Company is preparing a cash budget for august. The company had $17,100 cash at the begining…

A: Answer -    Cash Budget - The cash budget is made to estimate the cash receipts and cash payment…

Q: Cardinal Company is considering a five-year project that would require a $2,765,000 investment in…

A: Solution: Simple rate of return = Net operating income / Initial investment Net present value =…

Q: The company uses Operating Overhead in place of Manufacturing Overhead. (a) Compute the…

A: Predetermined Overhead Rate is calculated at the start of the accounting period by dividing the…

Q: Discuss the accounting for premiums under IFRS 15.

A: Under IFRS 15, businesses must account for premiums as revenue when the underlying goods or services…

Q: Wedding Supply is trying to decide whether or not to continue distributing reception supplies. The…

A: Note: In this question, Allocated common fixed costs are irrelevant cost in decision making becaus…

Q: Production data show 15,000 units were transferred out of a stage of production and 5,000 units…

A: Particulars Calculation Amount ($) Direct Material cost 15000 x 5        75,000 Conversion cost…

Q: Arch Associates reports the following comparative balance sheets and income statement information.…

A: The cash flow statement is prepared to record the cash flow from various activities during the…

Q: Econ Company produces widgets. Each widget sells for $120, and the company sells approximately…

A: The unit cost of an element for variable costing inventory purposes is: Direct material + Direct…

Q: Items Common stock account Par value per share Shares outstanding Additional paid-in capital…

A: Dividend is the amount which is paid by the company to its shareholders. It is paid by the company…

Q: Elton Weiss and Reyna Herrera-Weiss are married and report the following income items: Elton's…

A: INTRODUCTION: The income used to compute taxes is known as the taxable income. After subtracting…

Q: Caltex Products plc manufactures electric mini-lawnmowers. Its sales and costs’ budget for November…

A: A flexible budget, sometimes known as a "flex" budget, adapts to variations in the actual amount of…

Q: Business Combination Please answer it with solution:

A: In the case of a business combination if the purchasing company is giving more purchase…

Q: Oreo Corporation has AEP of $5,000 and negative CEP of $18,000. The corporation distributes $11,000…

A: Oreo corporation has current AEP of $5000 and negative CEP of $18000. The corporation has…

Q: rchased a machine for her business on 1 March 20X1 for $12,000. She incurred  additional costs for…

A: Answer : Correct book value of machine at the year end date of 31December 20X1 : Cost of machine…

Q: Actuary and trustee reports indicate the following changes in the PBO and plan assets of Lakeside…

A: Pension refers to the amount that is paid by the company or government to the person who stopped…

Q: Jumper, Incorporated, which has a 21 percent tax rate, owns 40 percent of the stock of a CFC. At the…

A: It is the payment made by the company to its shareholders from its earnings. It is the declared…

Q: Exercise 12-1 (Algo) Indirect: Classifying Cash flows LO C1 ndicate where each item would appear on…

A: The cash flow statement is prepared to record the cash flow from various activities during the…

Q: Verdi plc’s budget for the first month of trading, during which production of 3,000 units and sales…

A: S.No Marginal Costing Absorption Costing 1 As the name suggest itself variable cost is…

Q: On February 3, 2021, the board of directors of Thompson & Thompson Builders voted to distribute…

A: Solution...     Annual preferred Dividend  Number of Preferred dividend * par value per Share * rate…

Q: What is the major difference between a for-profit and a not-for-profit organization?

A: Organization is considered to a be setting under which the group of people comes together and these…

Q: Dazzle, Inc. produces beads for jewellery making use. The following information summarizes…

A: Raw materials are defined as the inputs that the industry uses to complete the production process.…

Q: Alert Construction Company had a contract starting April 2021, to construct a $15,000,000 building…

A: Calculation of percentage of completion: Cumulative Costs to date $6,325,000 Estimated Total…

Q: Selected unadjusted balances and adjusting entry information of Sutherland Insurance Agency at…

A: Introduction: To follow the accrual system of accounting, companies pass the adjustment journal…

Q: Sigma PLC are a Certified Chartered Management Accountant firm. The firm has a number of clients who…

A: 1. Budget is prepared in synchronisation with the overall objectives of the organisation, keeping…

Q: Fahad started a Marketing company on January 1, 2017. The following are the balances taken from the…

A: The financial statements of the business include the income statement and balance sheet. The income…

Q: For both the current year and one year ago, compute the following ratios: 1. Return on equity. 2.…

A: Return on Equity = Net Income - Preferred DividendAverage Common Shareholder's Equity   Price…

Q: Hall Corporation constructed a building at a cost of $10,000,000. Average accumulated expenditures…

A: Solution..     Straight line Depreciation  = (cost + Avoidable interest - salvage) / Life of the…

Q: Business Decision Case The sales department of Donovan Manufacturing, Inc. has completed the…

A: Budgeting is a part of accounting wherein forecasts are prepared for sales, revenue, expenses, cash…