3. In the company's interim income statement for the six months ended June 30, 2020, what total amount of expense relating to these items should be reported? Maya-Maya Company had the following transactions during 2020: On January 1, Vilma company recorded a loss resulting from a change in inventory valuation method of P80,000. b. The company had estimated that total depreciation expense for the year ended December 31, 2020 will amount to P400,000. As of the beginning of the year, the company had fixed assets amounting to P1,000,000 and acquired additional fixed assets of P2,000,000 on June 30, 2020. The estimated useful life is for 5 years. The 2020 year-end bonuses to employees will total P600,000. d. The company had also a 180-day note receivable dated February 28, 2020, amounting to P3,000,000 and carries a 12% interest rate. It was discounted without recourse on the same day for a net proceed of P2,985,000. a. С.

3. In the company's interim income statement for the six months ended June 30, 2020, what total amount of expense relating to these items should be reported? Maya-Maya Company had the following transactions during 2020: On January 1, Vilma company recorded a loss resulting from a change in inventory valuation method of P80,000. b. The company had estimated that total depreciation expense for the year ended December 31, 2020 will amount to P400,000. As of the beginning of the year, the company had fixed assets amounting to P1,000,000 and acquired additional fixed assets of P2,000,000 on June 30, 2020. The estimated useful life is for 5 years. The 2020 year-end bonuses to employees will total P600,000. d. The company had also a 180-day note receivable dated February 28, 2020, amounting to P3,000,000 and carries a 12% interest rate. It was discounted without recourse on the same day for a net proceed of P2,985,000. a. С.

FINANCIAL ACCOUNTING

10th Edition

ISBN:9781259964947

Author:Libby

Publisher:Libby

Chapter1: Financial Statements And Business Decisions

Section: Chapter Questions

Problem 1Q

See similar textbooks

Similar questions

Lumen INC. is preparing its 2021 year-end financial statements. Prior to any adjustments, inventory is valued at P76,050, based on a physical count. The following information has been found relating to certain inventory transactions.I. Goods valued at P 11,000 are on consignment with a customer. These goods are not included in the P76,050 inventory figure. Which of the following statements is true?a. There is no effect on the 2021 ending inventory.b. 2021 ending inventory is overstated.c. The 2021 net income is overstated.d. The 2021 net income is understated.Please included an explaination.
During 2022, Emerald Inc. decided to change from FIFO method of inventory valuation to the weighted average method. January 1 inventory under FIFO 7,100,000 January 1 inventory under weighted average 7,700,000 December 31 inventory under FIFO 7,900,000 December 31inventory under weighted average 8,300,000 In the statement of retained earnings for 2022, what amount should be reported as the pretax cumulative effect of this accounting change? (A) 1,000,000 deduction (B) 1,000,000 addition C 600,000 deduction D 600,000 addition
Shahi Foods & Spices Company purchased goods for OMR 25,000 and sold 70% of such goods during the accounting year ended on 31-12-2019. The market value of remaining goods was OMR 5,000. The company valued the closing inventory at OMR 5,000 and not at OMR 7,500. what is the violation of accounting concept/convention by Shahi Foods & Spices Company? Justify your answer.
Swifty Enterprises reported cost of goods sold for 2025 of $1,453, 700 and retained earnings of $5,392, 600 at December 31, 2025. Swifty later discovered that its ending inventories at December 31, 2024 and 2025, were overstated by $102, 820 and $37,880, respectively. Determine the corrected amounts for 2025 cost of goods sold and December 31, 2025, retained earnings. Corrected cost of goods sold $enter a dollar amount Corrected 12/31/25 retained earnings $enter a dollar amount
On January 2, 2022, TITAN Company changed its inventory cost flow method to FIFO from average for both financial statements and income tax reporting purposes. The change resulted in a P800,000 increase in the beginning inventory on January 1, 2022. Ignoring income tax, the accounting change should preferably be reported by the company in its year 2022 as? A. ₱ 800,000 as debit adjustment to the beginning balance of retained earnings B. ₱ 800,000 credit to the income statement C. ₱ 800,000 debit to the income statement D. ₱ 800,000 as credit adjustment to the beginning balance of retained earnings
The following additional information is available: (i) Inventory as at 31 December 2019 was valued at $560,400,000 after inventory count. (ii) The bank statement for December 2019 showed a bank loan interest of $1,200,000 was deducted but no entries have been recorded in the book. (iii) It was discovered that a payment of $9,600,000 for purchase of office equipment on 1 January 2019 had been wrongly treated as purchase of inventory. The cash paid was correctly recorded in the bank account. No adjustment has been made. There are no other additions or disposal of fixed asset during the period. (iv) Depreciation is to be provided for the year as follows: Office equipment: straight line method with useful life of 5 years and no residual value. Motor vehicle: double declining balance method with useful life of 8 years and residual value $120,000. (v) The following year-end adjustments are to be made:…