Please answer requirement a. Thanks. 2. An entity sells inventory with a list price of P10,000 undercredit terms of 20%, 10%, 2/15, n/30. The entity uses PFRS 15and estimates that only 80% of the cash discount will be taken.By the end of the reporting period, the account receivable isnot yet settled and the entity changes its estimate of cashdiscount to be taken to 40%.Requirements:a. Provide the journal entry on the date of sale and the year-endadjusting entry.

Answer: ●a journal entry on the date of sale: Date Particulars Debit Credit Accounts…

Answered: - An entity sells inventory with a list…

FINANCIAL ACCOUNTING

10th Edition

ISBN:9781259964947

Author:Libby

Publisher:Libby

Chapter1: Financial Statements And Business Decisions

Section: Chapter Questions

Problem 1Q

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In Set’ Dec. 31, 2020 statement of financial position, how much should be the accounts payable? *see attached a. P 1,410,000b. P 1,485,000c. P 1,462,500d. P 1,425,000
Required: Prepare: a. the Statement of Comprehensive Income for the year ended 31 December2020. b. the Statement of Financial Position as at 31 December 2020.
48. An Entity sold 10 units of goods with a unit list price of P2,000 on Jan. 1, 2021. The Entity offered a trade discount of 5% and a cash discount of 10%, and that the cash discount period is 10 days, and the credit period is 30 days. If the customer settles the debt on Jan. 28,2021, what is the actual amount he needs to pay? O A. P17,100 О в. B. P1,710 C. P19,000 O D. P1,900
Research Case 7-9 (Static) Locate and extract relevant information and authoritative support for a financial reporting issue; financing with receivables [LO7-8] You are spending the summer working for a local wholesale furniture company, Samson Furniture, Inc. The company is considering a proposal from a local financial institution, Old Reliant Financial, to factor Samson's receivables. The company controller is unfamiliar with the prevailing GAAP that deals with accounting for the transfer of financial assets and has asked you to do some research. The controller wants to make sure the arrangement with the financial institution is structured in such a way as to allow the factoring to be accounted for as a sale. Old Reliant has offered to factor all of the company's receivables on a "without recourse" basis. Old Reliant will remit to Samson 90% of the factored amount, collect the receivables from Samson's customers, and retain the remaining 10% until all of the receivables have been…
XYZ Company purchased inventory worth $50,000 on credit terms of 2/10, n/30. Calculate the amount XYZ Company would pay if they settle the invoice within the discount period.
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On June 30, 2018, the Esquire Company sold some merchandise to a customer for $30,000 and agreed toaccept as payment a noninterest-bearing note with an 8% discount rate requiring the payment of $30,000 on March31, 2019. The 8% rate is appropriate in this situation. Esquire views the financing component of this contract assignificant.Required:1. Prepare journal entries to record the sale of merchandise (omit any entry that might be required for the costof the goods sold), the December 31, 2018 interest accrual, and the March 31, 2019 collection.2. What is the effective interest rate on the note?
V Company reported sales revenue of P4,600,000 in the income statement for the year ended December 31, 2019. The entity wrote of uncollectible accounts tolling P20,000 during the current year 2018 2019 Accounts receivable 1,000,000 1,300,000 Allowance for uncollectible accounts 60,000 110,000 69. Under Cash basis, what amount should be reported as sales for the current year? а. 4,900,000 b. 4,350,000 c. 4,300,000 d. 4,280,000 70. What amount of bad debts are recognized for the current year? 60,000 b. 70,000 a. c. 80,000 d. 110,000
please answer within the format by providing formula the detailed workingPlease provide answer in text (Without image)Please provide answer in text (Without image)Please provide answer in text (Without image)
How much should be recorded as the purchase price of theindividual PPE items: 1. Equipment has an invoice price of P1,000,000, and a creditterm of 2/30, n/60. Cash discount was not taken. 2. Paid cash of P200,000 and issued a note for the purchase ofa machinery. The note has a face value of P1,000,000 dueafter three years and an effective interest rate of 7%. 3. Five units of equipment was purchased through theissuance of 1,000 pieces of P1,000 par‐value shares. Eachequipment has a fair value of P300,000 while a share isvalued at P1400. 4. Issued bonds with face value of P5,000,000 and fair value ofP5,100,000 to purchase equipment with a fair value ofP4,900,000. 5. The old equipment has an original cost of P1,500,000,accumulated depreciation of P600,000, and fair value ofP1,000,000. The new equipment obtained throughexchange has a fair value of P1,200,000. The balance was settled with cash. The exchange will not affect the future cashflows of the entity.
N7. ABC Auditor has agreed to perform an inventory count for XYZ on 12/31/Y1, but will allow them to pay over time. XYZ’s normal borrowing rate is 6%. ABC will require XYZ to pay a down payment of $15,000 at 12/31/Y1 and the remainder in the form of a $35,000 note, at 14% interest, due $12/31/Y6. Interest will be due semi-annually. Find the following: 1. Service Revenue for 12/31/Y1: $ 2. How much Interest Revenue was recorded year to date at 12/31/Y3:
only need solution 48. The following accounts and their balances appear in an unadjusted trial balance of Melon Companyas of December 31, 2020.• Cash and cash equivalents- P400,000• Inventory- P500,000• Trade and other receivables- P2,000,000• Trade and other payables- P670,000• Subscription receivable- P375,000• Income tax payable- P196,500Additional information: Trade and other receivables include long-term advances to company officers amounting toP430,000. The subscription receivable has the following call dates: June 30, 2021, P200,000; December 31,2021, P100,000; and June 30, 2022, P75,000. Inventory of P500,000 was determined by physical count. On December 31, 2020, goods costingP125,000 are in transit from a supplier. The terms of purchase of said goods are FOB shippingpoint. The goods and the related invoice have not been received as of year-end. Trade and other payables include dividends payable amounting to P170,000, of which P70,000 ispayable in cash and P100,000 is…

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