Answer item 5
Q: The following selected accounts and their current balances appear in the ledger of Kanpur Co. for…
A: "Since we only answer up to 3 sub-parts, we’ll answer the first 3. Please resubmit the question and…
Q: in January 2019. The patents have different lives as indicated in the following schedule: Remaining…
A: In this question, we will Determine the amount of the patent amortization expense for the year…
Q: The business paid cash for the goods which was purchased on credit last month. Which of the…
A: Introduction: Journals: Recording of a business transactions in a chronological order. First step in…
Q: Number Cost of Units per Unit Beginning inventory Purchased goods during the period 240 130 $71 80…
A: Answer) Calculation of goods available for Sale in units Goods available for sale in units = Number…
Q: The break-even point can be calculated with the following formula: Total fixed expenses / (Variable…
A: Break-even point = Total fixed expenses / (Selling price per unit - Variable cost per unit)
Q: Cost of Goods Sold Gross Sales Net Ending Profit Beg Inventory Purchases Inventory Net Sales returns…
A: Formula: Net sales = Sales - Sales returns
Q: Permanent Fund Transactions At the start of 2020, a resident of the City of LaVerada donated $2.5…
A: The question is based on the concept of Financial Accounting.
Q: Miller borrows $310,000 to be paid off in three years. The loan payments are semiannual with the…
A: Instalment= P x R x (1+R)^N / [(1+R)^N-1] N= 3 years*2 = 6 periods R= 10%/2 = 5%
Q: Determine the breakeven sUggested retail price for a manufacturer's new consumer product (CP). The…
A: In marketing, this break-even pricing seems to be the threshold with which the associated with…
Q: If the selling price per unit is $10, the unit contribution margin is $5, and total fixed expenses…
A: Breakeven sales in units = Total fixed expenses / Unit contribution margin where, Total fixed…
Q: In this problem, i need a construction of transaction here for numbers 1-9
A: Journal entries are used to record the transactions of a business in chronological order. Post that…
Q: On January 1, 2021, Larry Company purchased a patent for an immune system boosting drink called…
A: Carrying amount = Cost of asset - Accumulated depreciation = P800,000 - 0 = P800,000 Expected cash…
Q: E3.6 (LO 2, 3, 4), AN Mendoza Company accumulates the following adjustment data at December 31.…
A: The adjustment entries are prepared to adjust the revenue and expenses of the current period.
Q: Pitfeld Sound Center paid 200.000 tor a group purchase of land, bulding, and equipment A the time of…
A: Cost of the Land = Total amount paid x Market value of the Land / Total market value of the assets…
Q: Why is it advantageous for a company to finance its receivables?
A: Company gets immediate access to cash without waiting a long period for the debtors/ receivables to…
Q: Alpha Company is considering the purchase of Beta Company. Alpha has collected the following data…
A: Solution Goodwill is an intangible assets which is earn by a business for good relations with their…
Q: a. Applying the FICA tax rates and rules for 2022, calculate how much you would pay in FICA taxes if…
A: * As per Bartleby policy, if question are different then answer first question only. For 2022, the…
Q: customer just paid $316 for a Blu-ray player. If the cost was 60% of selling price what was the mark…
A: Solution... Selling price = $316 Cost of 60% of selling price Markup amount = ?
Q: ng inventory at Dunne Co. and data on purchases and sales for a three-month period ending June 30…
A: As per the guidelines, only three subparts are allowed to be solved. Please resubmit the question…
Q: On January 1, 2010, Ball Co. leases a bulldozer from CAT Co. for 4 years at $10,000 per year. The…
A: Journal entries show the recording of transactions during an accounting year and every transaction…
Q: Morton Company had the following select transactions. 1, 2021 Accepted Remington Company's 1-year,…
A: Journal entries by far are one of the most crucial skills to develop in an accounting profession.…
Q: Bedron Company is a closely held investment service group that has been quite successful overthe…
A: A code of ethics, sometimes known as an ethical code, is a collection of norms, rules, and values…
Q: Grey Grig Ltd Trial Balance as at 30 June 2019 Particulars Equipment rental Insurance Lighting and…
A: Formula: Net income = Total Revenues - Total Expenses
Q: Rodger owns 100 percent of the shares in Trevor Incorporated a C corporation. Assume the following…
A: In this question, we will calculate that how much cash does Rodger have from the dividend after…
Q: December 31 2021 2020 Assets Current assets: Cash Accounts receivable $ 273,440 85,400 105,000…
A: The cash flow statement records the cash transactions incurred during period classified as operating…
Q: Activity-Based Costing EXERCISE 7-3 Compute Activity Rates [LO3] As You Like It Gardening is a small…
A: In case of ABC costing, cost is allocated based on activity. Thus, it is referred as activity-based…
Q: Explain the Threat and Opportunity of Shareholder Activism ?
A: Shareholder's Activism: Shareholder activism is a technique for shareholders to influence a…
Q: Refer to exhibits 2.1 and 2.2 to use the data to evaluate current ratio, quick ratio, debt ratio,…
A: The question is related to Ratio Analysis. The details are given regarding the same. Since you have…
Q: Moss County Bank agrees to lend the Blossom Company $320000 on January 1. Blossom Company signs a…
A: Introduction: Journals: Recording of a business transactions in a chronological order. Firs step in…
Q: Variable manufacturing overhead costs are treated as period costs under both absorption and variable…
A: Variable manufacturing overhead cost is treated as product cost under both absorption and variable…
Q: ts. Before any year-enc oubtful Accounts had Accounts will be based
A: Calculation of balance of allowance for uncollectible accounts Days account outstanding amount…
Q: View Policies Current Attempt in Progress Swift Oil Company is considering investing in a new oil…
A: Annual rate of return is the amount earned on an investment over a 12-month period, and is usually…
Q: rtance of having a company with good financial situation for the investor?
A: Financial statement consider to be important part are important part for making INVESTORS in making…
Q: You owe 25,000 on a credit card that changes 1.5% interest each month. You can pay 2,500 each month…
A: Let an be amount on a credit card that charges 1.5% interest each month person pay $2,500 each…
Q: Lifeline Biofuels built an oil rig at a cost of $4.5 million that it places into service on the…
A: Accretion Expense: In accounting, accrual is the periodic acknowledgment of an expenditure that is…
Q: The Vermillion Corporation has 116,60O $2.0 noncumulative preferred shares that have been issued. It…
A: Annual preferred dividend = Number of preferred shares x Preferred dividend per share Quarterly…
Q: In the financial year to June 30, 2021, HiFi Ltd issued options for 400,000 shares. During that…
A: Lets understand the basics. For calculating basic EPS, we need to use below formula. Basic EPS =…
Q: The following information was taken from the accounting records of Light Tool Corporation. Work in…
A: The total manufacturing costs comprises of beginning work in process, direct materials cost, direct…
Q: In a manufacturing company using absorption costing, the fixed costs associated with idle production…
A: The question is related to the Absorption costing.
Q: A CPA has been doing the records for a company for the last ten years. She was approached by the…
A: The answers for the questions on keeping two sets of records by a CPA are discussed hereunder : A…
Q: When a manager seeks to achieve personal departmental objectives that may work to the detriment of…
A: Solution Goel conflict is having a two or more goals leading to cause of conflict in the…
Q: Define the following in relation to sage accounting pastel system 1. Computerized accounting system…
A: Comment- Since we only answer up to 3 sub-parts, we’ll answer the first 3. Please resubmit the…
Q: On the internet and in the news you see many articles on non-profit companies and their contribution…
A: A non-profit organization is normally treated as a normal corporate corporation, with the added…
Q: The Company conduct the medicine tests in its laboratory. The following standards have been set for…
A: The variance is calculated as difference between standard data and actual production data. Direct…
Q: Number Cost of Units per Unit Beginning inventory 130 $71 Purchased goods during the period 240 80…
A: Formula: Goods available for sale in units = Beginning inventory + Purchases
Q: REVISED WITHHOLDING TAX TABLE FOR COMPENSATION DAILY 1 2 3 4 5 6 Compensation Range 685 and…
A: The amount which is deducted by an employer from the gross wages of the employees and an employer…
Q: Operating profit is affected by changes in production under both the variable costing and absorption…
A: Operating profit is profit earned by the company from its primary or core purpose of the business.…
Q: Accounting а) During the year ended 30 June 2020, a parent entity rents a warehouse from a…
A: Solution A journal entry is used to record a business transaction in the accounting records of…
Q: Exercise 11-9A Calculate operating activities-indirect method (LO11-3) Software Distributors reports…
A: Lets understand the basics. Cashflow statement indicates cash inflow or outflow incur on various…
Q: Ten $9,000 bonds redeemable at par bearing 7% coupons payable semi-annually are sold eight years…
A: Lets understand the basics. When bond is issued for more than the face value of bond then it is…
Answer item 5
Step by step
Solved in 2 steps
- Ridley Corporation is in the process of adjusting and correcting its books at the end of 2020. In reviewing its records, the following information was discovered. Prepare the journal entries necessary at December 31, 2020, to record the corrections and changes. The books are still open for 2020. The income tax rate is 40%. The company has not yet recorded its 2020 income tax expense and payable amounts so current-year tax effects may be ignored. Prior-year tax effects must be considered in item 4. 1. The company did not accrue sales commissions payable at the end of each of the last 2 years, as follows. December 31, 2019 $19,000December 31, 2020 $11,0002. In reviewing the December 31, 2020, inventory, Ridley discovered errors in its inventory taking procedures that have caused inventories for the last 3 years to be incorrect, as follows.December 31, 2018 Understated $16,000December 31, 2019 Understated $19,000December 31, 2020 Overstated $ 6,700The company has already made an entry…Ridley Corporation is in the process of adjusting and correcting its books at the end of 2020. In reviewing its records, the following information was discovered. Prepare the journal entries necessary at December 31, 2020, to record the corrections and changes. The books are still open for 2020. The income tax rate is 40%. The company has not yet recorded its 2020 income tax expense and payable amounts so current-year tax effects may be ignored. Prior-year tax effects must be considered in item 4. 1. The company did not accrue sales commissions payable at the end of each of the last 2 years, as follows. December 31, 2019 $19,000 December 31, 2020 $11,000 2. In reviewing the December 31, 2020, inventory, Ridley discovered errors in its inventory taking procedures that have caused inventories for the last 3 years to be incorrect, as follows. December 31, 2018 December 31, 2019 December 31, 2020 Understated $16,000 Understated $19,000 $ 6,700 Overstated The company has already made an…Ridley Corporation is in the process of adjusting and correcting its books at the end of 2020. In reviewing its records, the following information was discovered. Prepare the journal entries necessary at December 31, 2020, to record the corrections and changes. The books are still open for 2020. The income tax rate is 40%. The company has not yet recorded its 2020 income tax expense and payable amounts so current-year tax effects may be ignored. Prior-year tax effects must be considered in item 4.1. The company did not accrue sales commissions payable at the end of each of the last 2 years, as follows. December 31, 2019 $19,000December 31, 2020 $11,0002. In reviewing the December 31, 2020, inventory, Ridley discovered errors in its inventory taking procedures that have caused inventories for the last 3 years to be incorrect, as follows.December 31, 2018 Understated $16,000December 31, 2019 Understated $19,000December 31, 2020 Overstated $ 6,700The company has already made an entry that…
- Sandhill, Inc., changed from the LIFO cost flow assumption to the FIFO cost flow assumption in 2020. The increase in the prior year's income before taxes is $1,127,000. The tax rate is 20%. Prepare Sandhill's 2020 journal entry to record the change in accounting principle. (Credit account titles are automatically indented when amount is entered. Do not indent manually. If no entry is required, select "No Entry" for the account titles and enter 0 for the amounts.) Account Titles and Explanation Debit CreditIn December of 2019, a company received consulting services of $100,000. No entry was recorded for these service in 2019. The invoice for the services was received in January 2020 and recorded by debiting consulting expense and crediting accounts payable. This error was discovered in 2020 and was determined to be a material error. What is the impact of the error on the net income of 2019 and 2020? Provide the proper correcting journal enntry assuming a 30% tax rate.Prepare the journal entries necessary at December 31, 2020 to record the above corrections and changes. The books are still open for 2020. The income tax rate is 20%. Culver has not yet recoeded its 2020 income tax expense and payable amounts so current-year tax effects may be ignored. Prior-year tac effects must be considered in item 4.
- As of December 31, 2024, Duffy Company believed it was probable that an unfavorable outcome would result from a dispute with the Massachusetts State tax authorities. In-house tax experts estimated that Duffy would owe between $2113 - $4362 of additional taxes, with $3369 being the most likely amount. What is the journal entry, if any, that Duffy should record to reflect this in the 2024 financial statements? a. A journal entry is not booked since this is a gain contingency. b. Debit to Contingent Loss for $3369; Credit to Contingent Liability for $3369 c. Debit to Contingent Loss for $2113; Credit to Contingent Liability for $2113 d. Debit to Contingent Liability for $4362; Credit to Contingent Loss for $4362At the end of 2019, Sentry Company reported a deferred tax liability of $6,120 based on an income tax rate of 30%. On January 2, 2020, Congress changed the income tax rate to 35%. Required: 1. Calculate the amount of the adjustment to Sentry’s 2019 year-end deferred tax liability. 2. Prepare the journal entry to correct Sentry’s deferred tax liability.Pearl Inc. incurred a net operating loss of $455,000 in 2020. The tax rate for all years is 20%. Assume that it is more likely than not that the entire net operating loss carryforward will not be realized in future years. Prepare all the journal entries necessary at the end of 2020. (Credit account titles are automatically indented when amount is entered. Do not indent manually. If no entry is required, select "No Entry" for the account titles and enter 0 for the amounts.)
- Bonita, Inc., changed from the LIFO cost flow assumption to the FIFO cost flow assumption in 2025. The increase in the prior year's income before taxes is $1,300,500. The tax rate is 20%. Prepare Bonita's 2025 journal entry to record the change in accounting principle. (Credit account titles are automatically indented when the amount is entered. Do not indent manually. If no entry is required, select "No Entry" for the account titles and enter O for the amounts. List all debit entries before credit entries.) Account Titles and Explanation eTextbook and Media Debit CreditDescribed below are six independent and unrelated situations involving accounting changes. Each change occurs during 2024 before any adjusting entries or closing entries were prepared. Assume the tax rate for each company is 25% in all years. Any tax effects should be adjusted through the deferred tax liability account. a. Fleming Home Products introduced a new line of commercial awnings in 2023 that carry a one-year warranty against manufacturer’s defects. Based on industry experience, warranty costs were expected to approximate 2% of sales. Sales of the awnings in 2023 were $2,600,000. Accordingly, warranty expense and a warranty liability of $52,000 were recorded in 2023. In late 2024, the company’s claims experience was evaluated, and it was determined that claims were far fewer than expected: 1% of sales rather than 2%. Sales of the awnings in 2024 were $3,100,000, and warranty expenditures in 2024 totaled $70,525. b. On December 30, 2020, Rival Industries acquired its office…Described below are six independent and unrelated situations involving accounting changes. Each change occurs during 2021 before any adjusting entries or closing entries were prepared. Assume the tax rate for each company is 25% in all years. Any tax effects should be adjusted through the deferred tax liability account. Fleming Home Products introduced a new line of commercial awnings in 2020 that carry a one-year warranty against manufacturer’s defects. Based on industry experience, warranty costs were expected to approximate 2% of sales. Sales of the awnings in 2020 were $3,900,000. Accordingly, warranty expense and a warranty liability of $78,000 were recorded in 2020. In late 2021, the company’s claims experience was evaluated, and it was determined that claims were far fewer than expected: 1% of sales rather than 2%. Sales of the awnings in 2021 were $4,400,000, and warranty expenditures in 2021 totaled $100,100. On December 30, 2017, Rival Industries acquired its office…