Required 1 Required 2Prepare appropriate journal entries recorded by Nath-Langstrom Services for the first year of the lease.Note: If no entry is required for a transaction/event, select "No journal entry required" in the first account field. (Round yourIntermediate calculations and final answers to the nearest whole dollar)View transaction listJournal entry worksheet< 12 3Note: Enter debits before credits.Record the beginning of the lease for Nath-Langstrom Services.DateJanuary 01, 2024Record entry→ Show Transcribed Text<View transaction listJournal entry worksheet1 25Note: Enter debits before credits.General JournalDateJanuary 01, 2024Clear entryRecord entryRequired 1 Required 2Prepare appropriate journal entries recorded by ComputerWorld Leasing for the first year of the lease.Note: If no entry is required for a transaction/event, select "No journal entry required" in the first account field. (Round yourintermediate calculations and final answers to the nearest whole dollar.)Record the beginning of the lease for ComputerWorld Leasing.5General JournalDebitClear entryرامCreditDebitView general journalCreditView general journal On January 1, 2024, Nath-Langstrom Services, Incorporated, a computer software training firm, leased several computers under a two-year operating lease agreement from ComputerWorld Leasing, which routinely finances equipment for other firms at an annual interest.rate of 6%.• The contract calls for four rent payments of $11,000 each, payable semiannually on June 30 and December 31 each year.• The computers were acquired by ComputerWorld at a cost of $92,000 and were expected to have a useful life of five years withno residual value.. Both firms record amortization and depreciation semiannually.Note: Use tables, Excel, or a financial calculator. (EV of $1. PV of $1. EVA of $1. PVA of $1. EVAD of $1 and PVAD of $1)Required:1. Prepare appropriate journal entries recorded by Nath-Langstrom Services for the first year of the lease.2. Prepare appropriate journal entries recorded by ComputerWorld Leasing for the first year of the lease.Complete this question by entering your answers in the tabs below.Required 1 Required 2Prepare appropriate journal entries recorded by Nath-Langstrom Services for the first year of the lease.Note: If no entry is required for a transaction/event, select "No journal entry required in the first account field. (Round yourintermediate calculations and final answers to the nearest whole dollar)View transaction listJournal entry worksheet12345< Prev6 of 8Next >

A journal entry is a basic accounting record that is used to chronologically track financial…

are appropriate journal entries recorded by ComputerWorld Leasing for the first year of the leas :If no entry is required for a transaction/event, select "No journal entry required" in the first act mediate calculations and final answers to the nearest whole dollar) ew transaction list

are appropriate journal entries recorded by ComputerWorld Leasing for the first year of the leas :If no entry is required for a transaction/event, select "No journal entry required" in the first act mediate calculations and final answers to the nearest whole dollar) ew transaction 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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For the following indenendent cases, in the space provided, calculate the amount of revenue that should be recordeu in 2019 under the revenue recognition principle (point of sale). 1. Company A rents office space to tenants. On October 1, 2019 they collected $18,000 from a tenant which represents 12 month's rent paid in advance. 2. Company B sells heavy equipment. On December 1, 2019 a customer paid a $10,000 deposit towards the purchase of a $50,000 piece of equipment. The equipment was delivered on January 16, 2020 and the balance was paid that date. 3. On December 29, 2019 Company C ships $15,000 worth of goods to a customer, F. O. B. destination. The goods arrive on January 3, 2020at the customer's office. The customer pays for the goods On February 1, 2020. 4. Company D provides legal services for clients. On December 2, 2019 a client hires the firm and pays a $10,000 advance payment. The firm did $4,ĝ00 of service in 2019.
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Instruction: Using the asset method, prepare the original entry of the transaction and the necessary adjusting entry at the end of the accounting period. Dec. 31, 2019 1. Jan. 3- Paid P30,000 for a 1 ½ year rental. Original entry Adjusting entry 2. Insurance premium paid on Jan. 4, 2019 amounting to P24,000 covers 2 years. Original entry Adjusting entry 3. Office supplies of P6,000 were bought on Feb. 1, 2019. At the end of the year, office supplies worth P2,000 were on hand. Original entry Adjusting entry 4. Advertisement in the Manila Bulletin was paid in the amount of P9,000 which covers 3-month contract starting December 1, 2019 Original entry Adjusting entry 5. The company discounted its P10,000, 90 day, 6% note on November 15, 2019. Original entry Adjusting entry
Larkspur Leasing Company signs a lease agreement on January 1, 2025, to lease electronic equipment to Crane Company. The term of the non-cancelable lease is 2 years, and payments are required at the end of each year. The following information relates to this agreement. 1. Crane has the option to purchase the equipment for $27,000 upon termination of the lease. It is not reasonably certain that Crane will exercise this option. 2. The equipment has a cost of $330, 000 and fair value of $368,000 to Larkspur Leasing. The useful economic life is 2 years, with a residual value of $27,000. 3. Larkspur Leasing desires to earn a return of 6% on its investment. 4. Collectibility of the payments by Larkspur Leasing is probable. Prepare the journal entries on the books of Larkspur Leasing to record the payments received under the lease and to recognize income for the years 2025 and 2026. (List all debit entries before credit entries. Credit account titles are automatically indented when amount is…
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Crane Leasing Company signs an agreement on January 1, 2025, to lease equipment to Cullumber Company. The following information relates to this agreement. 1. 2. 3. 4. 5. The term of the non-cancelable lease is 6 years with no renewal option. The equipment has an estimated economic life of 6 years. The cost of the asset to the lessor is $230,000. The fair value of the asset at January 1, 2025, is $230,000. The asset will revert to the lessor at the end of the lease term, at which time the asset is expected to have a residual value of $24,339, none of which is gu guaranteed. The agreement requires equal annual rental payments, beginning on January 1, 2025. Collectibility of the lease payments by Crane is probable.
(3).
For the following independent cases, in the space provided, calculate the amount of revenue that should be recorded in 2019 under the revenue recognition principle (point of sale). 1. Company A rents office space to tenants. On October 1, 2019 they collected $18,000 from a tenant which represents 12 month's rent paid in advance. 2. Company B sells heavy equipment. On December 1, 2019 a customer paid a $10,000 deposit towards the purchase of a $50,000 piece of equipment. The date. equipment was delivered on January 16, 2020 and the balance was paid 3. On December 29, 2019 Company C ships $15,000 worth of goods to a customer, F. O. B. destination. The goods arrive on January 3, 2020at the customer's office. The customer pays for the goods On February 1, 2020. 4. Company D provides legal services for clients. On December 2, 2019 a client hires the firm and pays a $10,000 advance payment. The firm did $4,q00 of service in 2019.
Carla Vista Corporation has the following selected transactions during the year ended December 31, 2024: Jan. 1 Purchased a copyright for $117.480 cash. The copyright has a useful life of six years and a remaining legal life of 30 years. Mar. 1 Sept. 1 Dec. 31 Acquired a franchise with a contract period of nine years for $500,850; the expiration date is March 1, 2033, Paid cash of $38,820 and borrowed the remainder from the bank. Purchased a trademark with an indefinite life for $73,190 cash. As the purchase was being finalized, spent $33.150 cash in legal fees to successfully defend the trademark in court. Purchased an advertising agency for $640,000 cash. The agency's only assets reported on its statement of financial position immediately before the purchase were accounts receivable of $58,000, furniture of $170,000, and leasehold improvements of $320,000. Carla Vista hired an independent appraiser who estimated that the fair value of these assets was accounts receivable $58,000,…
Present journal entries and adjusting entries please!
View Policies Current Attempt in Progress On July 1, 2022, Blossom Co. pays $12.000 to Nash's Insurance Co. for a 4-year insurance contract. Both companies have fiscal years ending December 31. For Blossom Co. journalize and post the entry on July 1 and the annual adjusting entry on December 31. (List all debit entries before credit entries. Credit account titles are automatically indented when the amount is entered. Do not indent manually. Record journal entries in the order presented in the problem) Debit Credit Date Account Titles and Explanation 100
On January 1, 2024, QuickStream Communications leased telephone equipment from Digium, Incorporated Digium's cash selling price for the equipment is $1,959,867. The lease agreement specifies six annual payments of $450,000 beginning December 31, 2024, and on each December 31 thereafter through 2029. The six-year lease is equal to the estimated useful life of the equipment. The contract specifies that lease payments for each year will increase by the higher of (a) the increase in the Consumer Price Index for the preceding year or (b) 2%. The CPI at the beginning of the lease is 120. Digium routinely leases equipment to other firms. The interest rate in these lease arrangements is 10%. Note: Use tables, Excel, or a financial calculator. ( FV of $1, PV of $1, FVA of $1, PVA of $1, FVAD of $1 and PVAD of $1) Required: Prepare the appropriate journal entries for QuickStream to record the lease at its beginning date of January 1, 2024 - - 1 Record the beginning of the lease for QuickStream…