During the month of April, Riley Co. had cash receipts from customers of $780,000. Expenses totaled $624,000, and accrual basis net income was $218,000. There were no gains or losses during the month. Required: a. Calculate the revenues for Riley Co. for April. Revenues b. Are the cash receipts and revenues equal? • Yes • No

During the month of April, Riley Co. had cash receipts from customers of $780,000. Expenses totaled $624,000, and accrual basis net income was $218,000. There were no gains or losses during the month. Required: a. Calculate the revenues for Riley Co. for April. Revenues b. Are the cash receipts and revenues equal? • Yes • No

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

On September 1, Year 1, Gomez Company collected $9,000 in advance from a customer for services to be provided over a one-year period beginning on that date. How much revenue would Gomez Company report related to this contract on its income statement for the year ended December 31, Year 1? How much would the company report as net cash flows from operating activities for Year 1? Multiple Choice $3,000; $9,000 $9,000; $9,000 $0; $9,000 $3,000; $3,000
Effect of doubtful accounts on net income During its first year of operations, Mack's Plumbing Supply had sales of $390,000, wrote off $6,000 of accounts as uncollectible using the direct write-off method, and reported net income of $42,900. Assume that during the second year of operations Mack's Plumbing Supply had sales of $468,000, wrote off $7,200 of accounts as uncollectible using the direct write-off method, and reported net income of $46,800. a. Determine what net income would have been in the second year if the allowance method (using 1.25% of sales) had been used in both the first and second years. fill in the blank 1 of 25 b. Determine what the balance of the allowance for doubtful accounts would have been at the end of the second year if the allowance method had been used in both the first and second years. If required, use the minus sign to indicate a "debit" balance. fill in the blank 2 of 25
Select all that apply Grey Company earned $5,000 of revenue on account during Year 1, but collected the cash associated with the receivables in Year 2. Based on this information alone, under accrual accounting, the company will report revenue of. $5,000 and cash inflow from operations of zero in Year 2 $5,000 and cash inflow from operations of zero in Year 1 zero and cash inflow from operations of $5,000 in Year 2 zero and cash inflow from operations of $5,000 in Year 1
Subject: acounting
atio of Cash to Monthly Cash Expenses Financial data for Abrams Company follow: For Year EndedDecember 31 Cash on December 31 $54,270 Cash flow from operations (97,200) a. Compute the ratio of cash to monthly cash expenses. Round your answer to one decimal place.fill in the blank 1 months b. Interpret the results computed in (a).
On January 1, Year 2 Grande Company had a $21,000 balance in the Accounts Receivable account and a zero balance in the Allowance for Doubtful Accounts account. During Year 2, Grande provided $78,000 of service on account. The company collected $74,500 cash from accounts receivable. Uncollectible accounts are estimated to be 2% of sales on account. What is the amount of cash flow from operating activities that would appear on the Year 2 statement of cash flows? Multiple Choice $57,420 $78,000 $74,500 $73,010
Use the following to answer questions 6 – 7 MC, Inc., reported the following amounts at the end of the year: Total sales $888,000 Accounts receivable Sales allowances 60,000 3,500 Allowance for Uncollectible accounts 1,400 Sales discounts 18,000 9,000 Sales returns Determine total contra revenues for $ the company 6. 7. $ Determine net sales for the company
Baxter Company reported a net loss of $16,324 for the year ended December 31. During the year, accounts receivable decreased by $4,513, merchandise inventory increased by $9,092, accounts payable increased by $8,534, and depreciation expense of $4,402 was recorded. During the year, operating activities under the indirect method Oa. used net cash of $16,324 Ob. used net cash of $7,967 Oc. provided net cash of $7,967 Od. provided net cash of $16,324
Concord Corporation had the following transactions that took place during the year: I. Recorded credit sales of $3050 I. Collected $1830 from customers III. Recorded sales returns of $610 and credited the customer's account. What is the total effect of these transactions on free cash flow? Cannot be determined O Increase Decrease O No Effect
ABC Company reported the following data for the current year: 1. How much is the gross profit? 2. How much is the administrative expense? 3. How much is the selling expense? 4. How much is the net income?
i. Using all relevant cells calculate the income tax expenses for each year. ii. . Using the correct function or formula calculate the net income.