What must be the entry to adjust 2017 Net Income/Retained Earnings assuming the books in 2017 are already closed? Your answerIf the errors were discovered in January 2018, what must be the entry to adjust 2017 NetIncome/Retained Earnings assuming the books in 2017 are already closed? (Show yoursolutions, including the adjusting journal entry, in your attached working paper but just put thetotal debits/credits in the google form). *Upon inspection of the records of Ally Company, the following facts were discovered for theyear ended December 31, 2017. A fire insurance premium of 120,000 wwas paid and charged asinsurance expense for 2017. The fire insurance policy covers one year from April1, 2017.Inventory on January 1, 2017 was overstated by 80,000. Inventory on December 31, 2017was overstated by 120,000. Taxes of 60,000 for the fourth quarter of 2017 were paid on January 20,2018 and charged as expense of 2018.On December 5, 2017 a cash advance of 90,000 by a customer was received for goods to bedelivered in January 2018. The amount of 90,000 was credited to sales. The gross profit on sales is40%. Net income for the year before any adjustments is 1,550,000.Your answer

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Description: What must be the entry to adjust 2017 Net Income/Retained Earnings assuming the books in 2017 are already closed? Your answerIf the errors were discovered in January 2018, what must be the entry to adjust 2017 NetIncome/Retained Earnings assuming the

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If the errors were discovered in January 2018, what must be the entry to adjust 2017 Net Income/Retained Earnings assuming the books in 2017 are already closed? (Show your solutions, including the adjusting journal entry, in your attached working paper but just put the total debits/credits in the google form). * Upon inspection of the records of Ally Company, the following facts were discovered for the year ended December 31, 2017. A fire insurance premium of 120,000 was paid and charged as insurance expense for 2017. The fire insurance policy covers one year from April 1, 2017. Inventory on January 1, 2017 was overstated by 80,000. Inventory on December 31, 2017 was overstated by 120,000. Taxes of 60,000 for the fourth quarter of 2017 were paid on January 20, 2018 and charged as expense of 2018. On December 5, 2017 a cash advance of 90,000 by a customer was received for goods to be delivered in January 2018. The amount of 90,000 was credited to sales. The gross profit on sales is 40%. Net income for the year before any adjustments is 1,550,000. Your answer

If the errors were discovered in January 2018, what must be the entry to adjust 2017 Net Income/Retained Earnings assuming the books in 2017 are already closed? (Show your solutions, including the adjusting journal entry, in your attached working paper but just put the total debits/credits in the google form). * Upon inspection of the records of Ally Company, the following facts were discovered for the year ended December 31, 2017. A fire insurance premium of 120,000 was paid and charged as insurance expense for 2017. The fire insurance policy covers one year from April 1, 2017. Inventory on January 1, 2017 was overstated by 80,000. Inventory on December 31, 2017 was overstated by 120,000. Taxes of 60,000 for the fourth quarter of 2017 were paid on January 20, 2018 and charged as expense of 2018. On December 5, 2017 a cash advance of 90,000 by a customer was received for goods to be delivered in January 2018. The amount of 90,000 was credited to sales. The gross profit on sales is 40%. Net income for the year before any adjustments is 1,550,000. Your answer

College Accounting (Book Only): A Career Approach

13th Edition

ISBN:9781337280570

Author:Scott, Cathy J.

Publisher:Scott, Cathy J.

ChapterB: Bad Debts

Section: Chapter Questions

Problem 2P: Hardys Landscape Services total revenue on account for 2018 amounted to 273,205. The company, which...

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Accounting Lindy Company's auditor discovered several errors. No errors were corrected during 2020. The errors are described as follows: A 3-year insurance policy purchased on Oct 31, 2020, in the amount of $18,000.00 was debited to Prepaid Insurance. No adjustment was made on December 31, 2020, or on December 31, 2021. Prepare appropriate journal entries to correct the error, and any adjusting entries required (assume the 2021 books have not been closed). Ignore income taxes. (If no entry is required for a transaction/event, select "No journal entry required.") a)identify the J/E made error b) Identify the J/E that should have been made c) Provide the correcting J/E to fix the error d)year end adjusting entry
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1. What is the effect of the errors to the Retained Earnings at the beginning of 2019? 2. What is the effect of the errors to the Retained Earnings at the end of 2019?
in december 2022, the fixed monthly insurance debit order was not processed due to an oversight by insurance company. this was rectified by Ss managing director, sam who informed the insurance company. On 2 January 2023 the insurance DEBIT order was processed twice, resulting in total deduction of R55000 from Ss bank account. the trail balance needs to be adjusted to account for this. Prepare the adjustment journal entries
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Record (write out in proper journal entry format) each of the adjusting entries. Post each of these adjusting entries to the correct T-accounts. Adjusting & other entries: A) December 31: The company has not recorded bad debt expense for 2025. Sinfully uses the Aging of Receivables approach and estimates that the ending balance in the Allowance for Bad Debts should be $9,300. B) December 31: The long term note payable was recorded on August 1, 2025. The interest and the note are due on July 31, 2030. Interest rate is 9.5%. Record 2025 interest expense.
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