Kevin Smith, financial officer of Benson Inc., showed the following unadjusted account balances at January 31, 2023, its year end. Other information:There was one reconciling item on the bank reconciliation: an NSF cheque for $800.A review of the Prepaid Rent account showed that the balance represents rent for two months beginning January 1, 2023.Annual depreciation on the boats is $3,780.Annual depreciation on the furniture is $3,560.Use this information to prepare the January 31, 2023 classified balance sheet.xxxF团+(select one)Balance Sheet(select one)AccountBalanceAccounts payable24,800Accounts receivable5,600Accumulated depreciation, boats,41,820Accumulated depreciation, furniture,30,360Boats49,220Bonds payable (due August, 2031).24,800Cash12,400Commissions earned19,400Consulting revenue earned6,700Copyright14,300Dividends6,600Furniture46,360Insurance expense3,800Land13,300Long-term notes payable,25,000Long-term investment in shares19,800Petty cash,2,500Prepaid rent38,600Property taxes expense9,800Rent earned14,700Rent expense7,800Rent receivable12,600Retained earnings40,600Share capital2,900Supplies,13,200Unearned rent24,800

Step 1:Computation of the net income: *Net income = total revenues less total expenses = $40,800 -…

Answered: Kevin Smith, financial officer of…

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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The accounts receivable balance on the records of of P38,000 were written off during the year as uncollectible. eud was P283,000. In going over the records, you found accounts reccivable REQUIRED: How much cash was received from the sale of the machine? during the year ended December 31, 2020. The accounts receivable at year- REQUIRED: How much cash was collected on credit sales during the year. Luneta Company of January 1, 2020. Credit sales were recorded at P1,060.000 P245,000 on durine p283.000. In going over the records, you found accounts reccivable PEOUIRED: How much cash was collected on credit sales during the year 2020 ? The manager of the Pansol Company is planning for the qaurter ending Narch 31, 2020, and wants to know how much cash must be paid for merchandise purchases. The inventory of merechandise is to be deereased by P46,000 during the quarter. Sales have been estimated at P360,000. The cost of saies is equal to 30% of sales. Accounts payable is expected to inerease…
Please show work. On July 1 of the current year, Rio Bravo factored receivables with a carrying value of $250,000 to a local bank. The transfer was made with a recourse of $3000. The bank assesses a finance charge of 3% of the amount of accounts receivable and retains an amount equal to 5% of the accounts receivable (for probable adjustments). The journal entry for this transaction will include which of the following? A. Debit to Recourse Liability of $3,000 B. Debit to Cash of $233,000. C. Debit to Due from Bank of $15,500. D. Debit to Loss on Sale of Receivables of $10,500. E. Mor than one of these.
Weldon Corporation’s fiscal year ends December 31. The following is a list of transactions involving receivables that occurred during 2024: March 17 Accounts receivable of $2,300 were written off as uncollectible. The company uses the allowance method. March 30 Loaned an officer of the company $30,000 and received a note requiring principal and interest at 5% to be paid on March 30, 2025. May 30 Discounted the $30,000 note at a local bank. The bank’s discount rate is 6%. The note was discounted without recourse and the sale criteria are met. June 30 Sold merchandise to the Blankenship Company for $18,000. Terms of the sale are 2/10, n/30. Weldon uses the gross method to account for cash discounts. July 8 The Blankenship Company paid its account in full. August 31 Sold stock in a nonpublic company with a book value of $5,600 and accepted a $6,600 noninterest-bearing note with a discount rate of 6%. The $6,600 payment is due on February 28, 2025. The stock has no ready market value.…
Weldon Corporation's fiscal year ends December 31. The following is a list of transactions involving receivables that occurred during 2024: March 17 Accounts receivable of $2,600 were written off as uncollectible. The company uses the allowance method. March 30 Loaned an officer of the company $33,000 and received a note requiring principal and interest at 7% to be paid on March 30, 2025. May 30 Discounted the $33,000 note at a local bank. The bank's discount rate is 8 %. The note was discounted without recourse and the sale criteria are met. June 30 Sold merchandise to the Blankenship Company for $21,000. Terms of the sale are 4/10/30 Weldon uses the gross method to account for cash discounts. July 8 The Blankenship Company paid its account in full. August 31 Sold stock in a nonpublic company with a book value of $5,900 and accepted a $6,900 noninterest-bearing note with a discount rate of 8%. The $6,900 payment is due on February 28, 2025. The stock has no ready market value.…
All the accounts have normal balances. The information below has been gathered at December 31, 2027. Interest will be paid when the note is repaid. 1. Devin Wolf Company borrowed $10,000 by signing a 9%, one-year note on September 1, 2027. 2. 3. 4. 5. A count of supplies on December 31, 2027, indicates that supplies of $900 are on hand. Depreciation on the equipment for 2027 is $1,000. Devin Wolf paid $2,100 for 12 months of insurance coverage on June 1, 2027. On December 1, 2027, Devin Wolf collected $32,000 for consulting services to be performed evenly from December 1, 2027, through March 31, 2028. 6. Devin Wolf performed consulting services for a client in December 2027. The client will be billed $4,200. 7. Devin Wolf pays its employees total salaries of $9,000 every Monday for the preceding 5-day week (Monday through Friday). On Monday, December 29, employees were paid for the week ending December 26. All employees worked the last 3 days of 2027. Prepare adjusting entries for the…
Vigan Corporation included the following in its notes receivable as at December 31, 2021: Note receivable from sale of land P 880,000 Note receivable from consultation 1,200,000 Note receivable from sale of equipment 1,600,000 In connection with your audit, you were able to gather the following transactions during 2021 and other information pertaining to the company’s notes receivable: On January 1, 2021, Vigan Corporation sold a tract of land. The land was purchased 10 years ago was carried on Vigan’s Corporation’s books at a value of P 500,000. Vigan received a noninterest bearing note for P 880,000 . The note is due on December 31, 2022. There is no readily available market value for the land but the current market rate of interest for comparable notes is 10%. On January 1, 2021, Vigan Corporation finished consultation services and accepted in exchange of a promissory note with a face value of P 1,200,000 , a due date of…
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Okay, I have everything else in the journal entry except for the last one. I'm attaching a picture of what I've got so you don't have to worry about explaining all of that. Here's the original (complete) problem: Weldon Corporation’s fiscal year ends December 31. The following is a list of transactions involving receivables that occurred during 2018: Mar. 17 Accounts receivable of $1,700 were written off as uncollectible. The company uses the allowance method. 30 Loaned an officer of the company $20,000 and received a note requiring principal and interest at 7% to be paid on March 30, 2019. May 30 Discounted the $20,000 note at a local bank. The bank’s discount rate is 8%. The note was discounted without recourse and the sale criteria are met. June 30 Sold merchandise to the Blankenship Company for $12,000. Terms of the sale are 2/10, n/30. Weldon uses the gross method to account for cash discounts. July 8 The Blankenship Company paid its account in…
The following information is related to December 31, 2024 balances. • Accounts receivable . Allowance for doubtful accounts (credit) . Cash realizable value $1430000 (103000) 1327000 During 2025 sales on account were $390000 and collections on account were $217000. The company wrote off $21100 in uncollectible accounts. An analysis of outstanding receivable accounts at year-end indicated that uncollectibles should be estimated at $144000. Bad debt expense for 2025 is: O $62100. O $144000. O $41000. O $19900
answer in text form please (without image), Note: .Every entry should have narration please
Colorado Rocky Cookie Company offers credit terms to its customers. At the end of 2024, accounts receivable totaled $700,000. The allowance method is used to account for uncollectible accounts. The allowance for uncollectible accounts had a credit balance of $47,000 at the beginning of 2024 and $28,500 in receivables were written off during the year as uncollectible. Also, $2,700 in cash was received in December from a customer whose account previously had been written off. The company estimates bad debts by applying a percentage of 15% to accounts receivable at the end of the year. Required: Prepare journal entries to record the write-off of receivables, the collection of $2,700 for previously written off receivables, and the year-end adjusting entry for bad debt expense. How would accounts receivable be shown in the 2024 year-end balance sheet?
The following information is related to December 31, 2024 balances. • Accounts receivable Allowance for doubtful accounts (credit) $1,400,000 (120,000) 1,280,000 Cash realizable value During 2025, sales on account were $390,000 and collections on account were $230,000. The company wrote off $22,000 in uncollectible accounts. An analysis of outstanding receivable accounts at year-end indicated that uncollectibles should be estimated at $144,000. Bad debt expense for 2025 is A) $46,000. B) $24,000. C) $2,000. OD) $144,000.

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