merlan is currently preparing accounts for the year ended 31 December 2021, but his sales book was destroyed in a fire. Tamerlan has a separate of list of the moneys owing by customers at 31 December 2021, which amounted to £39,000 in total. Generally, Tamerlan allows his customers 30 days credit. Tamerlan estimated his sales for the year ended 31 December 2021 at: a)  £14,235,000 b)  £1,170,000 c)  £474,500

Q: ogi’s Construction has a $100,000 line of credit at the Jellystone Bank. The annual percentage rate…

A: Calculation of current interest rate = 6% + 3% = 9%

Q: SimpleFlight Inc has a policy of keeping accounts receivables at 47 days of sales. In 2019 they…

A: Days of sales outstanding or days of sales outstanding is a ratio that helps analyze the average…

Q: Ron Prentice bought goods from Shelly Katz. On Sept. 14, Shelly gave Ron a time extension on his…

A: The note is discounted from the bank to receive early payment from the note issued to customer. The…

Q: Darcy holds a 200 day note from Brenda. This note was given by Brenda to Darcy since the former ow…

A:

Q: Ron Prentice bought goods from Shelly Katz. On April 16, Shelly gave Ron a time extension on his…

A: Given,Principal  (P) = $3,025Rate of interest (R) = 9%Time (T) = 160 / 360 = 0.4305I = P* R *…

Q: Give the required journal entries for the two events in December. Show how the amounts related to…

A:

Q: Shiing Shen Chern's credit card company determines his minimum monthly payment by adding all new…

A: Credit Card: A credit card is a short-term bank loan, on which the borrower has to pay interest,…

Q: Arnold Brown has a Visa Card with an annual percentage rate of 19.2​%. The unpaid balance for his…

A: Finance Charge: It refers to the amount of interest you'll pay on a loan, and it's most commonly…

Q: Kim received a credit card statement that has a new balance of $245.98 and a minimum payment of…

A: The interest on the credit card refers to the amount that the issuing company charges on the use of…

Q: James Howard owns Howard Auto Sales. He periodically borrows money from Bay City State Bank and…

A: Interest on note = Notes payable x interest payable x no. of days/365 = 34,560*10%*45/360 = $432

Q: Arnold Brown has a Visa Card with an annual percentage rate of 16.8%. The unpaid balance for his…

A: Annual percentage rate = 16.8%  Unpaid balance of billing cycle = $1,406.25  Cost of printer…

Q: On May 12, Scott Rinse accepted an $9,500, 11%, 90-day note for a time extension of a bill for goods…

A: A note can be defined as money lent by the issuer to the borrower. The note is a type of loan…

Q: 2, Scott Rinse accepted an $4,500, 11%, 90-day note for a time extension of a bill for goods bought…

A: The notes are given interest rate and based on time period and interest the value of the note is…

Q: During the year ended December 31, 2021, Kelly's Camera Shop had sales revenue of $170,000, of which…

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Q: Dave borrowed $1,300 on January 1, 2022. The bank charged him a $5.00 service charge, and interest…

A: When a borrower takes out a loan from a lender, they are required to pay interest on the borrowed…

Q: Mohammed has an overdraft of £200 at the start of January.  At the end of January he is in a net…

A: Closing balance: The amount in an account at the conclusion of a period of time, such as a month or…

Q: Arnold Brown has a Visa Card with an annual percentage rate of 18.0%. The unpaid balance for his…

A: The finance charge is the cost of the unpaid balance. The balance of the credit card is adjusted for…

Q: At June 1, 2022, Whispering Winds Corp. had an Accounts Receivable balance of $19,100. During the…

A: Calculate the accounts receivable balance at June 30, 2022:

Q: Shiing Shen​ Chern's credit card company determines his minimum monthly payment by adding all new…

A: Interest rate = 1% Purchase from credit card = $3,600Outstanding balance at month end = $3,600

Q: ABC Corporation began 2019 with an accounts receivable balance of $56,921. During 2019, ABC had…

A: The account receivables are also known with the name of debtors. These are the values due to a firm…

Q: Roberts has a credit card account at Harry's Hardware, which uses the unpaid-balance metho of…

A: Previous balance = $178.85payments and credits = $74.00new purchases = $98.74periodic rate = 1.5%

Q: On May 12, Scott Rinse accepted an $6,000, 14%, 90-day note for a time extension of a bill for goods…

A: Calculation of Discounted Period Between May 12 and June 12, 31 days passed i.e. 90-31 days = 59…

Q: Ron Prentice bought goods from Shelly Katz. On Feb. 26, Shelly gave Ron a time extension on his bill…

A: No. of Days from Feb 26 to May 10 = 74Days Interest on Note at Maturity = 4,400 x 0.06 x 165/360…

Q: What would Jerrod's finance charges be for the month?

A: A credit card is a type of financial instrument that permits users to borrow money for purchases or…

Q: Malachi Department Store starts its business on May 1, 2022 and completes the following transactions…

A: Credit Card Sales are the sales when the customer pays through credit cards and the money transfer…

Q: Assume that Louisa carried an average balance of $1,000 from her credit card purchases over the past…

A: Interest charges are the amount of cost and charges paid for the amount borrowed either for personal…

Q: BamBam runs a small business. At the start of June she has £11737 in the bank. Revenue Bambam allows…

A: Cash Budget :— This budget is prepared to estimate the cash collection and payment during the…

Q: Ron Prentice bought goods from Shelly Katz. On Feb. 26, Shelly gave Ron a time e lay note. On May…

A: Notes are financial instruments in which interest is paid on maturity along with principal amount.

Q: Chen opened an RRSP deposit account on December​ 1, 2008, with a deposit of ​$2000. He added ​$2000…

A: The future value can be defined as the value of the current asset at a future date assuming the rate…

Q: Mr. Smith did not pay his full credit card balance on June 5th, the due date each month for payment.…

A: Interest charge refers to an amount that is being charged on the balance amount over the period that…

Q: Flip opened a credit card account. During the first month he purchased new cloths that totaled…

A: Purchase made on credit card: $1,505.57.Monthly decrease in balance: 1.9%

Q: Arnold Brown has a Visa Card with an annual percentage rate of 19.2%. The unpaid balance for his…

A: Monthly Interest Rate=Annual Interest RateNo. of periods in a year=19.2%12=1.6% a) Finance…

Q: Joseph Simpson, a student at State College, has an average balance of $250 on his retail charge…

A: Monthly interest refers to the amount of money charged or earned on a financial account, such as a…

Q: Mr. VanJergen's credit card uses the average daily balance method for calculating interest. His…

A: For the purpose of calculating the finance charge on the credit card, there are different…

Financial Transaction Analysis

The transaction analysis is done with the help of the accounting equation. The basic accounting equation is alternatively known as the balance sheet equation is based on the double-entry system which says that for each transaction happening in a business, at least two accounts should be affected I.e. both the debit side and the credit side should be equal. The Accounting Equation is