On November 1, 2022, a company using accrual accounting, pays $960,000 for a televisionadvertising campaign. Commercials will run evenly over six months beginning onNovember 1, 2022. How much Advertising Expense will be reported on an income statementprepared for the year ended December 31, 2023?OA. $960,000OB. $640,000OC. $320,000OD. $480,000

Step 1:Under accrual accounting expenses and income is recognised in books as and when it incur not…

Answered: On November 1, 2022, a company using…

Survey of Accounting (Accounting I)

8th Edition

ISBN:9781305961883

Author:Carl Warren

Publisher:Carl Warren

Chapter9: Metric-analysis Of Financial Statements

Section: Chapter Questions

Problem 9.2.1P

See similar textbooks

Similar questions

On June 1, Davis Inc. issued an $76,100, 12%, 120-day note payable to Garcia Company Assume that the fiscal year of Garcia ends June 30. Using a 360-day year in your calculations, what is the amount of interest revenue recognized by Garcia in the following year? When required, round your answer to the nearest dollar. a.$1,522 b.$9,132 c.$761 d.$2,308
Space Tech Inc. total annual sales in 2020 were $ 40,000,000 The year ending 12/31/20 account balance for Accounts Receivable (prior to any adjustments) is $ 9,500,000 The year ending 12/31/20 account balance for Allowance for Doubtful Accounts (prior to any adjustme nts) is $ 350,000 The C.F.O. (Chief Finandal Officer) has informe d the accounting departme nt that the year ending 12/31/20 All owance for Doubtful Accounts balance should be 2.5% of annual sales. Required: 1Prepare the necessary year-end adjusting journalentry necessary to reflect the balance expected by the C.F.O. 2 Calculate the Net Accounts Receivable balance (after adjustment).
1. The VAT payable for January is? 2. The VAT payable for February is 3. The VAT payable for March is?
On June 1, Davis Inc. issued an $89,300, 8%, 120-day note payable to Garcia Company. Assume that the fiscal year of Garcia ends June 30. Using a 360-day year, what is the amount of interest revenue recognized by Garcia in the following year? When required, round your answer to the nearest dollar. a. $1,806 Ob. $7,144 O c. $595 Od. $1,191 B
Accounting question: If you are doing a balance sheet with notes payable of 96,600. Assuming 13,600 of the note payable will be paid the following year. Where are how do you enter it. Long Term Liability?
On June 1, Davis Inc. issued an $84,000, 5%, 120-day note payable to Garcia Company. Assume that the fiscal year of Garcia ends June 30. Using the 360-day year, what is the amount of interest revenue (rounded) recognized by Garcia in the following year? a.$4,200 b.$1,600 c.$700 d.$1,050
At December 31, 2019, Park Beauticians had 1,000 gift certificates outstanding, which had been sold to customers during 2019 for $50 each. Park operates on a gross margin of 60%. How much revenue pertaining to the 1,000 outstanding gift certificates should be deferred at December 31, 2019? a. $50,000 b. $30,000 c. $20,000 d. $0 Back Next
Carrot Company sells one and two-year mail order subscriptions for video of the month business. Subscriptions are collected in advance and credited to a revenue account. An analysis of the recorded sales activity revealed the following: 2021 2022 Sales 780,000 950,000 Cancellations 10,000 40,000 Subscription expiration: 2021 130,000 2022 350,000 190,000 2023 290,000 400,000 2024 320,000 How much is the unearned subscription revenue as of December 31, 2022?
On December 1, a company signed a $6,000, 90-day, 5% note payable, with principal plus interest due on March 1 of the following year. What amount of interest expense should be accrued at December 31 on the note? a. $300 c. $100 e. $0 b. $25 d. $75
Question involving Revenue Recognition: How much revenue should be recognized by the following Company, in each of the month's of March, April, May, June, July, August, and September? A company pre-sells services to be performed from May through September, inclusive. If payment is made in full by April 1, a 4% discount is allowed. In March, 245 customers took advantage of the discount and purchased the services for $650 each. In June, 220 customers purchased the services for $785, and in July, 95 purchased it for the same price. For the customers who pay after May 1, services start in the month the customer makes the payment. Please explain for each month. Months $ March April May June July August September
Mutiple choice: A hospitality company is the maker of an $18,000 note to be paid in quarterlyinstallments of $3,000 each. The first payment is to be made on June 30. How willthe note be represented on the balance sheet for May 31? A. $18,000 long-term liabilityB. $3,000 expense, $15,000 long-term liabilityC. $3,000 expense, $9,000 current liability, $6,000 long-term liabilityD. $12,000 current liability, $6,000 long-term liability
4. Clark Co.'s advertising expense account had a balance of P146,000 at Deocember 31, 20x3, before any necessary year-end adjustment relating to the following: Included in the P146,000 is the P15,000 cost of printing catalogs for a sales promotional campaign in January 20x4. • Radio advertisements broadcast during December 20x3 were billed to Clark on January 2, 20x4. Clark paid the P9,000 invoice on January 11, 20x4. What amount should Clark report as advertising expense in its income statement for the year ended December 31, 20x3? a. 122,000 b. 131,000 c. 140,000 d. 155,000 5. In Yew Co.'s 20X5 annual report, Yew described its social awareness expenditures during the year as follows: "The Company contributed P250,000 in cash to youth and educational programs. The Company also gave P140,000 to health and human-service organizations, of which PS0,000 was contributed by employees through payroll deductions. In addition, consistent with the Company's commitment to the environment, the…

SEE MORE QUESTIONS

Recommended textbooks for you

Survey of Accounting (Accounting I)

Accounting

ISBN:

9781305961883

Author:

Carl Warren

Publisher:

Cengage Learning

College Accounting, Chapters 1-27

Accounting

ISBN:

9781337794756

Author:

HEINTZ, James A.

Publisher:

Cengage Learning,

Intermediate Accounting: Reporting And Analysis

Accounting

ISBN:

9781337788281

Author:

James M. Wahlen, Jefferson P. Jones, Donald Pagach

Publisher:

Cengage Learning

Survey of Accounting (Accounting I)

Accounting

ISBN:

9781305961883

Author:

Carl Warren

Publisher:

Cengage Learning

College Accounting, Chapters 1-27

Accounting

ISBN:

9781337794756

Author:

HEINTZ, James A.

Publisher:

Cengage Learning,

Intermediate Accounting: Reporting And Analysis

Accounting

ISBN:

9781337788281

Author:

James M. Wahlen, Jefferson P. Jones, Donald Pagach

Publisher:

Cengage Learning

EBK CONTEMPORARY FINANCIAL MANAGEMENT

Finance

ISBN:

9781337514835

Author:

MOYER

Publisher:

CENGAGE LEARNING - CONSIGNMENT

College Accounting, Chapters 1-27 (New in Account…

Accounting

ISBN:

9781305666160

Author:

James A. Heintz, Robert W. Parry

Publisher:

Cengage Learning

Financial Accounting Intro Concepts Meth/Uses

Finance

ISBN:

9781285595047

Author:

Weil

Publisher:

Cengage

SEE MORE TEXTBOOKS