Practice 6: The following is an analysis of the bills discounted from the books of accounts of a AM Bank as at 31st December 2017 Bills discounted Rebate on bills discounted (1 January 2017) Discount Received Date of bills October 20 November 5 December 5 December 20 Amount RO 1,200,000 1,000,000 600,000 300,000 Term months 2 4 2 3 6,000,000 50,000 150,000 Discounted at % p.a 12 10 12 10 Required: Calculate the rebate on bills discounted for the above bills. •Pass the journal entries and Show the discount and interest and rebate on bills discounted account in the ledger books of bank.

Practice 6: The following is an analysis of the bills discounted from the books of accounts of a AM Bank as at 31st December 2017 Bills discounted Rebate on bills discounted (1 January 2017) Discount Received Date of bills October 20 November 5 December 5 December 20 Amount RO 1,200,000 1,000,000 600,000 300,000 Term months 2 4 2 3 6,000,000 50,000 150,000 Discounted at % p.a 12 10 12 10 Required: Calculate the rebate on bills discounted for the above bills. •Pass the journal entries and Show the discount and interest and rebate on bills discounted account in the ledger books of bank.

Intermediate Accounting: Reporting And Analysis

3rd Edition

ISBN:9781337788281

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

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

Chapter6: Cash And Receivables

Section: Chapter Questions

Problem 15P: Comprehensive Receivables Problem Blackmon Corporations December 31, 2018, balance sheet disclosed...

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Practice 6: The following is an analysis of the bills discounted from the books of accounts of a AM Bank as at 31st December 2017 Bills discounted 6,000,000 50,000 150,000 Rebate on bills discounted (1 January 2017) Discount Received Date of bills Amount RO Term months Discounted at % p.a October 20 1,200,000 12 November 5 1,000,000 4 10 December 5 600,000 2 12 December 20 300,000 10 Required: Calculate the rebate on bills discounted for the above bills. •Pass the journal entries and •Show the discount and interest and rebate on bills discounted account in the ledger books of bank.
Problem 5: The following selected accounts were taken from the trial balance of Romen Company as December 31, 2020: 750,000 150,000 450,000 2,700,000 525,000 3,900,000 30,000 150,000 240,000 900,000 1,800,000 4,460,000 222,000 393,600 150,000 2,787,500 Accounts receivable Installment receivable – 2018 Installment receivable - 2019 Installment receivable – 2020 Beginning inventory Purchases Freight-in Repossessed merchandise @ NRV Repossession loss Cash sales Credit sales Installment sales Deferred gross profit – 2018 Deferred gross profit – 2019 Operating expenses Cost of installment sales Additional information: a. Gross profit rate for 2018 and 2019 installment sales were 30% and 32%, respectively. b. The entry for repossessed goods was: Repossessed Merchandise Repossession loss Installment Receivable – 2018 150,000 240,000 180,000 210,000 c. Merchandise on hand at the end of 2020 (new and repossessed) was 282,000. Installment Received - 2019 Required: Compute for the following : 1.…
35) The books of Blue moon bank as on 31/12/2019 showed the following information: Rebate on bills discounted (1.1.2019) OMR 320,000 Discount received OMR 4,600,000 Bills discounted and purchased OMR 31,547,000 Rebate on bills as on (31.12.2019) OMR 700,084 Calculate the net amount to be entered as interest and discount in Revenue/Income statement
Suppose the face amount of the notevwas adjusted to include nonbearing interest note andc12% is yhr bank's statedvdiscountvrate prepare the journal entry to record the issuance of the nonbearing note by schilling on November 1, 2012
The following information (in millions) was taken from the December 31 financial statements Accounts receivable, gross Allowance for expected credit losses Accounts receivable, net Revenues Total current assets Total current liabilities 13) Calculate the current ratio for 2020 13) 2021 $ 1.102 28 1,074 14,477 3,426 3,120 2020 $ 1.080 26 1,054 13,819 3,102 3,274 2019 $ 1.241 28 1,213 14,917 2,830 4,287
TB Problem 7-170 (Algo) Cordova, Incorporated, reported the following... Cordova, Incorporated, reported the following receivables in its December 31, 2023, year-end balance sheet: Current assets: Accounts receivable, net of $50,000 in allowance for uncollectible accounts Interest receivable Notes receivable Additional information: 1. The notes receivable account consists of two notes, a $100,000 note and a $280,000 note. The $100,000 note is dated October 31, 2023, with principal and interest payable on October 31, 2024. The $280,000 note is dated March 31, 2023, with principal and 8% interest payable on March 31, 2024. 2. During 2024, sales revenue totaled $2,100,000, $1,960,000 cash was collected from customers, and $39,000 in accounts receivable were written off. All sales are made on a credit basis. Bad debt expense is recorded at year-end by adjusting the allowance account to an amount equal to 8% of year-end gross accounts receivable. Required: 1. In addition to sales revenue,…
Reproduced below from Farthington Supply’s accounting records is the accounts receivable subledger along with selected general ledger accounts. General Ledger Accounts Receivable Dec. 31/19 Balance 161,000 7,050 Jan. 4/20 Credit sales in 2020 ???? ???? Collections in 2020 14,500 July 15/20 Dec. 31/20 Balance ???? Allowance for Doubtful Accounts July 15/20 14,250 250 Dec. 31/19 Balance ???? Dec. 31/20 ???? Dec. 31/20 Balance Accounts Receivable Subledger JenStar Company Dec. 31/19 Balance 49,000 Nov. 15/20 ???? 49,000 Jan. 20/20 Dec. 31/20 Balance 106,500 Indigo Developments Dec. 31/19 Balance -0- Mar. 1/20 17,500 17,500 Mar. 20/20 Nov. 28/20 40,500 Dec. 2/20 4,250 Dec. 31/20 Balance 44,750 Lomas Industries Dec. 31/19 Balance ???? 7,050 Jan. 4/20 ???? Jan. 7/20 Apr. 21/20 53,500 53,500 May 5/20 Dec. 7/20 23,500 Dec. 31/20 Balance 23,500…
Reproduced below from Farthington Supply’s accounting records is the accounts receivable subledger along with selected general ledger accounts. General Ledger Accounts Receivable Dec. 31/19 Balance 161,000 7,050 Jan. 4/20 Credit sales in 2020 ???? ???? Collections in 2020 14,500 July 15/20 Dec. 31/20 Balance ???? Allowance for Doubtful Accounts July 15/20 14,250 250 Dec. 31/19 Balance ???? Dec. 31/20 ???? Dec. 31/20 Balance Accounts Receivable Subledger JenStar Company Dec. 31/19 Balance 49,000 Nov. 15/20 ???? 49,000 Jan. 20/20 Dec. 31/20 Balance 106,500 Indigo Developments Dec. 31/19 Balance -0- Mar. 1/20 17,500 17,500 Mar. 20/20 Nov. 28/20 40,500 Dec. 2/20 4,250 Dec. 31/20 Balance 44,750 Lomas Industries Dec. 31/19 Balance ???? 7,050 Jan. 4/20 ???? Jan. 7/20 Apr. 21/20 53,500 53,500 May 5/20 Dec. 7/20 23,500 Dec. 31/20 Balance 23,500…
Reproduced below from Farthington Supply’s accounting records is the accounts receivable subledger along with selected general ledger accounts. General Ledger Accounts Receivable Dec. 31/19 Balance 161,000 7,050 Jan. 4/20 Credit sales in 2020 ???? ???? Collections in 2020 14,500 July 15/20 Dec. 31/20 Balance ???? Allowance for Doubtful Accounts July 15/20 14,250 250 Dec. 31/19 Balance ???? Dec. 31/20 ???? Dec. 31/20 Balance Accounts Receivable Subledger JenStar Company Dec. 31/19 Balance 49,000 Nov. 15/20 ???? 49,000 Jan. 20/20 Dec. 31/20 Balance 106,500 Indigo Developments Dec. 31/19 Balance -0- Mar. 1/20 17,500 17,500 Mar. 20/20 Nov. 28/20 40,500 Dec. 2/20 4,250 Dec. 31/20 Balance 44,750 Lomas Industries Dec. 31/19 Balance ???? 7,050 Jan. 4/20 ???? Jan. 7/20 Apr. 21/20 53,500 53,500 May 5/20 Dec. 7/20 23,500 Dec. 31/20 Balance 23,500…
Accounting for notes receivable and accruing interest Carley Realty loaned money and received the following notes during 2018. Note Date Principal Amount Interest rate term April 1 $6000 7% 1 year Sept 30 $12000 6% 6 month Sept 19 $18000 8% 90 days Requirements Determine the maturity date and maturity value of each note. Journalize the entries to establish each Note Receivable and to record collection of principal and interest at maturity. Include a single adjusting entry on December 31, 2018, the fiscal year-end, to record accrued interest revenue on any applicable note. Explanations are not required. Round to the nearest dollar.
Walmart Inc (WMT) has the following excerpts from their financial statements January 31, 2022 January 31, 2021 Net Receivables * (in $ Millions) 8,280 6,516 *Net Receivable = Gross receivable minus Allowance Walmart’s fiscal year “FY22” is defined as the period between February 1, 2021 – January 31, 2022 Gross (Accounts) Receivables, January 31, 2022: $9,265 Million Gross Receivables, January 31, 2021: $7,421 Million Accounts Written-off in FY 22 $221 Million 2% of credit sales is assumed to be uncollectable CALCULATE The ending balance of Allowance for uncollectable accounts as of January 31, 2022 Bad Debt Expense for the fiscal year ending on January 31, 2022. Collections during FY22
9. A flood recently destroyed many of the financial records of Yakal Company. The entity uses an average cost inventory valuation system. Yakal make a physical count at the end of each month in order to determine monthly inventory value. By examining various documents, the following data are gathered: Ending inventory at July 31 Total cost of units available for sale in July Cost of goods sold during July Cost of beginning inventory, July 1 Gross profit on sales for July 60,000 units 1,452,100 1,164,100 4,00 per unit 935,900 July purchases: Units Unit cost Total cost July 5 55,000 53,000 45,000 5.10 280,500 11 5,00 265,000 15 5,50 247,000 16 47,000 5,30 249,000 200,000 Under FIFO-perpetual, cost of goods sold is equal to 1,042,100