Pa help po salamat Exercise 5-7-On July 1, 2020, the creditors of Silang Corporation extended until Nov. 1,2020 the terms of payment of amounts due to them and requested that cash ofP1,700,000 be raised that time.The company had an inventory of raw materials on hand at July 1 costingP400,000 and inventory of finished goods costing P324,000. There was no work inprocess that day.Data from past operations indicate that it takes 60 days to convert rawmaterials into finished goods. Combined labor and overhead required for conversionare equal to 80% of the raw material cost, and cash is available for the required laborand overhead payments. The manufacturing cost of the product is equal to 60% ofthe selling price.Last year, the company reported net credit sales of P12,000,000 and had anaverage accounts receivable balance of P1,550,000. After the product ismanufactured, it takes about 15 days before the product is delivered to the customers.There were no outstanding accounts receivable on July 1, 2020 and all cashhad been paid over to creditors to reduce past indebtedness, with the exception of thecash needed to pay labor and overhead for processing the raw materials inventory andthe cash needed for operating expenses up to Nov. 1, 2020 amounting to P200,000.REQUIRED:1. From the information given, does it appear that the creditor's terms can be met byNov. 1, 2020?

Name: Pa help po salamat Exercise 5-7-On July 1, 2020, the creditors of Sila
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Description: Pa help po salamat Exercise 5-7-On July 1, 2020, the creditors of Silang Corporation extended until Nov. 1,2020 the terms of payment of amounts due to them and requested that cash ofP1,700,000 be raised that time.The company had an inventory of raw m

To determine whether the creditor's terms can be met by Nov. 1, 2020, we need to compute the cash…

Answered: REQUIRED: 1. From the information…

Business

Accounting

REQUIRED: 1. From the information given, does it appear that the creditor's terms can be met by Nov. 1, 2020?

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

Chapter3: Review Of A Company's Accounting System

Section: Chapter Questions

Problem 11P: Worksheet Devlin Company has prepared the following partially completed worksheet for the year ended...

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Problem 13: The records of BAGBAGOT AKO Company for the year ended December 31, 2020, showed the entries affecting the company's foxed assets accounts. Equipment: On January 1, 2020, a second hand equipment was acquired by issuing a P100,000 non-interest bearing note payable on December 31, 2021. The company's borrowing rate is 10%. This equipment has an estimated useful life of 10 years and a salvage value of P25,000. Land: On January 1, 2020, a municipality donated a land to the company as an inducement to establish business and create jobs for the unemployed residents. The land was appraised at P48,500. Since no costs were incurred, the company did not record the transaction. Building: On July 1, 2020, the company's contractor completed the construction of a building on the land received as donation. The company paid cash of P50,000 in connection with the construction and issued 100,000 shares of its P5 par value ordinary shares to the construction company. At this date, the shares…
User In February 2024, Cullumber Corp, began the construction of a 10-storey building. The construction is expected to be completed by January 2025. during 2024, the following payments were made: Apr. 1: 1010000 Jun. 1: 1500000 Aug. 1: 840000 Oct. 1: 890000 No asset specific debt was incurred. During 2024, Cullumber's general debt consisted of the following: $1.8 million, 5%, 2-year note, $1.1 million, 4.5%, 2-year note, $0.50 million, 3%, 5-year note. Calculate the avoidable borrowing costs. Note:- Do not provide handwritten solution. Maintain accuracy and quality in your answer. Take care of plagiarism. Answer completely. You will get up vote for sure.
Worksheet Devlin Company has prepared the following partially completed worksheet for the year ended December 31, 2019: The following additional information is available: (a) salaries accrued but unpaid total 250; (b) the 80 heat and light bill for December has not been recorded or paid; (c) depreciation expense totals 810 on the buildings and equipment; (d) interest accrued on the note payable totals 380 (this will be paid when the note is repaid); (e) the company leases a portion of its floor space to KT Daniel Specialty Company for 50 per month, and KT Daniel has not yet paid its December rent; (f) interest accrued on the note receivable totals 80; (g) bad debts expense is 70; and (h) the income tax rate is 30% on current income and is payable in the first quarter of 2017. Required: 1. Complete the worksheet. (Round to the nearest dollar.) 2. Prepare the companys financial statements. 3. Prepare (a) adjusting and (b) closing entries in the general journal.
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47. A company owed P2,000,000 plus P180,000 of accrued interest to Bank of Philippines which was due to be paid on December 31, 2021. During 2021, the company’s business deteriorated because of covid-19 pandemic. On December 31, 2021, the bank agreed to accept an old machine and cancel the entire debt. The machine’s cost was P3,900,000, with accumulated depreciation of P2,210,000, and a fair value of P1,900,000. How much should the company report in its profit or loss as a result of the derecognition of the financial liability?
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Farina Company requires advance payments with special orders for machinery constructed to customer specifications. These advances are nonrefundable Data for the year are: Customer advances 6,800,000 Advances received with orders in 2021 9,000,000 Advances applied to orders shipped in 2021 8,700,000 Advances applicable to orders canceled in 2021 2,600,000 The December 31, 2021 balance sheet should report current liability for advances at? A.) 4,500,000 B.) 4,400,000 C.) 7,100,000 D.) 6,400,000
Lamoura Sdn Bhd is a manufacturing companies that produces corporate merchandise. The company had their headquarters and production plant located in the same premises in Hulu Langat. For the year ended 2020, the following balances was extracted from the books of accounts. General and administrative Marketing cost Interest expense Freehold premises Motor vehicles Machineries. 10% Loan from TY Bank Equity Materials as at 1 September 2019 Crystals Marble Work in progress as at 1 September 2019 Freight charges Factory supervisor salary Labour: Semi-skilled Skilled Indirect Loose materials. Finished goods as at 1 September 2019 Trade receivables and payables Sales Rental revenue Accumulated depreciation: Freehold premises Motor vehicles Machineries Utilities Insurance Hire of moulding machine Cash and bank RM Debit 52,600 3,400 3,550 225,000 78,200 56,200 32,300 25,800 3,800 560 12,800 12,500 26,200 8,500 4,200 4,100 22,800 8,680 18,720 5,500 15,600 621,010 RM Credit 84,000 44,610 26,400…
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