Rivers Company had $2,400 of supplies on hand on January 1. During the year, the company purchased $3,900 of supplies, and on December 31, determined that only $800 of supplies were still on hand. The adjusting entry for Rivers Company on December 31 will Include a. Debit Supplies $3,900 b. Credit Supplies Expense $5,500 c. Debit Supplies Expense $5,500 d. Debit Supplies Expense $2,300

Rivers Company had $2,400 of supplies on hand on January 1. During the year, the company purchased $3,900 of supplies, and on December 31, determined that only $800 of supplies were still on hand. The adjusting entry for Rivers Company on December 31 will Include a. Debit Supplies $3,900 b. Credit Supplies Expense $5,500 c. Debit Supplies Expense $5,500 d. Debit Supplies Expense $2,300

Financial Accounting

15th Edition

ISBN:9781337272124

Author:Carl Warren, James M. Reeve, Jonathan Duchac

Publisher:Carl Warren, James M. Reeve, Jonathan Duchac

Chapter9: Receivables

Section: Chapter Questions

Problem 17E: Casebolt Company wrote off the following accounts receivable as uncollectible for the first year of...

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Casebolt Company wrote off the following accounts receivable as uncollectible for the first year of its operations ending December 31: a. Journalize the write-offs under the direct write-off method. b. Journalize the write-offs under the allowance method. Also, journalize the adjusting entry for uncollectible accounts. The company recorded 5,250,000 of credit sales during the year. Based on past history and industry averages, % of credit sales are expected to be uncollectible. c. How much higher (lower) would Casebolt Companys net income have been under the direct write-off method than under the allowance method?
The following accounts appear in the ledger of Celso and Company as of June 30, the end of this fiscal year. The data needed for the adjustments on June 30 are as follows: ab.Merchandise inventory, June 30, 54,600. c.Insurance expired for the year, 475. d.Depreciation for the year, 4,380. e.Accrued wages on June 30, 1,492. f.Supplies on hand at the end of the year, 100. Required 1. Prepare a work sheet for the fiscal year ended June 30. Ignore this step if using CLGL. 2. Prepare an income statement. 3. Prepare a statement of owners equity. No additional investments were made during the year. 4. Prepare a balance sheet. 5. Journalize the adjusting entries. 6. Journalize the closing entries. 7. Journalize the reversing entry as of July 1, for the wages that were accrued in the June adjusting entry. Check Figure Net income, 14,066
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