Sunnyside Solar Consultants provided $196,000 of consulting services to Delton Developments on April 14, 2020, on account. Use the PST rates in Exhibit 10.6. Required: Journalize Sunnyside’s April 14 transaction including applicable PST and GST/HST assuming it is located in: Nova Scotia British Columbia Ontario Alberta
Q: On May 1, 2023, Pronghorn Inc. entered into a contract to deliver one of its specialty mowers to…
A: Important points to consider from the given data - Contract is entered on 1st May, 2023No cash is…
Q: On March 1, 2021 Soccer, Incorporated enters into a contract with a major U.S. sports distributor to…
A: Transaction price is the price paid by the buyer to selller of goods and services in an arm's lenght…
Q: Arctic Cat sold Seneca Motor Sports a shipment of snowmobiles. The snowmobiles were delivered on…
A: Amount of notes receivable: $44,000Rate of interest: 8%Journal entries needs to be prepared.
Q: Derby Transportation Inc. designs and builds trains for rail networks across Canada. The company,…
A: As per the given information: Contract value - $10,360,000Design component of the contract -…
Q: Question: On January 1, 2019, Loud Company enters into a 2-year contract with a customer for an…
A: 1.Calculate the amount of transaction price.
Q: On 1st January 2018, Global Drilling Ltd entered into a GHS22million contract for the construction…
A: Calculate the weighted average rate of interest of accumulated expenditures for 2018: The weighted…
Q: RWP8-1 (Algo) Great Adventures Continuing Case (GL) At the end of 2025, the following information is…
A: A journal entry is a record of a financial transaction in an accounting system. It's the first step…
Q: On May 1, 2020, Splish Company enters into a contract to transfer a product to Eric Company on…
A: The journal entries are prepared to keep the record of day to day transactions of the business.
Q: AAA Co. assigns some of its patents to other enterprises under a variety of licensing agreements. In…
A: given that, received royalties remittance of P200000 we know that, income received in advance for…
Q: special orders for machinery constructed to the customer specifications. Information are as follows:…
A: Solution: current liability for advances from customers on December 31, 2019 = Customer Advances -…
Q: On May 1, 2023, White Inc. entered into a contract to deliver one of its specialty mowers to Blossom…
A: As per revenue recognition concept, revenue should only be recognised when these are earned. Receipt…
Q: 2021: * SPC provides monthly services beginning October 1, 2021 for $2,000 per month. You can assume…
A: "Since you have posted a question with multiple sub parts, we will solve first three sub parts for…
Q: Required information Use the following information for the Exercises below. (Algo) [The following…
A: The note payable are reported as liabilities in the balance sheet.. Accumulated interest is the…
Q: On 1 December 2019 Airline de Afrique sold ten return airline tickets for R12 500 each to passengers…
A: Sales revenue: It is the revenue earned by a business on selling the goods or providing services to…
Q: Duke Ltd has a contract with a customer ongoing at the end of the financial year, 31 December 2020.…
A: The percentage of completion method reports revenues and expenses in terms of the work completed to…
Q: 1, 2025. The cost of the 3D printer system is $3,840. Carla Vista imputes a 6% interest rate on this…
A:
Q: VICWT Uncies Current Attempt in Progress On May 1, 2025, Jackson Inc. entered into a contract to…
A: In Accounts we record only monetary transactions or events that have a monetary impact. The event of…
Q: On May 1, 2020, Indigo Inc. entered into a contract to deliver one of its specialty mowers to…
A: Journal entry record the financial transactions. In case money is received in advance, it is…
Q: On October 1, 2021, Richardson Inc. entered into a contract to deliver one of its specialty…
A: ASC 606 is a revenue recognition standard that affects all business that enter into contracts with…
Q: AAA Co. assigns some of its patents to other enterprises under a variety of licensing agreements. In…
A: Following is the answer to the given questin
Q: ved $500 cash from cust nce, for magazine subscr
A: Cash is recieved in advance in 2021 for magazine subscription to be delivered in 2022. The cash is…
Q: 49er Company issues a $67,000 note in exchange for a trademark on June 1, 2020. The note is due on…
A: Journal is first book where financial transaction is entered in books considered double-entry system…
Q: On 1 January 2018, Global Drilling Ltd entered into a GHS22million contract for the construction of…
A: Calculate the weighted average rate of interest of accumulated expenditures for 2018: The weighted…
Q: On August 31, 2022, Firewall Co. licensed its $9,600 application that will protect a customer's…
A: Performance obligation is the mandatory actionable on the part of service provider for each service…
Q: Prepare the journal entry on May 31, 2025, for Jackson. (Cre entered. Do not indent manually. If no…
A: These are the accounting transactions that are having a monetary impact on the financial statement…
Q: Sheridan Crossburgers Inc. charges an initial franchise fee of $75,000. Upon the signing of the…
A: A journal entry is a record of a financial transaction in a company's accounting journal. It's the…
Q: Circuit Fitness (CF) sells customized exercise equipment to fitness centers. On September 1st,…
A: The question is related to Analysis of Business Transaction. In the given question it is mentioned…
Q: Otto Co. borrows money on April 30, 2019, by promising to make four payments of $25,000 each on…
A: Time value of money is a financial concept which is used to analyze various investments and…
Q: Pina Colada Corp. a public company using IFRS, signed a long-term non-cancellable purchase…
A: Since the value of raw materials is less than purchase costs. So, there is loss on purchase…
Q: Enter the following information into a manual journal with credits/debits:
A: The accrual basis of accounting is the method by which revenues and expenses are recognized when…
Q: On May 1, 2020, Nash Inc. entered into a contract to deliver one of its specialty mowers to Kickapoo…
A: Date Particulars Debit Credit May 1, 2020 No entry May 15, 2020 Cash $889 Unearned…
Q: On November 1, 2024, Wildhorse Farm entered into a contract to buy a $159000 harvester from John…
A: Journal Entry :— It is an act of recording transactions in books of account when transaction…
Q: Azzan Al Badi Trading is a supplier of electrical products to industrial, commercial and residential…
A: Realization concept of revenue recognition says that revenue should only be recognized when it is…
Q: AAA Co. assigns some of its patents to other enterprises under a variety of licensing agreements. In…
A: The adjustments entries are to be made for the revenue and expense earned and Incurred during period…
Q: On January 1, 2019, the Philippines Inc. issued P3,000,000, 12% promissory note for an equipment…
A: Value of Equipment = Present value of principal + Present value of interest payments where, Present…
Q: A Company operates and franchises coffee shops around the world. On January 1, 2021, it entered into…
A: "Since you have asked mutiple questions, the first question was answered for you. If you want the…
Q: Record the closing entry for revenue accounts.
A: Accounts to be closed : Sales revenue = $ 20000 Interest expense = $ 805 Insurance expense / Lawsuit…
Q: [The following information applies to the questions displayed below.] Greener Pastures Corporation…
A: Notes Payable is a Promissory Note issued by the borrower to the lender. It is a Written agreement…
Q: Company A provides a bundled service offering to Customer B. It charges Customer B $800,000 for…
A: There was a five step model framework to recognize revenue from contracts 1. Identify the contract…
Q: On June 1, 2019, Madison Inc. entered into a contract to deliver one of its specialty machinery to…
A: Journal Entry: Journal entry is the act of keeping records of transactions in an accounting journal.…
Q: k ces The following selected transactions relate to contingencies of Classical Tool Makers,…
A: Contingencies refer to potential future events or conditions with uncertain outcomes that may impact…
Sunnyside Solar Consultants provided $196,000 of consulting services to Delton Developments on April 14, 2020, on account. Use the PST rates in Exhibit 10.6.
Required:
Journalize Sunnyside’s April 14 transaction including applicable PST and GST/HST assuming it is located in:
- Nova Scotia
- British Columbia
- Ontario
- Alberta
Step by step
Solved in 2 steps
- Gravity Services Ltd (GS) is a company set up in Hong Kong providing the region with cloud computingservices like servers, storage, networking and software, to help customers to meet their business challenges. During the year ended 30 September 2020, it enters into two contracts.(i) Data Tab Ltd (DT) enters into a contract with GS for the use of an identified server for three years.GS delivers and installs the server at DT’s premises in accordance with DT’s instructions, and provides repair and maintenance services for the server, as needed, throughout the period of use. GSsubstitutes the server only in the case of malfunction. DT can decide which data to be stored and howto integrate the server to its operation. DT can change its decisions on how to operate the serversthroughout the period of use. (b) list all possible indicators for lease and determine the lease classification from the perspective of thelessor of contract (ii)On January 1, 2019, AAA insurance co. entered into reinsurance contract with CCC Co. for a premium of P2,000. Commission expense incurred on the reinsurance contract issued is 10%. How much is the amount due from ceding company (book of reinsurer)? How much is the amount of commission income recognized by cedant?Screen Co. assigns some of its patents to other enterprises under a variety of licensing agreements . In some instances, advance royalties are received when the agreements are signed, and in others, royalties are remitted within sixty days after each license year-end. The following data are included in Screen Co.'s December 31 balance sheet : 2019 2020 Royalties receivable Unearned royalties 100,000 70,000 95,000 50,000 During 2020 Screen Co. received royalties' remittances of P200,000 . How much should Screen Co. report as royalty income in its income statement for the year ended December 31, 2020?
- On May 1. 2020, Indigo Inc entered into a contract to deliver one of its specialty mowers to Kickapoo Landscaping Co. The contract requires Kickapoo to pay the contract price of $826 in advance on May 15, 2020. Kickapoo pays Indigo on May 15, 2020, and Indigo delivers the mower (with cost of $511) on May 31, 2020. (a) Prepare the journal entry on May 1, 2020, for Indigo. (Credit account titles are automatically indented when the amount is entered. Do not indent manually. If no entry is required, select "No entry" for the account titles and enter O for the amounts.) Date Account Titles and Explanation Debit Credit May 1, No Entry 2020 (b) Prepare the journal entry on May 15, 2020, for Indigo. (Credit account titles are automatically indented when the amount is entered. Do not indent manually. If no entry is required, select "No entry" for the account titles and enter O for the amounts.) Date Account Titles and Explanation May 15. Debit Credit Cash 826 2020 un (C) Prepare the journal…Precision Castparts, a manufacturer of processed engine parts in the automotive and airline industries, borrows $40.4 million cash on October 1, 2024, to provide working capital for anticipated expansion. Precision signs a one-year, 9% promissory note to Midwest Bank under a prearranged short-term line of credit. Interest on the note is payable at maturity. Each company has a December 31 year-end. Required: 1. Prepare the journal entries on October 1, 2024, to record (a) the notes payable for Precision Castparts and (b) the notes receivable for Midwest Bank. 2. Record the adjusting entry on December 31, 2024, for (a) Precision Castparts and (b) Midwest Bank. 3. Prepare the journal entries on September 30, 2025, to record payment of (a) the notes payable for Precision Castparts and (b) the notes receivable for Midwest Bank. Complete this question by entering your answers in the tabs below. Required 1 Required 2 Required 3 Prepare the journal entries on October 1, 2024, to record (a) the…Please list all of the journal entries for 2022 the OHIO Contract. Your company name is PP. See below information: Ohio Contract On September 7th of the current year (2022), PP signed a contract with Ohio Contract, a large city in the northeast. PP will provide Ohio with 2,470 scooters for $855 each. Each of the scooters is included in a service agreement, whereby PP will provide all maintenance on the scooters for 3 years. In addition, it will provide labor at no charge for these repairs. At the time of the repair, PP will bill Ohio for the parts needed to accomplish the repair. Ohio paid WTG on September 7th of the current year. PP will deliver 665 scooters on October 1 of the current year, 875 scooters on January 1 of next year, and 930 scooters on April 1 of the next year. Because of the size of Ohio, and its potential to buy many more scooters, PP offers them a volume discount, based on how many scooters they purchase between September 7th of the current year and December 31st of…
- ABC SAOG has entered a contract to supply a machinery on 1st December 2019 for OMR 1000,000 along with maintenance service for a period of 2 years with no additional charge. The payment terms were as follows: OMR 1000,000 if paid by 31st December 2019; OMR 1020,000 if paid by 31st January 2020; OMR 1040,000 if paid by 29th February 2020. It is highly probable that the customer will make payment in the month of January 2020. The stand-alone selling price for machinery was OMR 900,000 and the consideration for two years maintenance service is expected to be RO 300,000. What is the amount of obligation for maintenance service for two years? O a. OMR 250,000. Ob.OMR 100,000. Oc. OMR 750,000. O d. OMR 255,000.Contract 1SkinPhD Ltd is a skin product company working with well-known skin product brands to distributetheir products. They are preparing their financial statements for the year ended 30 June 2022.In January 2022, the company bought the rights to a new product range called ‘Beautify’ fromVitaltea Ltd for a once-off fixed fee. No further costs associated with the acquisition of these rightswill be incurred. The company has entered the following contract:Vitaltea Ltd granted SkinPhD Ltd a license to sell the products in their selected stores in Gautengfrom February 2022 onwards. In accordance with the contract, SkinPhD Ltd paid Vitaltea Ltd afixed fee of R1 000 000 for these rights. SkinPhD Ltd is an independent salon with outlets inGauteng.REQUIRED:For the contract above and for the year ended 30 June 2022, describe how Vitaltea Ltd wouldaccount for revenue arising from it in accordance with the requirements of IFRS 15 ‘Revenue fromContracts with Customers’On May 1, 2020, Culver Inc. entered into a contract to deliver one of its specialty mowers to Kickapoo Landscaping Co. The contract requires Kickapoo to pay the contract price of $942 in advance on May 15, 2020. Kickapoo pays Culver on May 15, 2020, and Culver delivers the mower (with cost of $585) on May 31, 2020.(a) Prepare the journal entry on May 1, 2020, for Culver. (Credit account titles are automatically indented when the amount is entered. Do not indent manually. If no entry is required, select "No entry" for the account titles and enter 0 for the amounts.) Date Account Titles and Explanation Debit Credit May 1, 2020 enter an account title to record the transaction on May 1, 2017 enter a debit amount enter a credit amount enter an account title to record the transaction on May 1, 2017 enter a debit amount enter a credit amount (b) Prepare the journal entry on May 15, 2020, for Culver. (Credit account titles are automatically indented when the…
- On June 1, 2023, Cali Company entered into a contract to buy equipment for $15,000 from Belt Supply. The contract required Cali to pay $15,000 in advance on June 1, 2023. The equipment was delivered on July 3, 2023. The journal entry on Bolt's books to record the contract on June 1, 2023 includesGravity Services Ltd (GS) is a company set up in Hong Kong providing the region with cloud computingservices like servers, storage, networking and software, to help customers to meet their business challenges. During the year ended 30 September 2020, it enters into two contracts.(i) Data Tab Ltd (DT) enters into a contract with GS for the use of an identified server for three years.GS delivers and installs the server at DT’s premises in accordance with DT’s instructions, and provides repair and maintenance services for the server, as needed, throughout the period of use. GSsubstitutes the server only in the case of malfunction. DT can decide which data to be stored and howto integrate the server to its operation. DT can change its decisions on how to operate the serversthroughout the period of use (a) advise GS whether the contract (i) falls within HKFRS 16 as a lease.On May 1, 2021 Race Cars Inc. enters into a contract with a major U.S. racing program to design and distribute training equipment. Under the terms of the contract, Race Cars will deliver the training equipment on August 1, 2022. The customer will pay $300,000 to Race Cars, Inc. on May 15, 2021. Interest incurred on similar financing agreements in the industry is $35,000. What is the transaction price Which should Race Cars, Inc. recognize: interest expense or interest income for this transaction?