Which of the following is not negotiable? A. “I bind myself to pay to the order of P, PhP30,000”. (Sgd. M) B. “Good to P or order, PhP30,000”. (Sgd. M) C. “I promise to pay or order Php30,000 on June 30”. (Sgd. M) D. “I promise to pay P or order Php5,000”. (Sgd. M)

Which of the following is not negotiable? A. “I bind myself to pay to the order of P, PhP30,000”. (Sgd. M) B. “Good to P or order, PhP30,000”. (Sgd. M) C. “I promise to pay or order Php30,000 on June 30”. (Sgd. M) D. “I promise to pay P or order Php5,000”. (Sgd. M)

FINANCIAL ACCOUNTING

10th Edition

ISBN:9781259964947

Author:Libby

Publisher:Libby

Chapter1: Financial Statements And Business Decisions

Section: Chapter Questions

Problem 1Q

See similar textbooks

Similar questions

Gara Co. reported the following liabilities at December 31, 20x1: Accounts payable-trade 750,000 Short-term borrowings 400,000 Bank loan, current portion ₱100,000 3,500,000 Other bank loan, matures June 30, 20x2 1,000,000 The bank loan of ₱3,500,000 was in violation of the loan agreement. The creditor had not waived the rights for the loan. What amount should Gara report as current liabilities at December 31, 20x1?
А. Place an "X" in the blank for the following items which you believe should be included in the cost of a piece of equipment? 1. Purchase price 2. Sales tax 3. Electricity to run the equipment 4. Installation cost 5. Insurance while being transported 6. Insurance while in use 7. Freight charges В. Your company signed a contract to construct a new building so you borrowed $600,000 on February 1, 2021 and issued a three-year, 6% note which pays interest annually. You spent $200,000 for construction on April 1, 2021 and an additional $300,000 on November 1. How much interest should be capitalized in 2021? Please show your calculations. С. Your company spent $30,000 for repairs and modifications to significantly increase the life of your equipment. What entry should be made for the $30,000? D. You bought equipment on January 1, 2018, for $62,000. The equipment has an estimated life of 8 years and an estimated salvage value of $6,000. Your company uses the straight- line method of…
Could you please help me with this question??? It is really urgent !!! PLEASE!!!! On August 4th Ridge Hill Company sells $700,000 of its accounts receivable to the Cheesecake Factoring Company (CFC). The contractual rights have been transferred to CFC and the company will receive the payments when collected by Ridge Hill. That is, Ridge Hill will still administer the collection of accounts receivable and upon receiving the collection, the company will make payment to CFC. Assume that this transaction meets all three criteria of FASB ASC Topic 860. Below are the relevant information regarding the factoring: • The fee charged for factoring service: $14,000 • Balance retained by CFC: $10,000 Required: 1. Prepare the journal entry to record the transaction assuming that the factoring agreement was without recourse. 2. Prepare the journal entry or entries to record the transaction assuming that the factoring agreement was with recourse. Ridge Hill estimates the recourse obligation at…
On 13 November 2020, Africa Traders received an electronic funds transfer payment of R7 000 from SA Investors, for commission income. Africa Traders is not a registered VAT vendor. Which account will be debited, and which account will be credited in the general ledger of Africa Traders?
Mr Gugu and Lethu are members of Gugulethu CC. The bookkeeper attempted to prepare the financial statements of the entity however, he lacked the technical knowhow of the task. The following information is extracted from the workings of the bookkeeper and relates to the close cooperation on 28 February 2021, the end of the financial year: R Vehicles 780 000 Land and buildings 1 210 000 Long-term loan 520 000 Inventory (1 March 2020) 52 000 Trade receivables control 150 000 Trade payables control 84 790 Purchases 761 000 Purchases returns 5 100 Settlement discount granted 2 800 Freight on sales 12 300 Interest on long-term loan 43 875 Sales returns 2 300 Insurance expense 48 000 Settlement discount received 850 Allowance for credit…
Question 3. Assume that ABC Islamic bank provides ‏Murabahah financing to ‏Hanif for the purpose of house purchase, amounting to RM500,000 at a ‏constant rate of return 9% for a period of 5 years. At the end of the contract, Hanif owes ABC bank amounting to RM50,000. As part of the normal requirements, the customers will be charged a penalty fee 4% per annum for any outstanding amount due at the end of the contract and amount collected is normally disbursed as charity. Required: Show the extract of the balance sheet and income statement of ABC bank from the beginning till the end of the contract, showing the amount of net receivable and Murabahah income. Prepare journal entries for all the above transactions in the book of ABC bank, including the treatment for penalty fee.
a. 2,000,000b. 1,000,000c. No provision is to be recognized but a disclosure of Php2,000,000 is appropriated. No provision and no disclosure to be made
ABC Company decides to sell a part its portfolio of trade receivables to the factoring company. The following relates to the factored receivables: Carrying amount of receivables ₱4,000,000 Fair value of the receivables 4,040,000 Cash received from factoring 3,830,000 The related contract stipulates that: Payment for the receivables ₱3,800,000 Payment for the Guarantee 30,000 According to the guarantee, ABC Company agrees to refund the credit losses from the portfolio of receivables up to ₱450,000 to the factoring company. The necessary journal entry or entities if receivables to record the factoring would include a. Debit to Cash ₱3,800,000 b. Debit to Loss on sale of receivable, ₱200,000 c. Credit to Liability, ₱480,000 d. Debit to Receivable from Factor, ₱25,000
If in the contract of sale, it is indicated that the car which normally costs P1Million pesos was bought for P20,000.00, the contract is rendered? A. Valid B. Invalid C. Unenforceable D. Obligatory
20. (Use the PFRS for SMEs) On 1 January 20X1 an entity acquired goods for sale in the ordinary course of business for ₱100,000, including ₱5,000 refundable purchase taxes. The supplier usually sells goods on 30 days’ interest-free credit. However, as a special promotion, the purchase agreement for these goods provided for payment to be made in full on 31 December 20X1. In acquiring the goods transport charges of ₱2,000 were incurred: these were due on 1 January 20X1. An appropriate discount rate is 10 per cent per year. The entity shall measure the cost of inventories at: a. ₱102,000 b. ₱97,000 c. ₱88,364 d. ₱107,000
On January 1, 20x9, COMPANY B enters into a non-cancellable contract with Y COMPANY for the sale of equipment for P2,100,000. The equipment will be delivered to Y COMPANY on April 1, 20x9. The contract requires Y COMPANY to pay P2,100,000 in advance on February 1, 20x9. Y COMPANY however, made payment on March 1, 20x9. How much is the receivable to be recorded by COMPANY B on March 1, 20x9?
Please answert it in good accounting form. Thankyou Problem 5SHAWARMA Inc. sells franchises to independent operators. The contractwith the franchise includes the following provisions: 1. The franchise is charged an initial franchise fee of P120,000. Of this amount, P20,000 is payable when the agreement is signed and a P20,000, zero-interest bearing note, payable at the end of 5 subsequent years.2. All of the initial franchise fee collected by the company is to be refunded and the remaining obligation cancelled if, for any reason, the franchise becomes unprofitable.3. In return, for the initial franchise fee, the franchisor agrees to (a) assist the franchisee in selecting the location for the business, (b) negotiate the lease of the land, (c) obtain financing and assist with building design, (d) supervise construction, establish accounting and tax records, and (f) provide expert advice over a 5-year period relating to such matters as employee and management training, quality, control…