Horngren's Financial & Managerial Accounting (5th Edition)
5th Edition
ISBN: 9780133866292
Author: Tracie L. Miller-Nobles, Brenda L. Mattison, Ella Mae Matsumura
Publisher: PEARSON
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Textbook Question
Chapter 8, Problem 8QC
Using the data in the preceding question, what will the income statement for the year ended December 31 report for this situation?
a. Nothing because the business has not received the cash yet
b. Note receivable of $8,400
c. Interest revenue of $700
d. Both b and c
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After the accounts are adjusted and closed at the end of the fiscal year, Accounts Receivable has a balance of $622,324 and Allowance for Doubtful Accounts has a balance of $20,510. What is the net realizable value of the accounts receivable?
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d.$622,324
45) Based on the following information from a business's financial statements, what
amount of accounts receivable change was attributed to sales
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a. $37.00
b. $40.00
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d. $48.00
Year 1 ($)
4,440
500
Year 2 ($)
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Businesses using the allowance method for the recognition of uncollectible accounts expense commonly experience four accounting
events:
a. Recognition of uncollectible accounts expense through a year-end adjusting entry.
b. Write-off of uncollectible accounts.
c. Recognition of revenue on account.
d. Collection of cash from accounts receivable.
Required
Show the effect of each event on the elements of the financial statements, using a horizontal statements model like the one shown
here. Use the following coding scheme to record your answers: increase is +, decrease is –, leave the cell blank for not affected. In the
cash flow column, indicate whether the item is an operating activity (OA), investing activity (IA), or financing activity (FA). The first
transaction is entered as an example.
Effect of Events on the Financial Statements
Balance Sheet
Income Statement
Stockholders'
Net
Event
Assets
Liabilities
Revenue
Expense
Cash Flow
Equity
Income
1.
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2.
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Chapter 8 Solutions
Horngren's Financial & Managerial Accounting (5th Edition)
Ch. 8 - Prob. 1QCCh. 8 - When recording credit card or debit card sales...Ch. 8 - Which of the following is a limitation of the...Ch. 8 - The entry to record a write-off of an...Ch. 8 - Brickman Corporation uses the allowance method to...Ch. 8 - Brickmans ending balance of Accounts Receivable is...Ch. 8 - At December 31 year-end, Crain Corporation has an...Ch. 8 - Using the data in the preceding question, what...Ch. 8 - At year-end, Schultz, Inc. has cash of 11,600,...Ch. 8 - Using the data in the preceding question, assume...
Ch. 8 - What is the difference between accounts receivable...Ch. 8 - Prob. 2RQCh. 8 - Prob. 3RQCh. 8 - When dealing with receivables, give an example of...Ch. 8 - What type of account must the sum of all...Ch. 8 - Prob. 6RQCh. 8 - What are two common methods used when accepting...Ch. 8 - What occurs when a business factors its...Ch. 8 - What occurs when a business pledges its...Ch. 8 - Prob. 10RQCh. 8 - Prob. 11RQCh. 8 - Prob. 12RQCh. 8 - Prob. 13RQCh. 8 - When using the allowance method, how are accounts...Ch. 8 - Prob. 15RQCh. 8 - Prob. 16RQCh. 8 - How does the percent- of-sales method compute bad...Ch. 8 - How do the percent-of-receivables and aging-of-...Ch. 8 - What is the difference between the...Ch. 8 - Prob. 20RQCh. 8 - Prob. 21RQCh. 8 - Prob. 22RQCh. 8 - Prob. 23RQCh. 8 - Prob. 24RQCh. 8 - Prob. 8.1SECh. 8 - Prob. 8.2SECh. 8 - Applying the direct write-off method to account...Ch. 8 - Collecting a receivable previously written...Ch. 8 - Prob. 8.5SECh. 8 - Applying the allowance method (percent-of-sales)...Ch. 8 - Applying the allowance method...Ch. 8 - Prob. 8.8SECh. 8 - Prob. 8.9SECh. 8 - Accounting for a note receivable On June 6,...Ch. 8 - Prob. 8.11SECh. 8 - Recording a dishonored note receivable Midway...Ch. 8 - Prob. 8.13SECh. 8 - Defining common receivables terms Match the terms...Ch. 8 - Prob. 8.15ECh. 8 - Journalizing transactions using the direct...Ch. 8 - Use the following information to answer Exercises...Ch. 8 - Use the following information to answer Exercises...Ch. 8 - Accounting for uncollectible accounts using the...Ch. 8 - Journalizing transactions using the direct...Ch. 8 - Journalizing credit card sales, note receivable...Ch. 8 - Journalizing note receivable transactions...Ch. 8 - Journalizing note receivable transactions The...Ch. 8 - Journalizing note receivable transactions Like New...Ch. 8 - Evaluating ratio data Chippewa Carpets reported...Ch. 8 - Prob. 8.26ECh. 8 - Prob. 8.27APCh. 8 - Accounting for uncollectible accounts using the...Ch. 8 - Accounting for uncollectible accounts using the...Ch. 8 - Accounting for uncollectible accounts...Ch. 8 - Accounting for notes receivable and accruing...Ch. 8 - Accounting for notes receivable, dishonored notes,...Ch. 8 - Using ratio data to evaluate a companys financial...Ch. 8 - Prob. 8.34BPCh. 8 - Prob. 8.35BPCh. 8 - Accounting for uncollectible accounts using the...Ch. 8 - Accounting for uncollectible accounts...Ch. 8 - Accounting for notes receivable and accruing...Ch. 8 - Accounting for notes receivable, dishonored notes,...Ch. 8 - Prob. 8.40BPCh. 8 - Prob. 8.41CPCh. 8 - Prob. 8.42PSCh. 8 - Prob. 8.1CTDCCh. 8 - Paulines Pottery has always used the direct...Ch. 8 - Prob. 8.1CTFCCh. 8 - Use Starbucks Corporations Fiscal 2013 Annual...
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