Homework Answers
Purchases = $50,000+$490,000-$75,000 = $465,000
Beginning inventory+Purchases = Cost of goods sold+Ending inventory
$270,000+$465,000 = Cost of goods sold+$290,000
Cost of goods sold = $445,000
Hence, correct option is $445,000
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Pitchfork Company follows the cash basis of accounting, but converts to the accrual basis at year...
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complete please Problem 2-12 Cash versus accrual accounting [LO2-8] Zambrano Wholesale Corporation maintains its records on a cash basis. At the end of each year the company's accountant ob...
complete please
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Hep Save & ERILSUDMIL Exercise 2-18 (Algo) Cash versus accrual accounting (LO2-9) Stanley and Jones Lawn...
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Margaret Moore, M.D., maintains the accounting records of Moore
Clinic on a cash basis. During 2020, Dr. Moore collected $132,258
from her patients and paid $50,809 in expenses. At January 1, 2020,
and December 31, 2020, she had accounts receivable, unearned
service revenue, accrued expenses, and prepaid expenses as follows.
(All long-lived assets are rented.)
January 1, 2020
December 31, 2020
Accounts receivable
$9,283
$17,324
Unearned service revenue
2,638
4,517
Accrued expenses
3,723
1,957
Prepaid expenses
1,905
3,397
Prepare a...
Question 3 AC Corp. maintains its financial records on the cash basis of accounting. AC Corp....
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2. ABC company maintains its records cash basis of accounting during the year and converts them to accrual basis at the end of the year through adjusting entries. Whe preparing the financial statements of ACC for the year ended December 31, 2019 on accrual basis, you discover the following: a. ABC Company sublet a portion of its warehouse for a one-year period for an annual rental payment of $72,000, beginning on August 1, 2019. The tenant, XYZ company paid the...
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Sunland Corporation has used the accrual basis of accounting for several years. A review of the records, however, indicates that some expens and revenues have been handled on a cash basis because of errors made by an inexperienced bookkeeper. Income statements prepared by the bookkeeper reported $28,200 net income for 2019 and $34,100 net income for 2020. Further examination of the records reveals that the following items were handled improperly. 1. Rent was received from a tenant in December 2019....
1.Given the following:
What is accrual-basis expenses?
Select one:
a. $45
b. $63
c. $55
d. $52
e. $37
2.Venice Corp. maintains its accounting records on the cash
basis but restates its financial statements to the accrual method
of accounting. Venice had $120,000 in cash-basis pretax income for
2018. The following information pertains to Venice's operations for
the years ended December 31, 2018 and 2017:
Under the accrual method, what amount of income before taxes should
Venice report on its...
Michelle Walker, M.D., maintains the accounting records of Walker Clinic on a cash basis. During 2020, Dr. Walker collected $152,353 from her patients and paid $52,375 in expenses. At January 1, 2020, and December 31, 2020, she had accounts receivable, unearned service revenue, accrued expenses, and prepaid expenses as follows. (All long-lived assets are rented.) January 1, 2020 December 31, 2020 Accounts receivable $8,595 $16,162 Unearned service revenue 3,068 4,456 Accrued expenses 3,320 2,049 Prepaid expenses 2,035 3,078 Prepare a...
points Save Are Marigold Company maintains its books and records on the cash basis but is required to restate its financial statements on the accrual basis. Marigold had cash basis expenses in 2019 of $150,000. During 2019, the flowing changes were noted in certain accruals and deferrals December 31, 2019 December 31, 2018 Prepaid expenses $15.000 $10,000 Accrued expense 25.000 5,000 In its income statement for 2019. how much will Marigold report as operating expenses on the accrual basis? А...
complete please
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Margaret Moore, M.D., maintains the accounting records of Moore
Clinic on a cash basis. During 2020, Dr. Moore collected $132,258
from her patients and paid $50,809 in expenses. At January 1, 2020,
and December 31, 2020, she had accounts receivable, unearned
service revenue, accrued expenses, and prepaid expenses as follows.
(All long-lived assets are rented.)
January 1, 2020
December 31, 2020
Accounts receivable
$9,283
$17,324
Unearned service revenue
2,638
4,517
Accrued expenses
3,723
1,957
Prepaid expenses
1,905
3,397
Prepare a...
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