Munoz Co. prepays cash in October for insurance that covers only the month of November. Munoz...
Munoz Co. prepays cash in October for insurance that covers only the month of November. Munoz Co. records the expense in October. Which method of accounting is Munoz Co. using?
Select one:
a. accrual basis of accounting
b. cash basis of accounting
c. hybrid basis of accounting
d. consolidated basis of accounting
Homework Answers
OPTION - B Cash Basisi of Accounting.
Munoz co has recorded the expenses in the month of the October for which the expenses has been paid during the month of the October.
Since the cash payment has been made and it involves cash basis of accounting.
If you have any doubts please comment on the answer
Add Answer to:
Munoz Co. prepays cash in October for insurance that covers only
the month of November. Munoz...
17)A company receives a $95,000 cash deposit from a customer on October 15 but will not...
17)A company receives a $95,000 cash deposit from a customer on October 15 but will not provide services until November 20. Which of the following statements is true? Group of answer choices The company records service revenue on October 15. 18) Question 183 pts Carrier Rent-to-Own, a furniture rental and sales company, records annual depreciation expense on December 31 each year. Which account will Carrier credit when they record their depreciation on December 31st? Group of answer choices Equipment Depreciation...
Jim's Gymnastics Training's operations for the month of October are summarized as follows: A Provided $7,800...
Jim's Gymnastics Training's operations for the month of October are summarized as follows: A Provided $7,800 of training to students on account. B.Received $3,900 cash from students for training provided in October C.Received $1.100 cash for training to be provided in November D.Received $3,400 cash from students on account for training provided in September. E.Paid September's gym rental bill on account in the amount of $1.300 F. Received October's rental bill of $1,300; set it aside. Required a. Calculate Net...
On July 1, 20x8, Hathaway Ltd. purchased a 4 year insurance policy and paid a premium...
On July 1, 20x8, Hathaway Ltd. purchased a 4 year insurance policy and paid a premium of $37570. Hathaway has a December 31 year end. Which of the following statements is true? of Select one: a. Under cash basis accounting, there will be a balance of $23481 in the Prepaid insurance account on December 31, 20x9 b. Under accrual accounting, there will be a balance of $32874 in the Prepaid insurance account on December 31, 20x8 c. Under cash basis...
More Info August 1 Prepaid insurance for August through October, $1,500. 4 Purchased office furniture for...
More Info August 1 Prepaid insurance for August through October, $1,500. 4 Purchased office furniture for cash, $3,500. 5 Performed services and received cash, $1,600. 8 Paid advertising expense, $300. 11 Performed service on account, $3,400. 19 Purchased computer on account, $1,500. 24 Collected for August 11 service. 26 Paid account payable from August 19. 29 Paid salary expense, $800. 31 Adjusted for August insurance expense (see August 1). 31 Earned revenue of $400 that was collected in advance back...
Question 4 Not yet answered Travelli Co. sold merchandise to Trapani Co. on account, $17,000, terms...
Question 4 Not yet answered Travelli Co. sold merchandise to Trapani Co. on account, $17,000, terms 2/15, nel 45. The cost of the merchandise sold is $15,400. Travelli Co issued an allowance for $1,750 for merchandise returned that onginally cost $1,400. Trapani Co. paid the invoice within the discount period. What is amount of net sales from the above transactions? Marked out of 2.50 P Flag question Select one A $17,000 B. $15,250 C. $14,945 D. None of these choices...
Kris's Moving Co. Trial Balance October 31, 2017 Account Titles Dr. Cr. Cash 9,000 Prepaid Insurance...
Kris's Moving Co. Trial Balance October 31, 2017 Account Titles Dr. Cr. Cash 9,000 Prepaid Insurance 2,600 1,100 10,000 7,000 Moving Supplies Moving Truck Accumulated Depreciation, Moving Truck Accounts Payable K. Homer, Capital K. Homer, Withdrawals 2,654 11,472 1,900 8,500 Revenue from Moving Wage Expense Rent Expense 3,676 800 550 Advertising Expense 29,626 29,626 Totals Adjustment Data to Update Trial Balance a. Insurance expired, $100. b. Moving supplies on hand, $1,000. C. Depreciation on moving truck, $450. d. Wages earned...
Red Wings, Inc. maintains their accounting records on a cash basis. The following information is provided...
Red Wings, Inc. maintains their accounting records on a cash basis. The following information is provided for 2017: Decrease in Prepaid Insurance from 1/1 to 12/31 Cash Collected from Customers 12/31 Accounts Receivable 12/31 Accounts Payable Cash paid to vendors 1/1 Accounts Payable 1/1 Accounts Receivable 1/1 Wages Payable Cash Paid for Wages and Insurance 12/31 Wages Payable 850008 Noza Accrual basis combined Wage and Insurance Expense 2017 is: Select one: a. $31 b. $29 O c. $34 O d....
The budget director for Munoz Cleaning Services prepared the following list of expected selling and administrative...
The budget director for Munoz Cleaning Services prepared the following list of expected selling and administrative expenses. All expenses requiring cash payments are paid for in the month incurred except salary expense and insurance. Salary is paid in the month following the month in which it is incurred. The insurance premium for six months is paid on October 1. October is the first month of operations, accordingly, there are no beginning account balances. Required a. Complete the schedule of cash...
On November 1, George prepaid for one year of insurance for $1,200. Record the following journal...
On November 1, George prepaid for one year of insurance for $1,200. Record the following journal entries. Accounts used Cash, Prepaid Insurance, Insurance Expense. The prepayment on November 1. journal entry Accounts Debit Credit The adjustment for used insurance at December 31 (2 months). journal entry The adjustment for used insurance at December 31 (2 months). journal entry Accounts Debit Credit On October 1, Sponge Bob, Inc. received $240 up front from a customer for a yearly magazine subscription. Magazines...
The following information relates to questions 37, 38, and 39: DEF Cous accrual basis accounting. It...
The following information relates to questions 37, 38, and 39: DEF Cous accrual basis accounting. It pays $15,000 to cover a 3-year insurance pre- mium and debits "insurance expense." One (1) year has elapsed. 37. How much insurance expense has DEF Co. incurred this year? a. $15,000 d. $0 b. $10,000 c. $5,000 38. How much has DEF Co. paid for insurance this year? a. $15,000 b. $10,000 c. $5,000 d. $0 39. What is the adjusting journal entry (omitting...
Jim's Gymnastics Training's operations for the month of October are summarized as follows: A Provided $7,800 of training to students on account. B.Received $3,900 cash from students for training provided in October C.Received $1.100 cash for training to be provided in November D.Received $3,400 cash from students on account for training provided in September. E.Paid September's gym rental bill on account in the amount of $1.300 F. Received October's rental bill of $1,300; set it aside. Required a. Calculate Net...
On July 1, 20x8, Hathaway Ltd. purchased a 4 year insurance policy and paid a premium of $37570. Hathaway has a December 31 year end. Which of the following statements is true? of Select one: a. Under cash basis accounting, there will be a balance of $23481 in the Prepaid insurance account on December 31, 20x9 b. Under accrual accounting, there will be a balance of $32874 in the Prepaid insurance account on December 31, 20x8 c. Under cash basis...
More Info August 1 Prepaid insurance for August through October, $1,500. 4 Purchased office furniture for cash, $3,500. 5 Performed services and received cash, $1,600. 8 Paid advertising expense, $300. 11 Performed service on account, $3,400. 19 Purchased computer on account, $1,500. 24 Collected for August 11 service. 26 Paid account payable from August 19. 29 Paid salary expense, $800. 31 Adjusted for August insurance expense (see August 1). 31 Earned revenue of $400 that was collected in advance back...
Question 4 Not yet answered Travelli Co. sold merchandise to Trapani Co. on account, $17,000, terms 2/15, nel 45. The cost of the merchandise sold is $15,400. Travelli Co issued an allowance for $1,750 for merchandise returned that onginally cost $1,400. Trapani Co. paid the invoice within the discount period. What is amount of net sales from the above transactions? Marked out of 2.50 P Flag question Select one A $17,000 B. $15,250 C. $14,945 D. None of these choices...
Kris's Moving Co. Trial Balance October 31, 2017 Account Titles Dr. Cr. Cash 9,000 Prepaid Insurance 2,600 1,100 10,000 7,000 Moving Supplies Moving Truck Accumulated Depreciation, Moving Truck Accounts Payable K. Homer, Capital K. Homer, Withdrawals 2,654 11,472 1,900 8,500 Revenue from Moving Wage Expense Rent Expense 3,676 800 550 Advertising Expense 29,626 29,626 Totals Adjustment Data to Update Trial Balance a. Insurance expired, $100. b. Moving supplies on hand, $1,000. C. Depreciation on moving truck, $450. d. Wages earned...
Red Wings, Inc. maintains their accounting records on a cash basis. The following information is provided for 2017: Decrease in Prepaid Insurance from 1/1 to 12/31 Cash Collected from Customers 12/31 Accounts Receivable 12/31 Accounts Payable Cash paid to vendors 1/1 Accounts Payable 1/1 Accounts Receivable 1/1 Wages Payable Cash Paid for Wages and Insurance 12/31 Wages Payable 850008 Noza Accrual basis combined Wage and Insurance Expense 2017 is: Select one: a. $31 b. $29 O c. $34 O d....
The budget director for Munoz Cleaning Services prepared the following list of expected selling and administrative expenses. All expenses requiring cash payments are paid for in the month incurred except salary expense and insurance. Salary is paid in the month following the month in which it is incurred. The insurance premium for six months is paid on October 1. October is the first month of operations, accordingly, there are no beginning account balances. Required a. Complete the schedule of cash...
On November 1, George prepaid for one year of insurance for $1,200. Record the following journal entries. Accounts used Cash, Prepaid Insurance, Insurance Expense. The prepayment on November 1. journal entry Accounts Debit Credit The adjustment for used insurance at December 31 (2 months). journal entry The adjustment for used insurance at December 31 (2 months). journal entry Accounts Debit Credit On October 1, Sponge Bob, Inc. received $240 up front from a customer for a yearly magazine subscription. Magazines...
The following information relates to questions 37, 38, and 39: DEF Cous accrual basis accounting. It pays $15,000 to cover a 3-year insurance pre- mium and debits "insurance expense." One (1) year has elapsed. 37. How much insurance expense has DEF Co. incurred this year? a. $15,000 d. $0 b. $10,000 c. $5,000 38. How much has DEF Co. paid for insurance this year? a. $15,000 b. $10,000 c. $5,000 d. $0 39. What is the adjusting journal entry (omitting...
Most questions answered within 3 hours.
-
A laser used in LASIK eye surgery produces 50 pulses per second.
The wavelength is 192...
asked 5 minutes ago -
Smith Inc. recently reported operating income of $2.75 million,
depreciation of $1.20 million, and had a...
asked 6 minutes ago -
A
nurse is trying to understand the structure and chain of command of
a healthcare organization....
asked 8 minutes ago -
Two buckets of mass 17.1 kg and 11.3 kg are attached to the ends
of a...
asked 7 minutes ago -
A company is interested in estimating the costs of lunch
in their cafeteria. After surveying employees,...
asked 12 minutes ago -
A woman expends 94 kJ of energy in walking a kilometer. The
energy is supplied by...
asked 23 minutes ago -
Our ability to see distinct edges as well as our errors in
contrast perceptions (e.g., seeing...
asked 14 minutes ago -
you want to measure the gravitational acceleration at your
location. since g does not vary significantly...
asked 28 minutes ago -
Aside from commercial tools that are specifically geared toward
TAR/PC( Technology-Assisted Review), are there potential
alternative...
asked 30 minutes ago -
the period of a pendulum on earth is 5 seconds. what will be the
period of...
asked 46 minutes ago -
The
act of turning media against itself, such as flash mobs and
billboard is called
a....
asked 42 minutes ago -
A set of length measurements are obtained with the values 165.6
± 0.3, 165.1± 0.4,166.4± 1.0,...
asked 44 minutes ago