Homework Answers
1) Journal entries
| Date | account and explanation | Debit | Credit |
| Oct 1 | Equipment | 150000 | |
| Cash | 15000 | ||
| Notes payable | 135000 | ||
| (To record purchase equipment) | |||
| Dec 31 | Interest expense (135000*8%*3/12) | 2700 | |
| Interest payable | 2700 | ||
| (To record interest) | |||
| June 30 | Notes payable | 135000 | |
| Interest payable | 2700 | ||
| Interest expense | 5400 | ||
| Cash | 143100 | ||
| (To record payment) |
b) Current liabilities
| Current liabilities | |
| Interest payable | 2700 |
| Notes payable | 135000 |
| 137700 |
Add Answer to:
Question2 Singh Limited purchased equipment costing $150,000 on October 1, 2016, by paying 10% down and...
Fixer Upper Housing Limited purchased equipment costing $200,000 on October 1, 2019, by paying 10% down...
Fixer Upper Housing Limited purchased equipment costing $200,000 on October 1, 2019, by paying 10% down and signing an 8%, 9-month note payable for the balance. Fixer Upper Housing Limited's year end is December 31. Prepare journal entries to record the purchase of the equipment, the accrual of interest on December 31, and the payment of the note at maturity. For ease of computation assume that Fixer Upper calculates interest expense based on the number of months, outstanding, rather than...
Unit 7 – Liabilities Fixer Upper Housing Limited purchased equipment costing $150,000 on October 1, 2019,...
Unit 7 – Liabilities Fixer Upper Housing Limited purchased equipment costing $150,000 on October 1, 2019, by paying 10% down and signing an 8%, 9-month note payable for the balance. Fixer Upper Housing Limited's year end is December 31. Prepare journal entries to record the purchase of the equipment, the accrual of interest on December 31, and the payment of the note at maturity. For ease of computation assume that Fixer Upper calculates interest expense based on the number of...
Question 4 (20 marks) Unit 7 – Liabilities Fixer Upper Housing Limited purchased equipment costing $150,000...
Question 4 (20 marks) Unit 7 – Liabilities Fixer Upper Housing Limited purchased equipment costing $150,000 on October 1, 2019, by paying 10% down and signing an 8%, 9-month note payable for the balance. Fixer Upper Housing Limited's year end is December 31. Prepare journal entries to record the purchase of the equipment, the accrual of interest on December 31, and the payment of the note at maturity. For ease of computation assume that Fixer Upper calculates interest expense based...
Question 3 (20 marks) Unit 7 – Liabilities Fixer Upper Housing Limited purchased equipment costing $200,000...
Question 3 (20 marks) Unit 7 – Liabilities Fixer Upper Housing Limited purchased equipment costing $200,000 on October 1, 2019, by paying 10% down and signing an 8%, 9-month note payable for the balance. Fixer Upper Housing Limited's year end is December 31. Prepare journal entries to record the purchase of the equipment, the accrual of interest on December 31, and the payment of the note at maturity. For ease of computation assume that Fixer Upper calculates interest expense based...
BUSI 1043 Summer 2020 Final Version - saved M File Home Table Open in Desktop App...
BUSI 1043 Summer 2020 Final Version - saved M File Home Table Open in Desktop App O Search B 1 E. book value per common share of stock mchat Page Break mind Question 4 (20 marks) Unit 7 - Liabilities a. Fixer Upper Housing Limited purchased equipment costing $150,000 on October 1, 2019, by paying 10% down and signing an 8% 9-month note payable for the balance. Fier Upper Housing Limited's year end is December 31 Prepare journal entries to...
As the accountant for Awesome Foods Incorporated, you are responsible for preparing the cash flow statement....
As the accountant for Awesome Foods Incorporated, you are responsible for preparing the cash flow statement. You have decided to prepare the statement using the indirect method and have gathered the following data from the accounting records Principal payments on non-current debt$ 50,000 Collections on accounts receivable287,500 Increase in accounts payable24,300 Acquisition of equipment by issuing non-current note payable70,000 Depreciation expense71,300 Collection of loan principal58,000 Proceeds from sale of investments, not including $5,100 gain49,100 Increase in accounts receivable7,200 Cash payments...
Main Company has a fiscal year ending on December 31. The company purchased equipment costing S88.000...
Main Company has a fiscal year ending on December 31. The company purchased equipment costing S88.000 on October 2, 2011. The equipment was purchased by paying 30% down and signing a 9%, 120-day note payable for the balance. 1. Prepare the journal entries to record the following events. Use a 360-day year and round all amounts to the nearest dollar. The purchase of the equipment on October 2, 2011 The accrual of interest on December 31, 2011 Payment of the...
May 1 - Purchased office equipment for $30,000, paying $6,000 down and signing a 2-year, 12%...
May 1 - Purchased office equipment for $30,000, paying $6,000 down and signing a 2-year, 12% (annual rate) note payable for the balance. The office equipment is expected to have a useful life of 10 years and a salvage value of $3,000. Straight-line depreciation is used. Required: On the basis of the preceding information (both the transactions and additional information), prepare AJEs to adjust the company’s books as of December 31, 2020.
1. Derek Morgan Company raised $14 million cash on October 1, 2016, to provide working capital...
1. Derek Morgan Company raised $14 million cash on October 1, 2016, to provide working capital for year-end production. Derek issued a $10 million, four-month, 12% promissory note where interest is payable at maturity and raised the remaining $4 million by signing a $4.4 million, zero-interest bearing note due in one year. 1. Derek Morgan Company raised $14 million cash on October 1, 2016, to provide working capital for year-end production. Derek issued a $10 million, four-month, 12% promissory note...
On August 1, 2019, The Villas at Mill Lake, Inc., purchased inventory costing $56,000 by signing...
On August 1, 2019, The Villas at Mill Lake, Inc., purchased inventory costing $56,000 by signing a 9%, six-month, short-term note payable. The company will pay the entire note (principal and interest) on the note's maturity date. Read the requirements. Requirement 1. Journalize the company's purchase of inventory. (Record debits first, then credits. Exclude explanations from journal entries.) Journal Entry Accounts Date Debit Credit 2019 Aug 1 i Requirements Journalize the company's purchase of inventory. Make the adjusting entry for...
BUSI 1043 Summer 2020 Final Version - saved M File Home Table Open in Desktop App O Search B 1 E. book value per common share of stock mchat Page Break mind Question 4 (20 marks) Unit 7 - Liabilities a. Fixer Upper Housing Limited purchased equipment costing $150,000 on October 1, 2019, by paying 10% down and signing an 8% 9-month note payable for the balance. Fier Upper Housing Limited's year end is December 31 Prepare journal entries to...
As the accountant for Awesome Foods Incorporated, you are responsible for preparing the cash flow statement. You have decided to prepare the statement using the indirect method and have gathered the following data from the accounting records Principal payments on non-current debt$ 50,000 Collections on accounts receivable287,500 Increase in accounts payable24,300 Acquisition of equipment by issuing non-current note payable70,000 Depreciation expense71,300 Collection of loan principal58,000 Proceeds from sale of investments, not including $5,100 gain49,100 Increase in accounts receivable7,200 Cash payments...
Main Company has a fiscal year ending on December 31. The company purchased equipment costing S88.000 on October 2, 2011. The equipment was purchased by paying 30% down and signing a 9%, 120-day note payable for the balance. 1. Prepare the journal entries to record the following events. Use a 360-day year and round all amounts to the nearest dollar. The purchase of the equipment on October 2, 2011 The accrual of interest on December 31, 2011 Payment of the...
1. Derek Morgan Company raised $14 million cash on October 1, 2016, to provide working capital for year-end production. Derek issued a $10 million, four-month, 12% promissory note where interest is payable at maturity and raised the remaining $4 million by signing a $4.4 million, zero-interest bearing note due in one year. 1. Derek Morgan Company raised $14 million cash on October 1, 2016, to provide working capital for year-end production. Derek issued a $10 million, four-month, 12% promissory note...
On August 1, 2019, The Villas at Mill Lake, Inc., purchased inventory costing $56,000 by signing a 9%, six-month, short-term note payable. The company will pay the entire note (principal and interest) on the note's maturity date. Read the requirements. Requirement 1. Journalize the company's purchase of inventory. (Record debits first, then credits. Exclude explanations from journal entries.) Journal Entry Accounts Date Debit Credit 2019 Aug 1 i Requirements Journalize the company's purchase of inventory. Make the adjusting entry for...
Most questions answered within 3 hours.
-
The area of an elastic circular loop decreases at a constant
rate, dA/dt = −6.60×10−3 m2/s...
asked 45 minutes ago -
The denaturation of proteins can be described by the
equilibrium
F⇌U
where F and U represent...
asked 2 hours ago -
Please answer what the maximum and minimum force is, and the
angle on the ion is...
asked 2 hours ago -
implement a program that reads a number of rows and a symbol.
The program will draw...
asked 2 hours ago -
Assume that when adults with smartphones are randomly selected,
45% use them in meetings or classes....
asked 2 hours ago -
Determine the number of formula units of
Na2SO4 and moles of oxygen contained in 8.11
moles...
asked 2 hours ago -
Explain in steps on the following code
What would be the output when executed
using System;...
asked 2 hours ago -
Given the information in the table, which of the following
statements is CORRECT?
Stock A
Stock...
asked 2 hours ago -
Write MARIE assembly language programs that do the following:
Write a program that inputs an integer...
asked 2 hours ago -
Explain an understanding of services and protocols.
Explain the job of DNS.
Explain the three email...
asked 3 hours ago -
(As soon as possible) Balance each of the following equations
according to the half-reaction method:
H2O2(aq)...
asked 3 hours ago -
A thin rod with a mass of 3.5kg and a length L=1.5 m is oriented
horizontally....
asked 3 hours ago