Homework Answers
Solution:
1 C. The transaction does not affect the income statement Because income statement deals with calculation of net Income by subtracting operating expenses and nonoperating expenses from Sales Revenue.
2. D.Common stock will increase by $1,50,000.
3. D Anna's Catering collected $ 800 from football corporation for a meal that was catered in August.
Explanation:According to accrual concept Revenue is recognized when work is done and amount received here in option D work is done is august and revenue is received in September...So this is earned and received revenue for the month of September.
Add Answer to:
a. 1. Railroad Company received $2,000,000 for the issuance of common stock. How does this transaction...
Part 4: Interest Calculations Healthy Farms borrowed $83,500 on March 31, 2020. The loan had a...
Part 4: Interest Calculations Healthy Farms borrowed $83,500 on March 31, 2020. The loan had a 7% interest rate and is due on March 31, 2021. (round to the nearest dollar) 1. Calculate the interest incurred by Healthy Farms during 2020. Where will this appear in the financial statements for the year ended December 31, 2020? 2. How much interest will Healthy Farms incur in 2021? 3. How much will Healthy Farms pay the bank on March 31, 2021? How...
A company received $35,000 cash and issued common stock in exchange. How does this transaction affect the accountin...
A company received $35,000 cash and issued common stock in exchange. How does this transaction affect the accounting equation? O A. Add $35,000 to Cash and add $35,000 to Common Stock OB. Add $35,000 to Dividends and subtract $35,000 from Retained Earnings OC. Add $35,000 to Cash and add $35,000 to Retained Earnings. OD. Add $35,000 to Cash and add $35,000 to Revenue
Which of the following statement is always correct: a. If a transaction decreases net income, it...
Which of the following statement is always correct: a. If a transaction decreases net income, it will decrease total assets on the balance sheet. b. If a transaction increases net income, it will increase retained earnings on the balance sheet. c. If a transaction increases revenue, it will increase total assets on the balance sheet. d. If a transaction increases expenses, it will have no effect on the balance sheet.
7) Mary issues common stock in exchange for legal services received. The common stock has a...
7) Mary issues common stock in exchange for legal services received. The common stock has a fair value of $3,000 and a par value of $500. What is the journal entry required to record this transaction? 8) By what amount did this transaction affect Mary’s total shareholder equity? (ignore taxes) show calculation 9) By what amount did this transaction affect Mary’s net income for the year? (ignore taxes) show calculation 10) Delta repurchased (reacquired) 100 shares of its common stock...
A company received $31,000 cash and issued common stock in exchange. How does this transaction affect...
A company received $31,000 cash and issued common stock in exchange. How does this transaction affect the accounting equation?
Ontario Company reports the following components of stockholders’ equity on January 1. Common stock—$10 par value,...
Ontario Company reports the following components of
stockholders’ equity on January 1.
Common stock—$10 par value, 110,000 shares authorized,
40,000 shares issued and outstanding
$
400,000
Paid-in capital in excess of par value, common stock
60,000
Retained earnings
330,000
Total stockholders' equity
$
790,000
During the year, the following transactions affected its
stockholders’ equity accounts.
Jan.
2
Purchased 4,000 shares of its own stock at $23 cash per
share.
Jan.
5
Directors declared a $2 per share cash dividend payable...
QUESTION 8 Jackson Inc. purchases land for cash. What effect does this transaction have on the...
QUESTION 8 Jackson Inc. purchases land for cash. What effect does this transaction have on the following accounts: o Increase in Cash and decrease in Land o Decrease in Cash and decrease in Land o Increase in Cash and increase in Land Decrease in cash and increase in Land QUESTION 9 Jackson Inc. received $5,000 cash for fees earned. Which one of the following statements is FALSE? Total assets remain unchanged. Net income will increase. Retained earnings will increase. Stockholder's...
9. For 2019, MAP Inc. had net income of $8,100 and collected the following information: Received...
9. For 2019, MAP Inc. had net income of $8,100 and collected the following information: Received dividends Decrease in merchandise inventory Decrease in long-term notes payable Increase in retained earnings Cash received from sale of equipment Issued common stock for cash $1,200 1,800 3,200 6,100 3,500 3,700 Based on this information, what is MAP's net cash provided (used) by financing activities for 2019? a. $500 b. ($1,500) c. ($2,200) d. $3,700 To the following information for the next TWO que...
The Wagner Company acquired $500,000 cash from the issue of common stock. How would this transaction...
The Wagner Company acquired $500,000 cash from the issue of common stock. How would this transaction be recorded in the company's T-accounts? Multiple Choice 500,000 Cash Connon Stock 580,000 500.000 Cannon Stack 500,000 500.000 Connon Stock 500,000 Retained Earnings 500.000 The following transaction has been recorded in the general Journal: 15e Interest expense Interest payable How will this transaction affect the company's financial statements aller it is posted to the ledger accounts? Multiple Choice 0 C) Decreases total assets 0...
Cora Delivery Service during July Chapter 1 Introduction to Accounting and Business EX 1-12 Transactions The...
Cora Delivery Service during July Chapter 1 Introduction to Accounting and Business EX 1-12 Transactions The following selected transactions were completed by Cota Delivery Service 1. Received cash in exchange for common stock $35,000 2. Purchased supplies for cash, $1,100 3. Paid rent for October 54.500 4. Paid advertising expense, 5900. 5. Received cash for providing delivery services $33,000 6 Biled customers for delivery services on account $58.000 7. Paid creditors on account $2.900 & Received cash from customers on...
Part 4: Interest Calculations Healthy Farms borrowed $83,500 on March 31, 2020. The loan had a 7% interest rate and is due on March 31, 2021. (round to the nearest dollar) 1. Calculate the interest incurred by Healthy Farms during 2020. Where will this appear in the financial statements for the year ended December 31, 2020? 2. How much interest will Healthy Farms incur in 2021? 3. How much will Healthy Farms pay the bank on March 31, 2021? How...
A company received $35,000 cash and issued common stock in exchange. How does this transaction affect the accounting equation? O A. Add $35,000 to Cash and add $35,000 to Common Stock OB. Add $35,000 to Dividends and subtract $35,000 from Retained Earnings OC. Add $35,000 to Cash and add $35,000 to Retained Earnings. OD. Add $35,000 to Cash and add $35,000 to Revenue
Ontario Company reports the following components of
stockholders’ equity on January 1.
Common stock—$10 par value, 110,000 shares authorized,
40,000 shares issued and outstanding
$
400,000
Paid-in capital in excess of par value, common stock
60,000
Retained earnings
330,000
Total stockholders' equity
$
790,000
During the year, the following transactions affected its
stockholders’ equity accounts.
Jan.
2
Purchased 4,000 shares of its own stock at $23 cash per
share.
Jan.
5
Directors declared a $2 per share cash dividend payable...
QUESTION 8 Jackson Inc. purchases land for cash. What effect does this transaction have on the following accounts: o Increase in Cash and decrease in Land o Decrease in Cash and decrease in Land o Increase in Cash and increase in Land Decrease in cash and increase in Land QUESTION 9 Jackson Inc. received $5,000 cash for fees earned. Which one of the following statements is FALSE? Total assets remain unchanged. Net income will increase. Retained earnings will increase. Stockholder's...
9. For 2019, MAP Inc. had net income of $8,100 and collected the following information: Received dividends Decrease in merchandise inventory Decrease in long-term notes payable Increase in retained earnings Cash received from sale of equipment Issued common stock for cash $1,200 1,800 3,200 6,100 3,500 3,700 Based on this information, what is MAP's net cash provided (used) by financing activities for 2019? a. $500 b. ($1,500) c. ($2,200) d. $3,700 To the following information for the next TWO que...
The Wagner Company acquired $500,000 cash from the issue of common stock. How would this transaction be recorded in the company's T-accounts? Multiple Choice 500,000 Cash Connon Stock 580,000 500.000 Cannon Stack 500,000 500.000 Connon Stock 500,000 Retained Earnings 500.000 The following transaction has been recorded in the general Journal: 15e Interest expense Interest payable How will this transaction affect the company's financial statements aller it is posted to the ledger accounts? Multiple Choice 0 C) Decreases total assets 0...
Cora Delivery Service during July Chapter 1 Introduction to Accounting and Business EX 1-12 Transactions The following selected transactions were completed by Cota Delivery Service 1. Received cash in exchange for common stock $35,000 2. Purchased supplies for cash, $1,100 3. Paid rent for October 54.500 4. Paid advertising expense, 5900. 5. Received cash for providing delivery services $33,000 6 Biled customers for delivery services on account $58.000 7. Paid creditors on account $2.900 & Received cash from customers on...
Most questions answered within 3 hours.
-
Important Information to answer the question:
Scale Solar Power Energy
The average price of a 4KW...
asked 32 minutes ago -
Lowell Corp. sells $100,000 of bonds to private investors. The
bonds are due in five years,...
asked 1 hour ago -
3) Do you believe that Disney’s
acquisition-based growth strategy is sustainable?
4) Which competencies support this...
asked 2 hours ago -
Rank the following three stocks by their total risk level highest
to lowest night writer has...
asked 2 hours ago -
A local
electronic company primarily manufactures four highly technical
telecommunication products. Each product must be processed...
asked 3 hours ago -
•Describe the basic structure of collagen monomers •Explain how
amino acid composition of collagen contributes to...
asked 5 hours ago -
Compute the sample correlation coefficient
r for each of the following data sets.
(Use 3 decimal...
asked 6 hours ago -
5a. What are the advantages and disadvantages of Proxy ARP?
b. What is the TTL field...
asked 5 hours ago -
An ice cube (density = 900[kg/m3]) with a side length of
2.54[cm] is held by a...
asked 7 hours ago -
would you say that leaders in the international context are born
or made? That is, can...
asked 7 hours ago -
Instructions
Read the Digital Trends article "Solid state drives are speedier
than hard disk drives. Are...
asked 7 hours ago -
A multiple-choice test consists of 29 questions with possible
answers of a, b, c, d. Estimate...
asked 8 hours ago