Certainly! Here's a transcription of the text from the image:---**ACCT 2000 Study Guide - Chapter 5**3) Northern Industries accepted a credit card sale for $14,000. The credit card company charges 2%.a. What is the entry for this transaction on the horizontal equation?b. What is the impact of collecting the payment from the credit card company?(Show the individual accounts impacted in the asset section)| Assets | = | Liabilities | + | Stockholders’ Equity | Revenues | Expenses | = | Net Income | Cash Flow ||--------|---|-------------|---|----------------------|----------|----------|---|------------|-----------|| a. | | | | | | | | | || b. | | | | | | | | | |--- **Explanation:**This section of the study guide discusses financial transactions related to credit card sales. The company, Northern Industries, makes a credit card sale of $14,000 and needs to account for the 2% fee charged by the credit card company. The questions focus on creating appropriate accounting entries and analyzing the impact on financial statements using the horizontal equation format.The table provided serves as a framework for students to fill in, showing how this transaction affects different accounts in the balance sheet and income statement.

Debit the receiver, credit the giver. Debit what comes in, credit what goes out. Debit all expenses…

Answered: 3) Northern Industries accepted a…

FINANCIAL ACCOUNTING

10th Edition

ISBN:9781259964947

Author:Libby

Publisher:Libby

Chapter1: Financial Statements And Business Decisions

Section: Chapter Questions

Problem 1Q

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Your answer is partially correct. Try again. Presented below is information related to Buffalo Corp., which sells merchandise with terms 2/10, net/60. Buffalo Corp. records its sales and receivables net. July 1 Buffalo Corp. sold to Warren Harding Co. merchandise having a sales price of $16,000. 5 Accounts receivable of $12,600 (gross) are factored with Andrew Jackson Credit Corp. without recourse at a financing charge of 8%. Cash is received for the proceeds; collections are handled by the finance company. (These accounts were all past the discount period.) 9 Specific accounts receivable of $12,600 (gross) are pledged to Alf Landon Credit Corp. as security for a loan of $6,900 at a finance charge of 7% of the amount of the loan. The finance company will make the collections. (All the accounts receivable are past the discount period.) Dec. 29 Warren Harding Co. notifies Buffalo that it is bankrupt and will pay only 10% of its account. Give the entry to write…
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You are a credit analyst of a growing commercial bank and have recently received loan applications from two companies of relatively similar size. Show below are selected financial data for these two applicants at the end of the current year: RED CO BLUE CO. P700,000.00 P650,000.00 Net credit sales Cost of goods sold P500,000.00 P490,000.00 Cash P60,000.00 P20,000.00 Accounts receivable (net) P77,000.00 P60,000.00 P94,000.00 P180,000.00 Inventory Current liabilities P110,D00.00 P105,000.00 Assume that the year-end balances for accounts receivable and for inventory approximate the average balances of these items throughout the year. A. Compute the following on RED 1. Working capital 2. Current ratio 3. Acid test ratio 4. Accounts receivable turnover
3 Broadmor Industries collected $7,500 from a customer on account. What journal entry will be prepared by Broadmor to record this transaction? Multiple Choice Debit Cash and credit Accounts Receivable. Debit Cash and credit Service Revenue. Debit Accounts Receivable and credit Service Revenue. Debit Accounts Receivable and credit Cash.
Which of the following mathematical equations is used to compute the payables deferral period (DPO)? 000 о Payables deferral period (DPO) = Accounts payable/Daily credit purchases Payables deferral period (DPO) = Cost of goods sold/Accounts payables Payables deferral period (DPO) = Daily credit purchases/Accounts payable Payables deferral period (DPO) = Payables turnover 360 Payables deferral period (DPO) = Payables turnover/360
ABC Corp has the following items in its receivable and payable accounts: Due from customers, P156,000 Payable to creditors for merchandise, P62,000 Notes Receivable - long term, P80,000 Due from employees, P2,200 Cash dividends payable, P24,000 Claims from a courier company for losses, P4,000 Subscription Receivable, P20,000 The amount to be reported as trade and other receivable is: 156,000 236,000 242,200 262,200
You are a credit analyst of a growing commercial bank and have recently received loan applications from two companies of relatively similar size. Show below are selected financial data for these two applicants at the end of the current year: RED CO BLUE CO. Net credit sales P700.000.00 P650,000.00 Cost of goods sold P500,000.00 P490,000.00 Cash P60,000.00 P20,000.00 Accounts receivable (net) P77,000.00 P60,000.00 Inventory P94,000.00 P180,000.00 Current liabilities P11000.00 P105,000.00 Assume that the year-end balances for accounts receivable and for inventory approximate the average balances of these items throughout the year. A. Compute the following on BLUE 1. Working capital 2. Current ratio 3. Acid test ratio
42.The following data were available for ABC Company, which uses perpetual system, at Dec 31, 20X2:Accounts Payable, beg P15,000Accounts Payable, end P10,000Inventory, beg P17,000Inventory, end P9,000Cash payment to creditors(net of 2% discount) 294,000Purchase returns, P5,000How much were the credit purchases during the period? 285,000 294,000 300,000 315,000
Making sales using credit cards is a way a company can dispose its receivables. * O True O False A loan that will be paid during two months is a current liability."
Subject - account Please help me. Thankyou.
Şection A ONE compulsory question Question 1 Yes Manufacturing Sendirian Berhad was organized five years ago and manufactures toys. Its most recent three years' balance sheets and income statements are reproduced below, YES MANUFACTURING SENDIRIAN BERHAD Balance Sheets 30 Junc, Year 5, Year 4 and Year 3 Year 5 Year 4 Year 3 Assets RM 12,000 183,000 142,000 5,000 160,000 RM 502,000 RM 16,000 60,000 52,000 4,000 70,000 RM 202,000 Cash RM 15,000 Receivabics (nct) Inventory Other current assets Plant and cquipment (net) 80,000 97,000 6,000 110,000 RM 308,000 Total asscts Liabilities and equity Accounts payablc Тах раyable Long-term liabilities Common stock, RM5 par value Retained earnings Total liabilities and cquity RM 147,800 30,000 120,000 110,000 94,200 RM502,000 RM 50,400 14,400 73,000 110,000 60,200 RM 308,000 RM 22,000 28,000 22,400 80,000 49,600 RM 202,000 YES MANUFACTURING SENDIRIAN BERHAD Consolidated Income Statements 30 Junc, Year 5, Year 4 and Year 3 Year 5 Year 4 Year 3 Net…
[A] Instructions: Compute for the required item (refer to the photo below) using a yellow ruled sheet. (Show solution)

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