On March 1, Gonzalez Magazine Company receives annual subscriptions totaling $612,900. The first issue will be received by the subscriber one month after the money is received. Gonzalez Magazine Company's fiscal year ends December 31. Required: How much revenue would Gonzalez recognize from this amount for the current year?

Q: Prepare the entry in November for the receipt of the subscriptions.

A: Whenever the Amount is Received for Subscriptions , it is treated as liability as its advance…

Q: On September 1, Purifier Company borrowed $12,000 on a 6-month, 4%, short-term note payable. How…

A: Interest expense recorded on December 3 = Amount borrowed  x rate of interest x No. of months / 12…

Q: Bon Nebo Co. sold 13,000 annual subscriptions of Bjorn for $63 during December 20Y5. These new…

A: Current liabilities: Liabilities that are due to be paid within one year or within one operating…

Q: Bon Nebo Co. sold 12,500 annual subscriptions of Bjorn for $45 during December 20Y5. These new…

A: Current liabilities: Current liabilities are a company's short-term financial obligations that are…

Q: Southgate Inc. prepares interim financial statements each month. As part of the process, estimated…

A: a. The estimated income taxes on January 31, 2023:DateAccount Title and ExplanationPRDebitCreditJan…

Q: Swifty Corporation typically sells subscriptions on an annual basis, and publishes 8 times a year.…

A: Amount received from subscriptions  = 45,600*$12 Amount received from subscriptions  = $547,200

Q: Fosters Manufacturing Co. warrants its products for one year. The estimated product warranty is 6%…

A: The concept applied here is the accrual accounting principle.Accrual accounting recognizes expenses…

Q: Bellward Company grants vacation time of two weeks to those employees who have worked for the…

A: Each employee's earnings are determined throughout the payroll process using many criteria,…

Q: Summertime Company has 10 employees and processes payroll bi-weekly. A summary of their payroll…

A: Here discuss about the details of Payroll and withhold taxes in the form of CPP, Employees insurance…

Q: Florida Keys Construction installs swimming pools. It calculates that warranty obligations are 3% of…

A: Estimated liability = Sales x warranty obligations % = $1,450,000 x 3% = $43,500

Q: Required: 1. Record the acceptance of the note on April 15, 2024. 2. Record the adjusting entry for…

A: Introduction:- Journal entry is the first stage of accounting process. Journal entry used to record…

Q: McFriend Inc. records its liabilities for employees' vacations at the end of each month. For the…

A: According to the logic of a journal entry, every business transaction should be documented in at…

Q: In January 2019, Dumdum Inc. paid property taxes on its factory building for the calendar  year 2019…

A: Here in this question, we are require to determine how much expense need to reflect in each interim…

Q: Fosters Manufacturing Co. warrants its products for one year. The estimated product warranty is 3%…

A: a) Given the estimated %, we multiply it by the amount of sales for the period to get the estimated…

Q: During its first year of operations Keene Limited had sales of $76,500. The company offers a 2- year…

A: Warranty liability will be reported on  liabilities section of balancesheet.Warranty expense = Sales…

Q: On September 30, Year 1, Royal Flush Pluming, Inc., issued a $10,000, 6%, 5-month note. For the year…

A: Interest Expense:   An interest expense is the expense which is incurred by a company, business or…

Q: Carrot Company sells one and two-year mail order subscriptions for video of the month business.…

A: Solution Unearned subscription revenue Unearned subscription revenue means the amount that has been…

Q: On April 15, 2024, Sampson Consulting provides services to a customer for $100,000. To pay for the…

A: INTRODUCTION: A decrease in the value of an immovable asset simply indicates a decrease in the…

Q: On January 2, 2020, a public company sells machinery for $620,000. The in-store list price on the…

A: Notes receivable = Sale price of machinery - cash received = 620000 - 104000 = $516,000

Q: e year end of GLCN Co is 30 November 2020. The company pays for its electricity by a standing order…

A: The profit and loss account records income and expense on accrual basis that is revenue and…

Q: Monty Company publishes a monthly sports magazine, Fishing Preview. Subscriptions to the magazine…

A: Cash is an asset. Increase in cash should be debited and decrease in cash should be credited.…

Q: Parker Manufacturing Co. warrants its products for one year. The estimated product warranty is 3% of…

A:

Q: Fosters Manufacturing Co. warrants its products for one year. The estimated product warranty is 4%…

A: Solution:- a)Preparation of  the adjusting entry required at January 31, the end of the first month…

Q: thly issues, beginning in January 20Y6. In addition, the business had taxable income of $920,000…

A: Answer : Calculate current liabilities of Bon Nebo Co. Total advance received = $60*40,000 =…

Q: The Del Pilar Enterprises pays its weekly salary of P50, 400 for a 6-day work ending on Saturday.…

A: Since you have asked multiple question, we will solve the first question for you. If you want any…

Q: Journalize the adjusting entry required at September 30, the end of the first month of the current…

A: A warranty obligation is created when sales is made. It remain on the BS till all of them are used…

Q: Olaf Inc. sells home improvement magazine subscriptions to customers.  On September 30, 2020, the…

A: Given that the company sold 13,500 subscriptions for $16 each. Total amount collected = 13,500 x $16…

Q: Instructions (a) Prepare the entry in NOV the receipt of the subscriptions. (b) Prepare the…

A: Unearned subscription Revenue: Unearned subscription Revenue refers to the amount received from the…

Q: Sales revenue for Booker Company for 2023 amounted to $800,000. The products sold carry a six-month…

A: Warranty Expenses:Warranty expenses refer to those repair or replacement expenses that are either…

Q: anchise fee consists of P30,000 conside e customer and the P70,000 balance for ipment and the…

A: The journal entry is given as,

Q: Keesha Co. borrows $100,000 cash on November 1 of the current year by signing a 150-day, 10%,…

A: Notes Payable: Known as long-term obligations, notes payable represent the money a firm owes to its…

Q: On August 1, Costco Lubbock collects sells 150,000 one-year family memberships to customers for $45.…

A: Given, Number of memberships = 150,000 Selling price of one year membership = $45

Q: Logan Manufacturing Co. warrants its products for one year. The estimated product warranty is 4% of…

A: Journal entries are the transactions which are reported in the books of the accounts to prepare a…

Q: nearest whole dollar, eg. 5,275. If no entry is required, select "No Entry" for the account titles…

A: To close the books for period end and reopen it for the next period, adjusting entries needs to be…

Q: Sherman Charter signed a four-month note payable in the amount of $18,000 on September 1. The note…

A: Note: Adjusting entry on September 30 will be made to record the accrued interest for the period…

Q: On January 1, 2021, CPS Co. borrowed $340,000 cash from iLend and issued a five-year $340,000, 4%…

A: Interest Expense: The cost of debt which is incurred during a particular accounting period is called…

Q: The Bigelow Health Club sells annual memberships to a prestigious club. The terms of the contracts…

A: Revenue is recognized when goods and servcies are delivered to the customer in the form of…

Q: a new product that includes a one-year warranty on parts. In November, 1000 units are sold.…

A: This entry records the expected warranty costs as a cost on the income statement and creates a…

Q: Campbell Inc. accepted a customer's $80,000 zero-interest-bearing six-month note payable in a sales…

A: Interest Revenue is the amount of interest earned on interest-bearing assets during the period. It…

Q: Hall Company sells merchandise with a one-year warranty. In the current year, sales consisted of…

A: Introduction: An income statement is a critical financial record for every company. It illustrates…

Q: On June 1, 2021, Demer Consulting provides services to a customer for $150,000. To pay for the…

A: The journal entries are prepared to record the day to day transactions of the business during the…

Q: Swifty Company publishes a monthly sports magazine, Fishing Preview. Subscriptions to the magazine…

A: Unearned Income refers to the income that the company receives before it actually earning the same.…

Q: Fosters Manufacturing Co. warrants its products for one year. The estimated product warranty is 3%…

A: The journal entries are prepared to keep the record of day to day transactions of the business on…

Q: Bonita Company typically sells subscriptions on an annual basis and publishes six times a year. The…

A: The journal entries are prepared to record the transactions on a regular basis. The unearned revenue…

Q: On the first day of the fiscal year, a company issues $60,000, 7%, five-year installment notes that…

A: There are three golden rules in accounting for recording the transaction : Debit what comes in ,…

Q: On January 15, Ross Furniture, Inc., accepts a $5,000, 180-day, 10 percent note from a customer at…

A: Introduction: Journals: 1 ) Journals are book of prime records. 2 ) All the business transactions…

Q: Bon Nebo Co. sold 19,000 annual subscriptions of Magazine 20XX for $60 during December 20Y8. These…

A:

Deferred Tax

Deferred tax is an estimated future tax which is made while preparing accounts. It is estimated as a result of past and present transactions in the financial statements. It is not the actual tax which needs to be paid or refundable from the revenue authority, it is an accounting entry. It exists because of the difference between accounting profits and taxable profits.