Chapter 1, Problem 16E

The following issues relate to company clients of the firm of accountants you work for. Eachcompany has a year-end of 31 March 2022.You are required to prepare a brief report for your manager explaining the appropriate accountingtreatments at the 31 March 2022 year-end in each case along with supporting calculations asnecessary.You should cite relevant accounting regulations in your answer. (1) On 1 April 2021, Eyemouth Ltd entered into an agreement to lease machinery which has auseful life of 20 years. The agreement met the definition of a lease in accordance with IFRS 16.Under the terms of the agreement, Eyemouth paid a deposit of £10,000 on 1 April 2021 to securethe lease and is required to pay eight annual instalments of £100,000 in arrears, with the firstinstalment due on 31 March 2022. The interest rate implicit in the lease is 6% and the present valueof future lease payments on commencement of the lease is £620,979. Eyemouth paid £5,000 inlegal fees to arrange the lease. The…

tatement of Owner's Equity Apex Systems Co. offers its services to residents in the Seattle area. Selected accounts from the ledger of Apex Systems Co. for the fiscal year ended December 31, 2019, are as follows: Bart Nesbit, Capital   Bart Nesbit, Drawing Dec. 31 20,000 Jan. 1 (2019) 382,000   Mar. 31 5,000 Dec. 31 20,000     Dec. 31 200,000   June 30 5,000               Sept. 30 5,000               Dec. 31 5,000     Prepare a statement of owner's equity for the year. Apex Systems Co. Statement of Owner's Equity For the Year Ended December 31, 2019     $   $                   $

Required: When should Ski West recognize revenue from the sale of its season passes? Prepare the appropriate journal entries that Ski West would record on November 6 and December 31. What will be included in the Ski West 2021 income statement and balance sheet related to the sale of the season pass to Jake Lawson?

The owner's capital account has a credit balance of P624,000 on January 1, 2019. The owner's withdrawal account has a debit balance of P360,000 on December 31, 2019. The income summary account contains debit posting of P830,500 and a credit posting of P1,210,500. What would be the balance of the owner's capital account on December 31, 2019.

Required: A. Prepare journal entries to record the transactions.B. Present the shareholders' equity on December 31, 2020. Show your detailed solutions.

Mr. X was an employee with the following information from his employment in 2020. Salaries and wages - $27,000 RRSP contribution in 2020 - $5,500 Membership dues paid by Mr. X - $500   Calculate Mr. X's the net employment income for 2020?   Question 7 options:   a)  $21,500   b)  $27,500   c)  $21,000   d)  $27,000

Planning Wizards, LLC is an event-planning company. Which of the following would be included in the current asset section of a classified balance sheet dated December 31, 2019? a. 15-month certificate of deposit b. Customer advances on New Year's parties c. Last month rent payment (lease expires in 2021) d. Investment in stocks, to be sold in 2020 e. Income tax refund receivable f. Inventory Select one: d, e, and f e and f a, b, c, e, and f a, b, c, d, e, and f b, e, f

Locate Gap Inc.’s 2020 Annual Report (for fiscal year  2/2/20-1/30/21)   There are 10 sections of questions.  You will find the information necessary to answer the questions in “Item 8. Financial Statements and Supplementary Data,” of the report.  Read through the questions carefully and answer in the space provided.    What are the following amounts at 1/30/21:   Total Assets : Total Liabilities: Total Owner’s Equity : At 1/30/21:   What is the percentage of debt used to finance Gap? What is the percentage of owner’s equity used to finance Gap?   What is the significance of these two percentages?

You are provided with the following information form the accounts of BBS Ltd for the year ending 30 June 2019Cash Sales950 000Cost of Goods Sold35 000Amount received in advance for services to be performed in August 20199 500Rent expenses for year ended 30 June 20199 000Rent Prepaid for two months to 31 August 20191 200Doubtful debts expenses1 200Amount provided in 2019 for employees’ long-service leave entitlements5 000Goodwill impairment expenses7 000Required:Calculate the taxable profit and accounting profit for the year ending 30 June 2019. my confusion : not sure if LSL will be 50%of or not?