Loose Leaf for Financial Accounting: Information for Decisions
9th Edition
ISBN: 9781260158762
Author: John J Wild
Publisher: McGraw-Hill Education
expand_more
expand_more
format_list_bulleted
Videos
Expert Solution & Answer
Want to see the full answer?
Check out a sample textbook solution
Students have asked these similar questions
Husemann Co.'s assets include notes receivable from customers. During fiscal 2019, the amount of notes receivable averaged $525,000, and the interest rate of the notes averaged 4.2%.
b-2. Prepare a horizontal model to show the collection of this amount. (Use amounts with + for increases and amounts with – for decreases.)
On January 1,2021, FPD Company’s Trade Loans and Receivable has an outstanding balance of P500,000. Below are the transactions in its Trade Loans and Receivable and other relate accounts during 2021: Total Sales including a 500,000 cash sales, P7,700,000. Account receivable written off, P500,000; Purchases on account, P7,800,000; Payments to creditors , P6,400,000; Purchase discounts, P520,000; Total sales returns, P50,000 of which P20,000 were sales on a cash basis; Amount received from credit customer, P4,900,00 (including a P40,000 recovery of 2020 write-off); Sales discount P80,000; Notes given to settle accounts, P500,000; Purchased returns, P140,000; Payments of notes, P200,000; Proceeds from collection on notes receivable including interest of P10,000. P370,000 Provision for future returns and discounts on outstanding receivables, P25,000. What is the amortized Cost of the Loans and Receivables on December 31, 2021?
BDO Company provided the following data:
Savings Account - P10,000,000
Treasury Bills (3 months before maturity) - P1,000,000
3-month Time Deposit - P5,000,000
Current Account - P15,000,000
The cash in bank included P1,000,000 of compensating balance against short term borrowing arrangement
on December 31, 2017. The compensating balance is not legally restricted as to withdrawal. A check of
P3,000,000 dated January 31, 2018 in payment of accounts payable was recorded and mailed on
December 31, 2017.
What amount should be reported as Cash on December 31, 2017?
Chapter 10 Solutions
Loose Leaf for Financial Accounting: Information for Decisions
Ch. 10 - What is the main difference between notes payable...Ch. 10 - Prob. 2DQCh. 10 - Prob. 3DQCh. 10 - Prob. 4DQCh. 10 - Prob. 5DQCh. 10 - Prob. 6DQCh. 10 - Prob. 7DQCh. 10 - Prob. 8DQCh. 10 - Prob. 9DQCh. 10 - Prob. 10DQ
Ch. 10 - Prob. 11DQCh. 10 - Prob. 12DQCh. 10 - Prob. 13DQCh. 10 - Prob. 14DQCh. 10 - Prob. 15DQCh. 10 - Prob. 16DQCh. 10 - Prob. 17DQCh. 10 - Prob. 18DQCh. 10 - Prob. 19DQCh. 10 - Prob. 1QSCh. 10 - Prob. 2QSCh. 10 - Prob. 3QSCh. 10 - Prob. 4QSCh. 10 - Prob. 5QSCh. 10 - Prob. 6QSCh. 10 - Prob. 7QSCh. 10 - Prob. 8QSCh. 10 - Prob. 9QSCh. 10 - Prob. 10QSCh. 10 - Prob. 11QSCh. 10 - Prob. 12QSCh. 10 - Prob. 13QSCh. 10 - Prob. 14QSCh. 10 - Prob. 15QSCh. 10 - Prob. 16QSCh. 10 - Jin Li, an employee of ETrain.com, leases a car at...Ch. 10 - Prob. 18QSCh. 10 - Prob. 19QSCh. 10 - Prob. 21QSCh. 10 - Prob. 1ECh. 10 - Prob. 2ECh. 10 - Bringham Company issues bonds with a par value...Ch. 10 - Prob. 4ECh. 10 - Prob. 5ECh. 10 - Prob. 6ECh. 10 - Prob. 7ECh. 10 - Prob. 8ECh. 10 - Prob. 9ECh. 10 - Prob. 10ECh. 10 - Prob. 11ECh. 10 - Prob. 12ECh. 10 - Prob. 13ECh. 10 - Prob. 14ECh. 10 - Prob. 15ECh. 10 - Prob. 16ECh. 10 - Prob. 17ECh. 10 - Prob. 18ECh. 10 - Prob. 19ECh. 10 - Heineken N.V. reports the following information...Ch. 10 - Prob. 21ECh. 10 - Prob. 2PSACh. 10 - Refer to the bond details in Problem 10-2A,...Ch. 10 - Prob. 7PSACh. 10 - Prob. 8PSACh. 10 - Prob. 9PSACh. 10 - Prob. 10PSACh. 10 - Prob. 11PSACh. 10 - Prob. 12PSACh. 10 - Prob. 2PSBCh. 10 - Prob. 3PSBCh. 10 - Prob. 6PSBCh. 10 - Prob. 7PSBCh. 10 - Prob. 8PSBCh. 10 - Prob. 9PSBCh. 10 - Prob. 10PSBCh. 10 - Prob. 11PSBCh. 10 - Refer to the lease details in Problem 10-11B....Ch. 10 - Prob. 10SPCh. 10 - Prob. 1FSACh. 10 - Prob. 2FSACh. 10 - FSA 10-3 Selected results from Samsung, Apple, and...Ch. 10 - Prob. 1BTNCh. 10 - Prob. 2BTNCh. 10 - Prob. 5BTN
Knowledge Booster
Learn more about
Need a deep-dive on the concept behind this application? Look no further. Learn more about this topic, accounting and related others by exploring similar questions and additional content below.Similar questions
- On January 1, 2016, the Merit Group issued to its bank a $41 million, five-year installment note to be paid in five equal payments at the end of each year. Installment payments of $10 million annually include interest at the rate of 7%. What would be the amount(s) related to the note that Merit would report in its statement of cash flows for the year ended December 31, 2016?arrow_forwardOn July 1, 2017, Mifflin Company borrowed 200,000 euros from a foreign lender evidenced by an interest-bearing note due on July 1, 2018. The note is denominated in euros. The U.S. dollar equivalent of the note principal is as follows: Date AmountJuly 1, 2017 (date borrowed) $225,000December 31, 2017 (Mifflin’s year-end) 220,000 July 1, 2018 (date repaid) 210,000 In its 2018 income statement, what amount should Mifflin include as a foreign exchange gain or loss on the note? Choose the correct.a. $15,000 gainb. $15,000 lossc. $10,000 gaind. $10,000 lossarrow_forwardNational Food Services, Inc., borrowed $4 million from its local bank on January 1, 2016, and issued a 4-year installment note to be paid in four equal payments at the end of each year. The payments include interest at the rate of 10%. Installment payments are $1,261,881 annually. Required: What would be the amount(s) related to the note that National would report in its statement of cash flows for the year ended December 31, 2016?arrow_forward
- Abardeen Corporation borrowed $136,000 from the bank on October 1, 2018. The note had an 7 percent annual rate of interest and matured on March 31, 2019. Interest and principal were paid in cash on the maturity date. Required What amount of cash did Abardeen pay for interest in 2018? What amount of interest expense was recognized on the 2018 income statement? What amount of total liabilities was reported on the December 31, 2018, balance sheet? What total amount of cash was paid to the bank on March 31, 2019, for principal and interest? What amount of interest expense was reported on the 2019 income statement?arrow_forwardOn October 31, 2021, Bundle Company engaged in the following transactions: (1) Obtained a P500,000, six-month loan from City Bank, discounted at 12%. The company pledged P500,000 of accounts receivable as security for the loan. What is the total cash received from the financing of receivables?arrow_forwardOn June 30, 2021, BTS Company factored P2,500,000 of accounts receivable for P2,250,000.The allowance for uncollectible accounts for these factored receivables was P50,000. On December 1, 2021, BTS Company assigned accounts receivable of P3,500,000 as collateralof a P2,000,000, 12% annual interest rate loan from a commercial bank. BTS received the P2,000,000 less 2% finance charge based on the loan. How much is the total loss/expenses related to factoring and assignment of receivablesfor the year 2021? *arrow_forward
- The following balances were reported by Nagpapangap Company on December 31, 2020 and 2019: 2020: Accounts payable - P3,500,000; Notes payable - P4,000,000 2019: Accounts payable - P2,500,000; Notes payable - P1,500,000 On July 1, 2020, the company issued a one-year, 12% note for a bank loan of P1,000,000. All other notes payable arose from purchases of merchandise. Total payment to suppliers in 2020 amounted to P11,000,000, after purchase discount of P250,000. During 2020, company returned defective merchandise costing P500,000. What is the amount of gross purchases for 2020 under the accrual basis? *arrow_forwardOn June 1, 2025, Thomas Company borrowed $42,000 from a bank on a 7%, 8-month note payable. On August 1, 2026, Thomas Company borrowed $63,000 from a bank on a 16%, 9-month note payable. Calculate the total amount of interest expense related to these two loans that Thomas Company would report in its 2026 income statement.arrow_forwardOn 31 December 2017, BC assigned specific accounts receivable amounting to P4,000,000 as collateral on P3,000,000, 12% note from certain bank. The company will continue to collect the assigned receivable. In addition to the interest of the note, the bank also charged a 5% finance fee deducted in advance on the P3,000,000 value of the note. The December collections of assigned accounts receivable amounted to P2,000,000 less cash discount of P100,000. On 31 December 2017, the entity remitted the collections to the bank in payment for the interest accrued on 31 December 2017 and the note payable. The entity accepted the sales returns of P150,000 on the assigned accounts and wrote off assigned accounts of P200,000. What is the loss on factoring?arrow_forward
- Vauxall Holdings showed the following information regarding its notes receivable: Note Date of Note Principal Interest Rate Term Maturity Date Days of Accrued Interest at Dec. 31, 2023 Accrued Interest at Dec. 31, 2023* 1 Nov. 1/22 $ 340,000 4.0 % 180 days 2 Jan. 5/23 140,000 5.0% 90 days 3 Nov. 20/23 130,000 4.5% 45 days 4 Dec. 10/23 170,000 5.5% 30 days *Round calculations to the nearest whole cent. Required: For each of Vauxall Holdings note receivable given below: (Do not round intermediate calculations. Round the "Amount of Accrued Interest at Dec. 31, 2023" answers to 2 decimal places.) Determine the maturity date. Calculate the days of accrued interest, if any, at December 31, 2023 (Vauxall Holdings' year-end). Calculate the amount of accrued interest, if any, at December 31, 2023. For Note 3: d. Prepare the entry to record the accrued interest at December 31, 2023. (Do not round intermediate calculations. Round your answers to 2 decimal places.) e. Prepare the entry to record…arrow_forwardOn March 1, 2018, Megumi Company borrowed P4,000,000 from bank on a six month note carrying an interest of 12% per annum. Accounts of P6000,000 are pledged to secure the loan. How much is received by Megumi Company from its borrowing transaction?arrow_forwardOn April 1, 2017, Indigo Company assigns $549,400 of its accounts receivable to the Third National Bank as collateral for a $301,600 loan due July 1, 2017. The assignment agreement calls for Indigo to continue to collect the receivables. Third National Bank assesses a finance charge of 3% of the accounts receivable, and interest on the loan is 10% (a realistic rate of interest for a note of this type). Your answer is partially correct. Try again. Prepare the April 1, 2017, journal entry for Indigo Company. (If no entry is required, select "No Entry" for the account titles and enter 0 for the amounts. Credit account titles are automatically indented when the amount is entered. Do not indent manually.) Date Account Titles and Explanation Debit Credit Apr. 1, 2017 SHOW LIST OF ACCOUNTS LINK TO TEXT…arrow_forward
arrow_back_ios
SEE MORE QUESTIONS
arrow_forward_ios
Recommended textbooks for you
AccountingAccountingISBN:9781337272094Author:WARREN, Carl S., Reeve, James M., Duchac, Jonathan E.Publisher:Cengage Learning,
Accounting Information SystemsAccountingISBN:9781337619202Author:Hall, James A.Publisher:Cengage Learning,
Horngren's Cost Accounting: A Managerial Emphasis...AccountingISBN:9780134475585Author:Srikant M. Datar, Madhav V. RajanPublisher:PEARSON
Intermediate AccountingAccountingISBN:9781259722660Author:J. David Spiceland, Mark W. Nelson, Wayne M ThomasPublisher:McGraw-Hill Education
Financial and Managerial AccountingAccountingISBN:9781259726705Author:John J Wild, Ken W. Shaw, Barbara Chiappetta Fundamental Accounting PrinciplesPublisher:McGraw-Hill Education
Accounting
Accounting
ISBN:9781337272094
Author:WARREN, Carl S., Reeve, James M., Duchac, Jonathan E.
Publisher:Cengage Learning,
Accounting Information Systems
Accounting
ISBN:9781337619202
Author:Hall, James A.
Publisher:Cengage Learning,
Horngren's Cost Accounting: A Managerial Emphasis...
Accounting
ISBN:9780134475585
Author:Srikant M. Datar, Madhav V. Rajan
Publisher:PEARSON
Intermediate Accounting
Accounting
ISBN:9781259722660
Author:J. David Spiceland, Mark W. Nelson, Wayne M Thomas
Publisher:McGraw-Hill Education
Financial and Managerial Accounting
Accounting
ISBN:9781259726705
Author:John J Wild, Ken W. Shaw, Barbara Chiappetta Fundamental Accounting Principles
Publisher:McGraw-Hill Education
7.2 Ch 7: Notes Payable and Interest, Revenue recognition explained; Author: Accounting Prof - making it easy, The finance storyteller;https://www.youtube.com/watch?v=wMC3wCdPnRg;License: Standard YouTube License, CC-BY