COLLEGE ACCOUNTING (LL)W/ACCESS>CUSTOM<
4th Edition
ISBN: 9781260255157
Author: Haddock
Publisher: MCG CUSTOM
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Textbook Question
Chapter 13, Problem 5PB
The data below concerns adjustments to be made at Amador Creek Wine Company.
INSTRUCTIONS
- 1. Record the
adjusting entries in the general journal as of December 31, 2019. Use 25 as the first journal page number. Include descriptions. - 2. Record reversing entries in the general journal as of January 1, 2020. Include descriptions.
ADJUSTMENTS
- a. On August 1, 2019, the firm signed a six-month advertising contract with a trade magazine and paid the entire amount, $18,600, in advance. Prepaid Advertising had a balance of $18,600 on December 31, 2019.
- b. On December 31, 2019, an inventory of supplies showed that items costing $1,040 were on hand. The balance of the Supplies account was $9,680.
- c. A depreciation schedule for the firm’s store equipment shows that a total of $12,250 should be charged off as depreciation for 2019.
- d. On December 31, 2019, the firm owed salaries of $8,800 that will not be paid until January 2020.
- e. On December 31, 2019, the firm owed the employer’s social security (6.2 percent) and Medicare (1.45 percent) taxes on all accrued salaries.
- f. On December 1, 2019, the firm received a five-month, 6 percent note for $6,000 from a customer with an overdue balance.
Analyze: After the adjusting entries have been posted, what is the balance of the Prepaid Advertising account on December 31?
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[The following information applies to the questions displayed below.]
Evans Ltd. publishes a monthly newsletter for retail marketing managers and requires its subscribers to pay $45 in
advance for a one-year subscription. During the month of August 2019, Evans Ltd. sold 180 one-year subscriptions and
received payments in advance from all new subscribers. Only 72 of the new subscribers paid their fees in time to receive
the August newsletter; the other subscriptions began with the September newsletter. Table 6-4, Table 6-5 (Use
appropriate factor from the table provided.)
Required:
a-1. Use the horizontal model to record the effects of subscription fees received in advance during August 2019. Indicate the financial
statement effect. (Enter decreases with a minus sign to Indicate a negative financial statement effect.)
Assets
Balance Sheet
Assets
Liabilities
a-2. Use the horizontal model to record the effects of subscription revenue earned during August 2019.…
Splish Brothers publishes a monthly music magazine, DiscOver. Subscriptions to the magazine cost $20 per year. During November 2021, Splish Brothers sells 16,800 subscriptions beginning with the December issue. Splish Brothers prepares financial statements quarterly and recognizes subscription revenue on magazines sold at the end of the quarter. The company uses the accounts Unearned Revenue and Revenue.
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Instructions
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Required:
1. Fifty dresses were delivered each month for the first 9 months of 2019. Prepare Spring Fashions's monthly journal entry to record revenue.
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Chapter 13 Solutions
COLLEGE ACCOUNTING (LL)W/ACCESS>CUSTOM<
Ch. 13 - Why are financial statements prepared in...Ch. 13 - What is the distinction between current...Ch. 13 - Prob. 1.3SRQCh. 13 - Which of the following is not a current asset? a....Ch. 13 - How should purchases returns and allowances be...Ch. 13 - Assume that a business listed the Freight In...Ch. 13 - Why do adjusting entries need detailed...Ch. 13 - Which adjusting entries should be reversed?Ch. 13 - Prob. 2.3SRQCh. 13 - A reversing entry is made for an end-of-period...
Ch. 13 - Prob. 2.5SRECh. 13 - At the end of the previous accounting period, an...Ch. 13 - Prob. 1CSRCh. 13 - Prob. 2CSRCh. 13 - Prob. 3CSRCh. 13 - Prob. 4CSRCh. 13 - Which of the following should have a debit balance...Ch. 13 - Prob. 6CSRCh. 13 - Prob. 7CSRCh. 13 - Prob. 1DQCh. 13 - Prob. 2DQCh. 13 - What are operating expenses?Ch. 13 - Prob. 4DQCh. 13 - Prob. 5DQCh. 13 - Prob. 6DQCh. 13 - Prob. 7DQCh. 13 - Prob. 8DQCh. 13 - Prob. 9DQCh. 13 - Prob. 10DQCh. 13 - Prob. 11DQCh. 13 - Prob. 12DQCh. 13 - Prob. 13DQCh. 13 - Prob. 14DQCh. 13 - Prob. 15DQCh. 13 - Prob. 16DQCh. 13 - Prob. 17DQCh. 13 - Gomez Company had a current ratio of 2.0 in 2018...Ch. 13 - Prob. 1ECh. 13 - Prob. 2ECh. 13 - The worksheet of Bridgets Office Supplies contains...Ch. 13 - Prob. 4ECh. 13 - Prob. 5ECh. 13 - Prob. 6ECh. 13 - Prob. 7ECh. 13 - The Adjusted Trial Balance section of the...Ch. 13 - Prob. 9ECh. 13 - Prob. 10ECh. 13 - Superior Hardwood Company distributes hardwood...Ch. 13 - Good to Go Auto Products distributes automobile...Ch. 13 - Obtain all data necessary from the worksheet...Ch. 13 - Obtain all data that is necessary from the...Ch. 13 - Prob. 5PACh. 13 - ComputerGeeks.com is a retail store that sells...Ch. 13 - Hog Wild is a retail firm that sells motorcycles,...Ch. 13 - Prob. 3PBCh. 13 - Prob. 4PBCh. 13 - The data below concerns adjustments to be made at...Ch. 13 - Programs Plus is a retail firm that sells computer...Ch. 13 - Teagan Fitzgerald is the owner of Newport Jewelry,...Ch. 13 - Prob. 1MFCh. 13 - Spectrum Company had an increase in sales and net...Ch. 13 - Prob. 3MFCh. 13 - Prob. 4MFCh. 13 - Prob. 5MFCh. 13 - Prob. 6MFCh. 13 - Prob. 7MFCh. 13 - It is standard accounting procedures, or GAAP, to...Ch. 13 - McCormick Company, Incorporated, is a global...Ch. 13 - The Fashion Rack is a retail merchandising...
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