Intermediate Accounting, 10 Ed
10th Edition
ISBN: 9781260310177
Author: Mark W. Nelson, Wayne B. Thomas J. David Spiceland
Publisher: McGraw-Hill Education
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Question
Chapter 21, Problem 21.3BE
To determine
Statement of
Journal: Journal is the method of recording monetary business transactions in chronological order. It records the debit and credit aspects of each transaction to abide by the double-entry system
Rules of Debit and Credit:
Following rules are followed for debiting and crediting different accounts while they occur in business transactions:
- Debit, all increase in assets, expenses and dividends, all decrease in liabilities, revenues and
stockholders’ equities . - Credit, all increase in liabilities, revenues, and stockholders’ equities, all decrease in assets, expenses.
To Journalize: The given transaction of Company LL, to determine the net effect of merchandise purchases.
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Question 12
The following data pertain to Gliezel company on December 31, 20B: Trade accounts payable, including cost of goods received on consignment of P180,000 is 1,620,000; Accrued taxes payable, 150,000; Customers' deposit, 120,000; Cherry company as guarantor, 240,000; Bank overdraft, 66,000; Accrued electric and power bills, 72,000; Reserve for contingencies, 180,000. How much should be shown as total current liabilities?
CHOICES
2,208,000
2,088,000
1,980,000
1,848,000
QUESTION 30
Sales revenues of a utility for a certain fiscal period
Are equivalent to total debits to Customer Accounts Receivable for that period
Include receivables billed during a fiscal period, plus receivables billed early in the next year if metere were read before year-end
Include billed receivables plus accrued revenues at year-end for unbilled receivables, reduced by accrued revenues front the beginning of the year
Include billed receivables less accrued revenues at year-end for unbilled receivables increased by accrued revenues from the beginning of the year
is a retailer. Its accountants are preparing the company's 2nd quarter master budget. The company has
the following balance sheet as of March 31.
Inc.
Balance Sheet
March 31
Assets
Cash
$ 83,000
Accounts receivable
Inventory
126,000
69,750
220,000
Plant and equipment, net of depreciation
Total assets
$ 498,750
Liabilities and Stockholders' Equity
Accounts payable
Common stock
$ 81,000
348,000
69,750
Retained earnings
Total liabilities and stockholders' equity
$ 498,750
accountants have made the following estimates:
1. Sales for April, May, June, and July will be $310,000, $330,000, $320,000, and $340,000, respectively.
2. All sales are on credit. Each month's credit sales are collected 35% in the month of sale and 65% in the month following the
sale. All of the accounts receivable at March 31 will be collected in April.
3. Each month's ending inventory must equal 30% of next month's cost of goods sold. The cost of goods sold is 75% of sales.
The company pays for 40% of its merchandise…
Chapter 21 Solutions
Intermediate Accounting, 10 Ed
Ch. 21 - Effects of all cash flows affect the balances of...Ch. 21 - Prob. 21.2QCh. 21 - Prob. 21.3QCh. 21 - Prob. 21.4QCh. 21 - Prob. 21.5QCh. 21 - Prob. 21.6QCh. 21 - Prob. 21.7QCh. 21 - The sale of stock and the sale of bonds are...Ch. 21 - Does the statement of cash flows report only...Ch. 21 - Prob. 21.10Q
Ch. 21 - Perhaps the most noteworthy item reported on an...Ch. 21 - Prob. 21.12QCh. 21 - Given sales revenue of 200,000, how can it be...Ch. 21 - Prob. 21.14QCh. 21 - When determining the amount of cash paid for...Ch. 21 - Prob. 21.16QCh. 21 - When using the indirect method of determining net...Ch. 21 - Prob. 21.18QCh. 21 - Prob. 21.19QCh. 21 - Where can we find authoritative guidance for the...Ch. 21 - U.S. GAAP designates cash outflows for interest...Ch. 21 - Prob. 21.1BECh. 21 - Prob. 21.2BECh. 21 - Prob. 21.3BECh. 21 - Prob. 21.4BECh. 21 - Investing activities LO215 Carter Containers sold...Ch. 21 - Financing activities LO216 Refer to the situation...Ch. 21 - Prob. 21.11BECh. 21 - Prob. 21.12BECh. 21 - Classification of cash flows LO213 through LO216...Ch. 21 - Indirect method; reconciliation of net income to...Ch. 21 - Prob. 21.29ECh. 21 - Prob. 21.30ECh. 21 - Prob. 21.31ECh. 21 - Prob. 21.32ECh. 21 - Prob. 21.1PCh. 21 - Research Case 219 FASB codification; locate and...Ch. 21 - IFRS Case 2110 Statement of cash flows...
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