• Q : Discuss the cash flows from financing activities related....
    Accounting Basics :

    On the statement of cash flows prepared by the indirect method, a $50,000 gain on the sale of investments would be A deducted from net income in converting the net income reported on the income stat

  • Q : The beginning of this calendar....
    Accounting Basics :

    New Rich Company was incorporated at the beginning of this calendar year. Its articles of incorporation authorized 500,000 share of common stock.

  • Q : What is the price-earings ratio on common stock....
    Accounting Basics :

    The balance sheets at the end of each of the first two years of operations indicate the following:Total current assets year 2006 600,000 year 2005 $560,000

  • Q : New rich company was incorporated....
    Accounting Basics :

    New Rich Company was incorporated at the beginning of this calendar year. Its articles of incorporation authorized 500,000 share of common stock, of which 100,000 were issued immediately.

  • Q : Disacuss amount of cash flows from operating activities....
    Accounting Basics :

    The net income reported on the income statement for the current year was $275,000. Depreciation recorded on fixed assets and amortization of patents for the year were $40,000 and $9,000 respectiv

  • Q : Issuance of the company stock....
    Accounting Basics :

    Powerdrive Co. issued 2000 shares of its RM10 par value common stock for RM70 000. Powerdrive also incurred RM1500 of costs associated with issuing the stock. Prepare Powerdrive's journal entry to

  • Q : Why the sapphire corporation declared a dividend....
    Accounting Basics :

    In November of the current year, Sapphire Corporation declared a dividend of $2 per share (the shareholder record date is December 15). Assume that Sapphire has sufficient current E&P to cover t

  • Q : When the furniture was purchased four years ago....
    Accounting Basics :

    Assume that the land has a fair market value of $28,000 and an adjusted basis of $31,000 on the date of the distribution. How would your answer to (a) change?

  • Q : What is the amount of under- or overapplied overhead....
    Accounting Basics :

    Assuming the under- or overapplied overhead for the year is not allocated to inventory accounts, prepare the adjusting entry to assign the amount to cost of goods sold.

  • Q : Medisecure uses the fifo method....
    Accounting Basics :

    MediSecure, Inc., produces clear plastic containers for pharmacies in a process that starts in the Molding Department. Data concerning that department's operations in the most recent period appear.

  • Q : What is the gain to be recorded on this transaction....
    Accounting Basics :

    A company owns a building with a net asset value of $120,000 at December 31, 2011. The building had a five-year remaining life at December 31, 2011.

  • Q : Determine the equivalent units for march....
    Accounting Basics :

    Scribners Corporation produces fine papers in three production departments-Pulping, Drying, and Finishing. In the Pulping Department, raw materials such as wood fiber and rag cotton are mechanically

  • Q : Describe the primary manufacturing facilities....
    Accounting Basics :

    Rushia Company has an available-for-sale investment in the 10%, 10-year bonds of Pear Co. The investment's carrying value is $3,200,000 at December 31, 2010.

  • Q : Modified to accommodate sales of services....
    Accounting Basics :

    How would the revenue journal be modified to accommodate sales of services on account requiring the collection of a state sales tax?

  • Q : What percentage completion would result....
    Accounting Basics :

    Gary Stevens and Mary James are production managers in the Consumer Electronics Division of General Electronics Company, which has several dozen plants scattered in locations throughout the world.

  • Q : Why you should evaluate macgivers annual report....
    Accounting Basics :

    How should you evaluate MacGiver's annual report in light of this footnote? In particular, how does this footnote affect your recommendation regarding the loan?

  • Q : Discuss the key responsibilities of both the employer....
    Accounting Basics :

    Discuss the key responsibilities of both the employer and the employee for making the workplace healthier and safer. Be sure to explain your answer from both perspectives.

  • Q : How much should fishbone record....
    Accounting Basics :

    Fishbone Corporation bought a new machine and agreed to pay for it in equal annual installments of $4,000 at the end of each of the next 10 years.

  • Q : Explain the change in the monthly net operating income....
    Accounting Basics :

    Austin Wool Products purchases raw wool and processes it into yarn. The spindles of yarn can then be sold directly to stores or they can be used by Austin Wool Products to make afghans.

  • Q : How many years should sooner or later recognize....
    Accounting Basics :

    On January 1, 2006, Sooner or Later Inc. granted 1,000 "at-the-money" employee stock options (i.e., the exercise price was equal to the stock price on the grant date).

  • Q : Agrees to accept from mann equipment....
    Accounting Basics :

    Mann, Inc., which owes Doran Co. $600,000 in notes payable with accrued interest of $54,000, is in financial difficulty. To settle the debt, Doran agrees to accept from Mann equipment with a fair v

  • Q : How the cost of making the component should be compared....
    Accounting Basics :

    When deciding whether to make or buy the component, what cost of making the component should be compared to the price of buying the component? (Round your intermediate calculations and final answer

  • Q : What will the carrying value....
    Accounting Basics :

    A company issues $20,000,000, 7.8%, 20-year bonds to yield 8% on January 1, 2010. Interest is paid on June 30 and December 31. The proceeds from the bonds are $19,604,145.

  • Q : Explain the budgeted income statement for the three-month....
    Accounting Basics :

    You have just been hired as a new management trainee by Earrings Unlimited, a distributor of earrings to various retail outlets located in shopping malls across the country.

  • Q : How much interest expense will be recognized....
    Accounting Basics :

    A company issues $5,000,000, 7.8%, 20-year bonds to yield 8% on January 1, 2010. Interest is paid on June 30 and Dec 31. The proceeds from the bonds are $4,901,036.

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