Questions from Financial Accounting

Q: On January 1, the first day of the fiscal year,

On January 1, the first day of the fiscal year, a company issues an $800,000, 4%, 10-year bond that pays semiannual interest of $16,000 ($800,000 × 4% × ½ year), receiving cash of $800,000. Journalize...

Q: On September 12, 2,000 shares of Aspen Company are

On September 12, 2,000 shares of Aspen Company are acquired at a price of $50 per share plus a $200 brokerage commission. On October 15, a $0.50-per-share dividend was received on the Aspen Company st...

Q: Ya Wen Corporation’s accumulated depreciation—equipment account increased by $8

Ya Wen Corporation’s accumulated depreciation—equipment account increased by $8,750, while $3,250 of patent amortization was recognized between balance sheet dates. There were no purchases or sales of...

Q: Income statement information for Einsworth Corporation follows: Sales …………………………………….. $

Income statement information for Einsworth Corporation follows: Sales …………………………………….. $1,200,000 Cost of goods sold ……………………… 780,000 Gross profit ……………………………….. 420,000 Prepare a vertical analysis...

Q: Adieu Company reported the following current assets and liabilities for December 31

Adieu Company reported the following current assets and liabilities for December 31 for two recent years: a. Compute the quick ratio on December 31 of both years. b. Interpret the companyâ...

Q: Marsha Mellow’s weekly gross earnings for the present week were $1

Marsha Mellow’s weekly gross earnings for the present week were $1,250. Mellow has one exemption. Using the wage bracket withholding table in Exhibit 2 with a $75 standard withholding allowance for ea...

Q: Data pertaining to the current position of Forte Company follow:

Data pertaining to the current position of Forte Company follow: Cash ………………&aci...

Q: Craig Roberts purchased one-half of Ennis Leighton’s interest in the

Craig Roberts purchased one-half of Ennis Leighton’s interest in the Vale and Leighton partnership for $34,000. Prior to the investment, land was revalued to a market value of $130,000 from a book val...

Q: The declaration, record, and payment dates in connection with a

The declaration, record, and payment dates in connection with a cash dividend of $350,000 on a corporation’s common stock are February 28, April 1, and May 15. Journalize the entries required on each...

Q: On the first day of the fiscal year, a company issues

On the first day of the fiscal year, a company issues a $2,500,000, 4%, five-year bond that pays semiannual interest of $50,000 ($2,500,000 × 4% × ½), receiving cash of $2,390,599. Journalize the bond...