Questions from Financial Accounting

Q: Briefly describe some of the similarities and differences between GAAP and IFRS

Briefly describe some of the similarities and differences between GAAP and IFRS with respect to the accounting for inventories.

Q: Salt Creek Golf Inc. was organized on July 1, 2017

Salt Creek Golf Inc. was organized on July 1, 2017. Quarterly financial statements are prepared. The trial balance and adjusted trial balance on September 30 are shown below. Instructions (a) Journal...

Q: Boyd Docker engaged in the following activities in establishing his photography studio

Boyd Docker engaged in the following activities in establishing his photography studio, SnapShot!: 1. Opened a bank account in the name of SnapShot! and deposited $8,000 of his own money into this acc...

Q: Bindy Crawford created a corporation providing legal services, Bindy Crawford Inc

Bindy Crawford created a corporation providing legal services, Bindy Crawford Inc., on July 1, 2017. On July 31 the balance sheet showed Cash $4,000, Accounts Receivable $2,500, Supplies $500, Equipme...

Q: Are the following events recorded in the accounting records? Explain your

Are the following events recorded in the accounting records? Explain your answer in each case. (a) A major stockholder of the company dies. (b) Supplies are purchased on account. (c) An employee is fi...

Q: During 2017, its first year of operations as a delivery service

During 2017, its first year of operations as a delivery service, Persimmon Corp. entered into the following transactions. 1. Issued shares of common stock to investors in exchange for $100,000 in cash...

Q: Ivy Company purchased land and a building on January 1, 2017

Ivy Company purchased land and a building on January 1, 2017. Management’s best estimate of the value of the land was $100,000 and of the building $250,000. However, management told the accounting dep...

Q: Max Wilson, a lawyer, accepts a legal engagement in March

Max Wilson, a lawyer, accepts a legal engagement in March, performs the work in April, and is paid in May. If Wilson’s law firm prepares monthly financial statements, when should it recognize revenue...

Q: Here are some accounting reporting situations. (a) East

Here are some accounting reporting situations. (a) East Lake Company recognizes revenue at the end of the production cycle but before sale. The price of the product, as well as the amount that can be...

Q: During 2017, Rostock Company entered into the following transactions.

During 2017, Rostock Company entered into the following transactions. 1. Purchased equipment for $286,176 cash. 2. Issued common stock to investors for $137,590 cash. 3. Purchased inventory of $68,480...