Questions from Financial Accounting

Q: If a 6%, 10-year, $800,000

If a 6%, 10-year, $800,000 bond is issued at face value and interest is paid annually, what is the amount of the interest payment at the end of the first period?

Q: Dowell Hardware reported cost of goods sold as follows. /

Dowell Hardware reported cost of goods sold as follows. Dowell made two errors: 1. 2016 ending inventory was overstated by $2,000. 2. 2017 ending inventory was understated by $5,000. Instructions Com...

Q: Suppose 3M Company reported the following financial data for 2017 and 2016

Suppose 3M Company reported the following financial data for 2017 and 2016 (in millions). Instructions (a) Calculate the current ratio for 3M for 2017 and 2016. (b) Suppose that at the end of 2017, 3...

Q: Identify the accounts that are added to or deducted from purchases to

Identify the accounts that are added to or deducted from purchases to determine the cost of goods purchased under a periodic system. For each account, indicate (a) whether it is added or deducted, and...

Q: Harbinger Inc. reported sales of $2 million for 2017.

Harbinger Inc. reported sales of $2 million for 2017. Accounts receivable decreased $150,000 and accounts payable increased $300,000. Compute cash receipts from customers, assuming that the receivable...

Q: In the following cases, use a periodic inventory system to identify

In the following cases, use a periodic inventory system to identify the item(s) designated by the letters X and Y. (a) Purchases − X − Y = Net purchases. (b) Cost of goods purchased − Net purchases =...

Q: On July 15, a company purchases on account goods costing $

On July 15, a company purchases on account goods costing $1,900, with credit terms of 2/10, n/30. On July 18, the company receives a $400 credit memo from the supplier for damaged goods. Give the jour...

Q: Assume that on September 1, Office Depot had an inventory that

Assume that on September 1, Office Depot had an inventory that included a variety of calculators. The company uses a perpetual inventory system. During September, these transactions occurred. Sept. 6...

Q: On January 6, Jacob Co. sells merchandise on account to

On January 6, Jacob Co. sells merchandise on account to Harley Inc. for $9,200, terms 1/10, n/30. On January 16, Harley pays the amount due. Instructions Prepare the entries on Jacob Co.’s books to re...

Q: These expenditures were incurred by Dobbin Company in purchasing land: cash

These expenditures were incurred by Dobbin Company in purchasing land: cash price $60,000, accrued taxes $5,000, attorney’s fees $2,100, real estate broker’s commission $3,300, and clearing and gradin...