Questions from Intermediate Accounting

Q: The actuary for the pension plan of Gustafson Inc. calculated the

The actuary for the pension plan of Gustafson Inc. calculated the following net gains and losses. Incurred during the Year ______(Gain) or Loss 2012 ……â&#...

Q: Presented below are four independent situations. (a) On

Presented below are four independent situations. (a) On December 31, 2012, Beard Inc. sold computer equipment to Barber Co. and immediately leased it back for 10 years. The sales price of the equipmen...

Q: You have been engaged to review the financial statements of Longfellow Corporation

You have been engaged to review the financial statements of Longfellow Corporation. In the course of your examination, you conclude that the bookkeeper hired during the current year is not doing a goo...

Q: Sharrer Inc.’s only temporary difference at the beginning and end

Sharrer Inc.’s only temporary difference at the beginning and end of 2012 is caused by a $2 million deferred gain for tax purposes for an installment sale of a plant asset, and the related receivable...

Q: Goring Dairy leases its milking equipment from King Finance Company under the

Goring Dairy leases its milking equipment from King Finance Company under the following lease terms. 1. The lease term is 10 years, noncancelable, and requires equal rental payments of $30,300 due at...

Q: Sue’s Construction is in its fourth year of business. Sue performs

Sue’s Construction is in its fourth year of business. Sue performs long-term construction projects and accounts for them using the completed-contract method. Sue built an apartment b...

Q: Differentiate between “loss carryback” and “loss carryforward.” Which

Differentiate between “loss carryback” and “loss carryforward.” Which can be accounted for with the greater certainty when it arises? Why?

Q: Elliott Corp. failed to record accrued salaries for 2011, $

Elliott Corp. failed to record accrued salaries for 2011, $2,000; 2012, $2,100; and 2013, $3,900. What is the amount of the overstatement or understatement of Retained Earnings at December 31, 2014?

Q: Ochoa Inc., had the following condensed balance sheet at the end

Ochoa Inc., had the following condensed balance sheet at the end of operations for 2011. During 2012, the following occurred. 1. A tract of land was purchased for $11,000. 2. Bonds payable in the am...

Q: Go to the book’s companion website or the company websites and use

Go to the book’s companion website or the company websites and use information found there to answer the following questions related to UAL, Inc. and Southwest Airlines. (a) What types of leases are u...