Unearned Sales Revenue of P 120,000 was overlooked at the end of 2021. What would be the adjusting entry if the error was discovered at December 31, 2022? Group of answer choices A. Debit - Retained Earnings, P 120,000; Credit - Unearned Sales Revenue, P 120,000. B. Debit - Sales Revenue, P 120,000; Credit - Retained Earnings, P 120,000. C. No adjusting entry is necessary D. Debit - Retained Earnings, P 120,000; Credit - Sales Revenue, P 120,000.

Unearned Sales Revenue of P 120,000 was overlooked at the end of 2021. What would be the adjusting entry if the error was discovered at December 31, 2022? Group of answer choices A. Debit - Retained Earnings, P 120,000; Credit - Unearned Sales Revenue, P 120,000. B. Debit - Sales Revenue, P 120,000; Credit - Retained Earnings, P 120,000. C. No adjusting entry is necessary D. Debit - Retained Earnings, P 120,000; Credit - Sales Revenue, P 120,000.

Intermediate Accounting: Reporting And Analysis

3rd Edition

ISBN:9781337788281

Author:James M. Wahlen, Jefferson P. Jones, Donald Pagach

Publisher:James M. Wahlen, Jefferson P. Jones, Donald Pagach

Chapter22: Accounting For Changes And Errors.

Section: Chapter Questions

Problem 16E: Dudley Company failed to recognize the following accruals. It also recorded the prepaid expenses and...

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DI-TWO Corporation had the following accounts and their balances on December 31 before any adjustments: Sales P5,000,000 Accounts Receivable 600,000 Allowance for doubtful accounts 25,000
Accrued rent income of P 25,000 was overlooked at the end of 2021. What would be the adjusting entry if the error was discovered at December 31, 2022? Group of answer choices A. Debit - Retained Earnings, P 25,000; Credit - Rent Income, P 25,000. B. No adjusting entry is necessary C. Debit - Rent Income, P 25,000; Credit - Retained Earnings, P 25,000. D. Debit - Rent Receivable, P 25,000; Credit - Retained Earnings, P 25,000.
DI-TWO Corporation had the following accounts and their balances on December 31 before any adjustments: Sales P5,000,000 Accounts Receivable 600,000 Allowance for doubtful accounts 25,000
Purchases of P 200,000 in 2021 were recorded as purchases of 2022. What would be the adjusting entry if the error was discovered at December 31, 2022? Debit - Purchases, P 200,000; Credit - Retained Earnings, P 200,000. Debit - Retained Earnings, P 200,000; Credit - Accounts Payable, P 200,000. No adjusting entry is necessary Debit - Retained Earnings, P 200,000; Credit - Purchases, P 200,000.
Unearned Sales Revenue of P 120,000 was overlooked at the end of 2021. What would be the adjusting entry if the error was discovered at December 31, 2022? a. Debit - Retained Earnings, P 120,000; Credit - Unearned Sales Revenue, P 120,000. b. Debit - Retained Earnings, P 120,000; Credit - Sales Revenue, P 120,000. c. No adjusting entry is necessary d. Debit - Sales Revenue, P 120,000; Credit - Retained Earnings, P 120,000.
required: 1.By how much would the December 31, 2021 retained earnings be misstated ifno adjustments were made for the above errors? 2.Compute for the adjusted net income for the year 2021.
Part A Albert Trading Limited used the statement of financial position approach to estimate the impairment loss of receivable. An aging of account receivable at 31 December 2019 revealed that S68,000 of the $835,000 outstanding accounts receivable will prove uncollectible. The Allowance for Impairment has a debit balance of $6,200 prior to adjustment. Required: (Explanation of the Journal Entry is not required) Prepare an adjusting entry on 31 December 2019 to recognize the impairment loss of receivable. Part B On 12 January 2020, Peter Lee, a major customer, declared bankruptey, and Albert Trading, determined that a receivable from Peter Lee in the amount of $3,400 was worthless. Required: (Explanation of the Journal Entry is not required) Prepare the journal entry required by Albert Trading in this situation.
Purchases of P 200,000 in 2021 were recorded as purchases of 2022. What would be the adjusting entry if the error was discovered at December 31, 2022? a. Debit - Purchases, P 200,000; Credit - Retained Earnings, P 200,000. b. Debit - Retained Earnings, P 200,000; Credit - Accounts Payable, P 200,000. c. Debit - Retained Earnings, P 200,000; Credit - Purchases, P 200,000. d. No adjusting entry is necessary
Which of the following adjusting entries prepared on December 31, 2021 (without amounts and explanations) would you choose to reverse on January 1, 2022? O Dr Interest receivable; Cr Interest income O Dr Unearned service income; Cr Service income O Dr Doubtful Accounts; Cr Allowance for doubtful accounts O Dr Insurance Expense; Cr Prepaid insurance
Patrick Company had the following information in 2021: E (Click the icon to view the information.) If uncollectible accounts are determined by the aging-of-receivables method to be $1,280, the uncollectible account expense for 2021 would be $480. Using the aging-of-receivables method, the balance of the Allowance account after the adjusting entry at year-end 2021 would be - X Data table O A. $800. B. $1,280. Accounts receivable 12/31/21 %24 13,000 OC. $520. OD. $480. Allowance for uncollectible-accounts credit balance 12/31/21 (before adjustment) 800 Credit service revenue during 2021 43,000 Cash service revenue during 2021 13,000 Collections from customers on account during 2021 42,000 Print Done
Part A Albert Trading Limited used the statement of financial position approach to estimate the impairment loss of receivable. An aging of account receivable at 31 December 2019 revealed that $68,000 of the $835,000 outstanding accounts receivable will prove uncollectible. The Allowance for Impairment has a debit balance of $6,200 prior to adjustment. Required: (Explanation of the Journal Entry is not required) Prepare an adjusting entry on 31 December 2019 to recognize the impairment loss of receivable.
Part A Albert Trading Limited used the statement of financial position approach to estimate the impairment loss of receivable. An aging of account receivable at 31 December 2019 revealed that $68,000 of the $835,000 outstanding accounts receivable will prove uncollectible. The Allowance for Impairment has a debit balance of $6,200 prior to adjustment. Required: (Explanation of the Journal Entry is not required) Prepare an adjusting entry on 31 December 2019 to recognize the impairment loss of receivable. Part B On 12 January 2020, Peter Lee, a major customer, declared bankruptcy, and Albert Trading, determined that a receivable from Peter Lee in the amount of S3,400 was worthless. Required: (Explanation of the Journal Entry is not required) Prepare the journal entry required by Albert Trading in this situation.