A bakery shop makes a large sale for $1,400 on November 30. The customer is sent a statement on December 5 and a check is received on December 10. The bakery shop follows GAAP and applies the revenue recognition principle. When is the $1,400 considered to be recognized? December 1. O December 5. O December 10. November 30.
Q: iven a bill, and the customer mails in a cheque for payment on December 5th. he dress shop receives…
A: Under the accrual basis of accounting, revenues and expenses are recognized in the period in which…
Q: An invoice of RO 50,000 with the terms 7/18, n/30, ROG is dated on May 10th. The goods are received…
A: Given: 7/18 means if you pay the bill within 18 days you will get a discount for 7% N/30 means if…
Q: Mira wanted to know the results
A: Meaning of Income Statement Income statement is a statement that shows the income of the company…
Q: Determine the branch current account in the Home Office books on January 1, 2022.
A: Branch current account shown in the home office books represents the money to be received from…
Q: A new accountant began working for Atlas Stores on July 1. During the month of July, the new…
A: Correctness in the Transaction Entry It is utmost duty of the accountant to enter the transaction…
Q: For each of the following situations, indicate whether you agree or disagree with the financial…
A: Financial accounting: Financial accounting is the process of recording, summarizing, and reporting…
Q: On January 15, Ross Furniture, Inc., accepts a $5,000, 180-day, 10 percent note from a customer at…
A: Introduction: Journals: Recording of a business transactions in a chronological order. First step in…
Q: On May 31, Marty’s Ice Cream Shop sells gift cards for $5,000. Customers redeem $1,200 in June,…
A: Definition: Gift cards are one form of an advanced collection of revenues. When gift cards are…
Q: Prepare the following journal entries. a. customer is given an allowance of $ 425. b. A…
A: Journal Entry: Journal entry is the act of keeping records of transactions in an accounting journal.…
Q: Seacost Magazine sells subscriptions for $36 for 18 issues. The company collects cash in advance and…
A: Under the Accrual Basis of Accounting, revenue is accounted for when it is earned, and expense is…
Q: If you ran the report Transaction List by Vendor, for all dates, what dollar amount will appear…
A: 250 dollar amount will appear under the vendor Today’s CPA
Q: On February 13, a jewelry store sells an engagement ring with a sales price of $10,000 to a nervous…
A: Solution: Journal entry to record revenue is as under:
Q: It is a document received by your business when you purchase goods from supplier and asking 60 days…
A: The question is multiple choice question Required Choose the Correct Option
Q: During December, Far West Services makes a $5,000 credit sale. The state sales tax rate is 6% and…
A: Debit what comes in and credit what goes out Debit the receiver and credit the giver Debit all the…
Q: On April 25, Foreman Electric installs wiring in a new home for $3,500 on account. However, on April…
A: Credit sales: Credit sales refer to the transfer of ownership of the products to the customers by…
Q: Main Corporation has operated a branch in Cavite for one year. Shipments are billed to the branch at…
A: Branch accounting is a bookkeeping method that maintains separate accounts for each of an…
Q: Describe the revenue recognition policy that the company should follow: Local News, Inc., prints…
A: As per revenue recognition concept, a entity should recognize revenue when it is earned which means…
Q: On January 15, Ross Furniture, Inc., accepts a $5,000, 180-day, 10 percent note from a customer at…
A: Journal Entry: Journal entry is the act of keeping records of transactions in an accounting journal.…
Q: A retailer received an invoice of RO 2500 with the terms 3/12, n/30 ROG on January 25th. The goods…
A: Given Invoice Amount = RO 2500 Term = 3/12, n/30
Q: An auto repair shop makes a repair for $1,800 on November 30. The customer is sent a statement on…
A: Revenue recognition principle implies that the recognition of revenue by the entity should be made…
Q: On April 2, Jennifer Elston uses her Target RedCard to purchase merchandise from a Target store for…
A: Answer to (A) Books of Target Store Journal Entries Date Particulars Amount (Dr) Amount (Cr)…
Q: Juice World Jamaica Limited, a leading juice manufacturing company has recently hired you as an…
A: Income Statement - This statement shows the income earned and loss incurred by the organization in…
Q: USA Trading Corporation and you need to record the following transactions in the General Journal &…
A: Separate entries are passed for sales and cost of sales
Q: Presented below are two independent situations. (a) On April 2, Jennifer Elston uses her JCPenney…
A: Transaction: A business event that has a monetary effect on an entity's financial statements and is…
Q: According to the revenue recognition principle, revenues should be recognized when they areearned,…
A: Revenue recognition principle is an integral part of accrual accounting which requires the revenue…
Q: On April 2, Jennifer Elston uses her JCPenney Company credit card to purchase merchandise from a…
A: Merchandise inventory refers to the cost of goods that are readily available for sale at some random…
Q: On May 5, Johnson Plumbing receives a phone call from a customer needing a new water heater and…
A: As per the revenue recognition principle, revenue is recognized on completion of service to the…
Q: On November 10 of the current year, Flores Mills sold carpet to a customer for $8,900 with credit…
A: Formula: Cash discount amount = Sales amount x discount rate
Q: Creative Catering receives a $50,000 cash deposit from a customer on October 15, but will not…
A: DATE ACCOUNTS DEBIT CREDIT Oct 15 Cash $50,000 Deferred revenue $50,000
Q: On November 10, JumpStart Co. provides $2,260 in services to clients. At the time of service, the…
A: Since you have asked multiple question, we will solve the first question for you. If you want any…
Q: It is a document received by the business when they purchase goods from supplier and asking 60 days…
A: When purchase is returned , debit note is issued
Q: On January 10, Molly Amise uses her Concord Corporation credit card to purchase merchandise from…
A: The entries on Concord corporation's books related to the transactions that occurred on January 10,…
Q: Sally Resto's branch submitted the following data for 2021, the branches' first year of operation:…
A: According to the information the debit balances shows all the expenses and the credit balances shows…
Q: The credit terms offered to a customer by a business firm are 2/10, n/30, which means that the…
A: Credit term refers to a payment term mentioned in the invoice which stated the timing and payment of…
Q: Prepare the following journal entry; all transactions listed occurred in January: The company…
A: Promissory note can be defined as an financial instrument containing a written promise between two…
Q: Sun shine inc. bills a costumer for $ 500 in service revenue o April 1. On April 15, Sun Shine…
A: The journal entries are prepared to record day to day transactions of the business.
Q: Sellane Appliances received an invoice dated October 11 with terms 4/10 E.O.M. for the items listed…
A: (a) The term of cash discount is 4/10, end of the month. It means the cash discount is 4% if the due…
Q: Suppose Casey Title Company normally charges $500 for services related to selling a house. As part…
A: Revenue means the amount earned by selling the goods or services. Trade discount means the services…
Q: Prepare journal entries for each of the following sales transactions by Elegant Electronics,…
A: Sale tax is the tax levied on sale of goods. Sale tax paid on purchases can be booked as receivable…
Q: The following are two independent situations. (a) On April 2, Pearl Elston uses her JCPenney Company…
A: Journal Entries for (a): Date Account title Debit Credit April 2 Account receivables $1,400…
Q: A man received an invoice for washing machine for $455 dated April 17, with a sales term of 2/10…
A: Sales on terms like 2/10 EOM means that if payment is made within 10 days of transaction of…
Q: On January 15, Ross Furniture, Inc., accepts a $5,000, 180-day. 10 percent note from a customer at…
A: Introduction: Journals: Recording of a business transactions in a chronological order. First step in…
Q: Jones Co has the following transactions: 1 Payment of $400 to J Bloggs for a cash purchase 2…
A: Journal: Recording of a business transactions in a chronological order.
Q: What amount should be paid? B.How much is credited to the buyer's account? C. Is any money still…
A: Sales can be done on a cash or credit basis. When sales are on cash basis, cash will be received…
Q: As a buyer for the J&J company, you receive an invoice with terms 3/10, EOM, net 60. The invoice…
A: 1. 3/10 EOM means buyer can get the cash discount of 3% if he pays the amount within 10 days from…
Q: On June 30, a printing shop provides $1000 of services to a customer to custom print restaurant…
A: As per revenue recognition principle, revenue is recognized when performance obligation is…
Q: Review the following transactions, and prepare any necessary journal entries. On July 16, Arrow…
A: Journal entries refer to the recording of transactions in an appropriate way. With the help of…
Trending now
This is a popular solution!
Step by step
Solved in 2 steps
- Catherines Cookies has a beginning balance in the Accounts Payable control total account of $8,200. In the cash disbursements journal, the Accounts Payable column has total debits of $6,800 for November. The Accounts Payable credit column in the purchases journal reveals a total of $10,500 for the current month. Based on this information, what is the ending balance in the Accounts Payable account in the general ledger?On January 31, Jema hardware received a check from a customer for payment of an invoice. The 6,000 invoice was dated May 22, and included credit terms of 1/10, n/45. On January 25, the customer returned P600 of the merchandise because it was defective. How would this transaction be recorded in Jema's cash receipts journal?On June 30, a printing shop provides $1000 of services to a customer to custom print restaurant menus. The customer is sent a bill on July 5 for the amount due. A check in the amount of $1000 is received from the customer on July 25. The printing shop follows GAAP and applies the revenue recognition principle. When is the $1000 sale recognized?
- 1. Merchandise received on July 20 is charged to the store on an invoice dated July 8 for $1,254 with terms of 6/10-60X. What is the last day for taking the cash discount? 2. Merchandise received on July 20 is charged to the store on an invoice dated July 8 for $1,254 with terms of 6/10-60X. If the invoice is paid on September 17, how much should be remitted? (Present your answer with a comma separator, dollar-sign, and rounded to the penny (i.e. $1,234.56).) 3. A retailer in Atlanta ordered a shipment of shoes totaling $15,800 from a vendor in California. The shipping cost was $220. The shoes were shipped FOB Atlanta; charges reversed. The shoe vendor gave the retailer a 1% damage allowance. How much did the retailer pay the vendor for the shoes? (Present your answer with a comma separator, dollar-sign, and rounded to the penny (i.e. $1,234.56). 4. On April 2, merchandise costing $15,400 reaches the retailer located in New Orleans. The invoice is dated March 22 and has…A dress shop makes a large sale for $1,000O on November 30. The customer is given a bill, and the customer mails in a cheque for payment on December 5th. The dress shop receives the cheque on December 8th and deposits it at the bank on December 10. The dress shop follows Accounting Principles and recognizes revenue accordingly. When is the $1,000 considered to be earned? O December 8 O December 5 November 30 O December 10A customer purchased P5,000 of goods on credit from Discount Paper Supply on September 1. The customer received the bill on September 13 and mailed a P5,000 check on September 30. Discount Paper Supply received the check on October 4. In recording this transaction, Discount Paper Supply should credit Sales Revenue for P5,000 on _____
- A credit sale is made on July 10 for $800, terms 4/10, n/30. On July 12, $150 of goods are returned for credit. Give the journal entry on July 19 to record the receipt of the balance due within the discount period. (List all debit entries before credit entries. Credit account titles are automatically indented when the amount is entered. Do not indent manually. If no entry is required, select "No Entry" for the account titles and enter O for the amounts.) Date Account Titles and Explanation July 19 Debit CreditDuring the second half of December 20-1, TJ’s Specialty Shop engaged in the followingtransactions:Dec. 16 Received payment from Lucy Greene on account, $1,960.16 Sold merchandise on account to Kim Fields, $160, plus sales tax of $8.Sale No. 640.17 Returned merchandise to Evans Essentials for credit, $150.18 Issued Check No. 813 to Evans Essentials in payment of December 1balance of $1,250, less the credit received on December 17.19 Sold merchandise on account to Lucy Greene, $620, plus tax of $31.Sale No. 641.22 Received payment from John Dempsey on account, $1,560.23 Issued Check No. 814 for the purchase of supplies, $120. (Debit Supplies)24 Purchased merchandise on account from West Wholesalers, $1,200.Invoice No. 465, dated December 24, terms n/30.26 Purchased merchandise on account from Nathen Co., $800.Invoice No. 817, dated December 26, terms 2/10, n/30.27 Issued Check No. 815 to KC Power & Light (Utilities Expense) for themonth of December, $630.27 Sold merchandise on…An invoice of OMR 15000 with the terms 6/10, 3/15, n/30 is dated on June 15. The goods are received on June 23. The bill is paid on July 5. Calculate the amount of discount paid. Ordinary EOM ROG
- On June 7, Pixer Co. sells $1,500 of merchandise to Jasmine Co. on account. Jasmine Co. pays for this merchandise on June 21. Prepare the entry on Pixer’s books to record the sale. Prepare the entry on Pixer’s books to record the receipt of payment. a. General Journal Date Description Debit Credit June 7 AnswerAccounts ReceivableCashSales Answer Answer AnswerAccounts ReceivableCashSales Answer Answer To record sales of merchandise. b. General Journal Date Description Debit Credit June 21 AnswerAccounts ReceivableCashSales Answer Answer AnswerAccounts ReceivableCashSales Answer Answer To record receipt of cash from customer.Gomez Corp. uses the allowance method to account for uncollectibles. On January 31, it wrote off an $1,800 account of a customer, C. Green. On March 9, it receives a $1,300 payment from Green.1. Prepare the journal entry for January 312. Prepare the journal entries for March 9; assume no additional money is expected from Green.Kitchen Equipment Company uses the allowance method to account for uncollectibles. On October 31, it wrote off a $1,110 account of a customer, Gwen Rowe. On December 9, it received an $710 payment from Rowe. a. Make the appropriate entry for October 31. View transaction list Journal entry worksheet < 1 Record the entry to write off $1,110-due from Gwen Rowe. Note: Enter debits before credits. Date October 31 General Journal Debit Credit Record entry Clear entry View general journal
