Pandoy Inc. reported purchases of P2,500,000 in its cash basis income statement during 2020. Additional information revealed the balance of accounts payable on January 1, 2020 is P600,000 and on December 31, 2020 is P800,000. How much is the purchases under accrual basis of accounting?
Q: During 2019, Van Inc. has monthly cash expenses of $130,000. On Dec 31, 2019, their cash balance is…
A: Given the following information: Monthly cash expenses: $130,000 Cash balance as on December 31,…
Q: The entity has collected P20,000 interest during 2020. While P3,700 is recorded in interest…
A: When a company follows accrual basis of accounting, there may be differences between the interest…
Q: Mahal Mo Co. reported revenue of P3,100,000 in its accrual basis income statement for the year ended…
A: Accrual basis of accounting says that all expenses and revenue belonging to a particular period…
Q: Wynn Company reported revenue of P6,000,000 under the cash basis for the year ended 2020. Additional…
A: The accrual basis accounting records the revenue and expenses when they are incurred irrespective of…
Q: Prepare the income statements and balance sheets for years 2018 and 2019 for Thompson Company using…
A: Answer and calculations are given below
Q: In 2021, Allen company reported cash basis income of P 7,800,000. Tracing back its records, accounts…
A: Accrual basis: Under accrual basis accounting, revenue and expenses are recognized when they are…
Q: Described below are certain transactions of Pharoah Company for 2021: On May 10, the company…
A: The journal entries are prepared to keep the record of day to day transactions of the business.
Q: The following balances were reported by BTS Company on December 31, 2020 and 2019: 2020: Accounts…
A: Accrual basis: Under accrual basis accounting, revenue and expenses are recognized when they are…
Q: primo office supplies has been in existence for two years (2019 and 2020). The first year (2019) had…
A: Cash method of accounting is allowed for small Businesses. Small Businesses refers to businesses…
Q: Following the information and additionally considering that £3,000 of purchases have not been paid…
A: Note: There is a mistake in the Income Statement. The Insurance Expense to be charged = 32400*6/24 =…
Q: YinYang Company reported cash basis of income other than sales of P 50,000 for rent and P18,000 for…
A: The accrual basis states that income and expenses should be recorded as and when they are incurred…
Q: TS Corp. collected P24,700 in interest during 2021. BTS showed P3,700 in interest receivable on its…
A: Solution: Interest revenue = Interest collected + ending interest receivable - beginning interest…
Q: What is the Gross Profit of Phiya Company for the month of April 30, 2020 by using Accrual method of…
A: Formula: Gross profit = Total Sales - Cost of goods sold
Q: During 2020, A Company, a service organization, had P200,000 in cash sales and P3,000,000 in credit…
A: Cash basis of accounting is an accounting method where an entity recognizes revenues and expenses…
Q: The following accounts and their balances appear in an unadjusted trialbalance of Achiever Company…
A: Current assets refers to the assets which can be held to the maximum of 12 months. Current…
Q: Pandoy Inc. reported purchases of P2,500,000 in its cash basis income statement during 2020.…
A: Cash Basis of Accounting is a method of recording transactions in actual receipt and payment basis.…
Q: Mosaic’s Company balance sheet at December 31, 2019, reported the following: Accounts…
A:
Q: In 2021, Allen company reported cash basis income of P 7,800,000. Tracing back its records, accounts…
A: The accrual basis of accounting is to record all transactions about the same accounting period…
Q: 30,000 to apply for 2020 was received from a sublease contract. P40,000 total interest income from…
A: Net Sales = 20,00,000 Purchases = 12,00,000 Opening Inventory = 2,00,000 Closing Inventory =…
Q: kany company reported net income of $78,000 and sales of $219,000at December 31, 2020, Kathy also…
A: The cash collected from customer is calculated as credit sales plus change in balance of account…
Q: Los Lobos Corp. uses the direct method to prepare its statement of cash flows. Los Lobos's trial…
A: Determine the amounts that Los Lobos should report in its statement of cash flows for the year ended…
Q: During 2020, Harper Corp. entered into the following transactions. Borrowed $70,000 by issuing a…
A: Accounting equation: The accounting equation is the base of the “Double-entry bookkeeping system”.…
Q: Presented below is selected information pertaining to the Cone Company: § Cash balance, January 1,…
A: Solution: As per basic accounting equation: Total Assets = Total liabilities + Capital Ending…
Q: lance, January 1, 2021- P13,000 # Accounts receivable, January 1, 2021- P19,000 # Collections…
A: Solution: As per basic accounting equation: Total Assets = Total liabilities + Capital Ending…
Q: At 30 June 2018, Ruby Ltd had net accounts receivable of $180 000. At 30 June 2019 accounts…
A: Net sale=Sale-Discount =$1,800,000-$35,000=$1,765,000
Q: VIOLET Company reported total purchases of P 3,200,000 in its accrual basis financial statement on…
A: The cash basis accounting system state that, the revenue and expenses should be recognized when cash…
Q: Combate Company reported total purchases of P3,200,000 in its accrual basis financial statement on…
A: Cash purchase: It can be defined as the purchase of goods or services by an individual or business…
Q: Bennett Co.'s prepaid insurance was $190,000 at December 31, 2020 and $90,000 at December 31, 2019.…
A: Cash flow from operating activities: This section of cash flow statement provides information about…
Q: Presented below is selected information pertaining to the Cone Company: § Cash balance, January 1,…
A: Solution: As per Basic accounting equation: Total Assets = Total liabilities + Capital Further…
Q: ELS Corporation reported gross receipts for 2017-2019 for scenarios A, B, and C as follows:…
A: SOLUTION- CORPORATIONS WITH ANNUAL AVERAGE GROSS RECEIPT DURING THE PAST 3 YEARS OF $25000000 OR…
Q: Di Ka Mahal Company reported total purchases of P2,500,000 in its cash basis financial statements on…
A: The purchases on accrual basis can be calculated as change in account payable and the cash paid for…
Q: During 2020, Reliable Corporation had cash and credit sales of $21,760 and $15,225, respectively.…
A: As per accrual basis of accounting, revenues and expenses are recognized when they are accrued…
Q: ZETA Company reported revenue of P6,000,000 under the cash basis for the year ended 2020. Additional…
A: Under the accrual basis, the revenue will be total of cash sales & credit sales. Under the…
Q: Dhofar Company's income statement for 2020 is given below. If Accounts receivable balances are 7000…
A: Cash collection from customers = Beginning accounts receivable + sales - ending accounts receivable
Q: Described below are certain transactions of Pharoah Company for 2021: On May 10, the company…
A: 9% note issued on June 1 for $64,800 ($96,000 - $31,200) has accrued interest for 7 months till…
Q: In 2021, Cream company reported cash basis income of P 7,800,000. Tracing back its records, accounts…
A: Accrual basis: Under accrual basis accounting, revenue and expenses are recognized when they are…
Q: Iniwan had P600,000 in cash basis pre-tax income for 2020. The following information pertains to…
A: Cash basis is the method of accounting in which which records expenses and income only on the basis…
Q: n its CASH BASIS income statement for the year ended June 30, 2020, Selena Corp. reported revenue of…
A: Total cash receipts for the year ended June 30, 2020, are $142,000. Increase in accounts receivable…
Q: Presented below is selected information pertaining to the Cone Company: § Cash balance, January 1,…
A: Solution: As per basic accounting equation: Total Assets = Total liabilities + Capital Ending…
Q: In 2021, Lmao company reported cash basis income of P 7,800,000. Tracing back its records, accounts…
A: When transactions are recorded in the books as they are incurred or earned irrespective of actual…
Q: 31. What is the total cash generated by PAGTALUNAN Company from factoring and assigning the accounts…
A: On its second year, PAGTALUNAN, Inc. thought of expanding its business. i.What is the total cash…
Q: Pandoy Inc. reported purchases of P2,500,000 in its cash basis income statement during 2020.…
A: The accrual basis of accounting is the method in which the records are been maintained on the basis…
Q: The following balances were reported by Nagpapangap Company on December 31, 2020 and 2019: 2020:…
A: Gross Purchase refers to Total Purchase it including cost of goods returned and Discounts also.…
Q: ABC Corporation sells merchandise on the installment basis, and the uncertainties of cash collection…
A: Under installment sales method, the profit is realized on the basis of receipt of cash.
Q: Described below are certain transactions of Pharoah Company for 2021: On May 10, the company…
A: Balance sheet - The balance sheet statement shows the assets and liabilities of the entity as on a…
Q: Please explain how you get the journal entries below. The DeVille Company reported pretax…
A: SNo. Particulars Amount ($) Amount ($) Year 2021 Income Tax Expense A/c To Income Tax payment…
Q: Simone Inc. reported revenue of P3,000,000 in its accrual basis income statement for the year ended…
A: Under Cash basis of accounting the revenue is to be recognized when the cash is received and under…
Q: Di Ka Mahal Company reported total purchases of P2,500,000 in its cash basis financial statements on…
A: Total Purchases = Cash paid + Ending Accounts payable - Beginning Accounts payable
Q: Gana Company maintains its accounting records on the cash basis. During 2020, it paid a total of…
A: The accrual basis accounting system state that expenses should be recognized when goods or services…
Q: On February 14, 2019, Prime Company sold 50 air conditioning units. The sale price for each unit is…
A: Sales Price-: The price that is reimbursed by the customer at the time when something is purchased…
Pandoy Inc. reported purchases of P2,500,000 in its cash basis income statement during 2020. Additional information revealed the balance of accounts payable on January 1, 2020 is P600,000 and on December 31, 2020 is P800,000.
How much is the purchases under accrual basis of accounting?
Step by step
Solved in 2 steps
- Starlight Enterprises has net credit sales for 2019 in the amount of $2,600,325, beginning accounts receivable balance of $844,260, and an ending accounts receivable balance of $604,930. Compute the accounts receivable turnover ratio and the number of days sales in receivables ratio for 2019 (round answers to two decimal places). What do the outcomes tell a potential investor about Starlight Enterprises if the industry average is 1.5 times and the number of days sales ratio is 175 days?Interest and Income Taxes Staggs Company has prepared its 2019 statement of cash flows. In conjunction with this statement, it plans to disclose the interest and income taxes it paid during 2019. The following information is available from its 2019 income statement and beginning and ending balance sheet: Required: 1. Compute the amounts of interest paid and income taxes paid by Staggs for 2019. 2. Next Level Under IFRS, how would interest paid and income taxes paid be reported?Pandoy Inc. reported purchases of P2,500,000 in its cash basis income statement during 2020. Additional information revealed the balance of accounts payable on January 1, 2020 is P600,000 and on December 31, 2020 is P800,000.How much is the purchases under accrual basis of accounting? *A. P2,300,000B. P2,500,000C. P2,700,000D. P3,900,000E. answer not given
- VIOLET Company reported total purchases of P 3,200,000 in its accrual basis financial statement on December 31, 2021. Additional information revealed the following: Accounts payable, December 31, 2020 - P 900,0003; Accounts payable, December 31, 2021 - P 1,250,000. What is the amount of purchases under the cash basis on December 31, 2021?Di Ka Mahal Company reported total purchases of P2,500,000 in its cash basis financial statements on December 31, 2020. Additional information revealed the following: Accounts payable, January 1, 2020, P600,000 and Accounts payable, December 31, 2020, P800,000. Under the accrual basis, how much is the total purchases for the year ended December 31, 2020? P2,500,000 P3,900,000 P2,300,000 P2,700,000Mahal Mo Co. reported revenue of P3,100,000 in its accrual basis income statement for the year ended December 31, 2020. Additional information are as follows: Accounts receivable, December 31, 2019, P700,000 and Accounts receivable, December 31, 2020, P1,100,000. Under the cash basis, how much should Mahal Mo Co. report as revenue for 2020? *
- Combate Company reported total purchases of P3,200,000 in its accrual basis financial statement on December 31, 2020. Additional information revealed the following: Accounts payable, December 31, 2019 P900,000 Accounts payable- December 31, 2020 1,250,000 What is the amount of purchases under the cash basis for the year ended December 31, 2020? A.P4,100,000 B. P4,450,000 C. P2,850,000 D. P3,550,000Simone Inc. reported revenue of P3,000,000 in its accrual basis income statement for the year ended December 31, 2019. Additional information are as follows: Accounts receivable, December 31, 2018, P600,000 and Accounts receivable, December 31, 2019, P1,000,000. Under the cash basis, how much should Simone Inc. report as revenue for 2019?n its CASH BASIS income statement for the year ended June 30, 2020, Selena Corp. reported revenue of $142,000 (i.e., total cash receipts from sales). Additional information was as follows: Accounts receivable June 30, 2019 $40,000 Accounts receivable June 30, 2020 $45,600 Under the ACCRUAL basis, Selena Corp. should report sales revenue of A. $147,600 B. $102,000 C. $182,000 D. $136,400
- Meta Company reported sales revenue of P4,600,000 in the income statement for the year ended December 31, 2019. The entity wrote of uncollectible accounts tolling P20,000 during the current year 2018 2019 Accounts receivable 1,000,000 1,300,000 Allowance for uncollectible accounts 60,000 110,000 42. Under Cash basis, what amount should be reported as sales for the current year? а. 4,900,000 b. 4,350,000 c. 4,300,000 d. 4,280,000 43. What amount of bad debts are recognized for the current year? а. 60,000 b. 70,000 80,000 d. 110,000 С.V Company reported sales revenue of P4,600,000 in the income statement for the year ended December 31, 2019. The entity wrote of uncollectible accounts tolling P20,000 during the current year 2018 2019 Accounts receivable 1,000,000 1,300,000 Allowance for uncollectible accounts 60,000 110,000 69. Under Cash basis, what amount should be reported as sales for the current year? а. 4,900,000 b. 4,350,000 c. 4,300,000 d. 4,280,000 70. What amount of bad debts are recognized for the current year? 60,000 b. 70,000 a. c. 80,000 d. 110,000Judon Corp. provides the following information from its annual report. Assume all revenues are credit sales. The cost of revenues can be used as an approximation of the company's purchases for the year. Revenues $ 546,190 Cost of revenues $ 340,275 Inventories as of 31 January 2022 $44,064 Inventories as of 31 January 2021 $41,020 Accounts payable as at 31 January 2022 $58,600 Accounts payable as at 31 January 2021 $51,800 Accounts receivable as at 31 January 2022 $7,482 Accounts receivable as at 31 January 2021 $5,434 Compute the following financial ratios for Judon Corp for 2022 1. Account Receivable Turnover Ratio (Times)? 2. Collection Interval (DSO) / Days? 3. Inventory Turnover Ratio (Times) ? 4. Holding Interval (Days) ? 5. Account Payable Turnover Ratio (Times)? 6.Payment Interval (Days)? 7. Does Judon Corp need short-term financing?
