SM Food Company distributes to consumers coupons which may be presented (on or before a stated expiration date) to grocers for discounts on certain products of SM. The grocers are reimbursed when they send the coupons to SM. In SM's experience, 50% of such coupons are redeemed, and generally one month elapses between the date a grocer receives a coupon from a consumer and the date SM receives it. During 2022, SM issued two separate series of coupons as follows (see attached image). The only journal entries to date recorded debits to coupon expense and credits to cash of P536,000. The December 31, 2022 Statement of Financial Position should include a liabilit

SM Food Company distributes to consumers coupons which may be presented (on or before a stated expiration date) to grocers for discounts on certain products of SM. The grocers are reimbursed when they send the coupons to SM. In SM's experience, 50% of such coupons are redeemed, and generally one month elapses between the date a grocer receives a coupon from a consumer and the date SM receives it. During 2022, SM issued two separate series of coupons as follows (see attached image). The only journal entries to date recorded debits to coupon expense and credits to cash of P536,000. The December 31, 2022 Statement of Financial Position should include a liabilit

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

Chapter8: Inventories: Special Valuation Issues

Section: Chapter Questions

Problem 18E: Errors During the course of your examination of the financial statements of Burnett Co., a new...

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Errors During the course of your examination of the financial statements of Burnett Co., a new client, for the year ended December 31, 2019, you discover the following: Inventory at January 1, 2019, was understated by 6,000. Inventory at December 31, 2019, was overstated by 5,000. During 2019, the company received a 1,000 cash advance from a customer for merchandise to be manufactured and shipped during 2020. It had credited the 1,000 to sales revenue. The companys gross profit on sales is 50%. Net income reported on the 2019 income statement (before reflecting any adjustments for the above items) is 20,000. Required: Next Level What is the correct net income for 2019?
m - Aug 28 X + nd.vst.idref%3DP7001016677000000000000000003B8F]!/4/2[P700101667700000000000... 2 ☆ S4-2 At December 31, 2020, before any year-end adjustments are made, White Corporation had a $50 balance in Accounts Receivable and a $0.6 debit balance in the Allowance for Uncollectible Accounts. Requirements O 1. What is the normal balance in the Allowance for Uncollectible Accounts? What would cause this account to have a debit balance? 2. How does management determine the amount of uncollectible accounts? 3. The aging of receivables indicates that White Corporation will not collect $1.5 million of its accounts receivables. Prepare the journal entry to record the bad debt expense for 2020. PUCE a 209
Life-Positive’s Account Balances 2021 ($) 2022 ($) accounts payable 24,600.00 21,250.00Accounts receivable 15,700.00 12,340.00Cash 23,450.00 28,600.00Cost of goods sold 19,700.00 23,000.00Depreciation 3,090.00 4,590.00Dividends 5,800.00 10,800.00Interest 2,340.00 2,890.00Inventory 7,050.00 8,640.00Long-term debt 28,000.00 30,000.00Net fixed assets 41,500.00 48,000.00Other expenses 2,400.00 2,800.00Sales 58,000.00 62,500.00Short-term Notes Payable 2,890.00 2,340.00Shares outstanding 85,000.00 90,000.00 tax rate is 32% 4. Calculate the cash flow from assets, cash flow to creditors,and cash flow to stockholders…
3) A nore tor a00 dared ogust , 7010S due with oumpound interest at fa94, * geao atter 60re on NOUember , 2011 the holde of the nore has It discourned by a lend or who charges 1:3,60 coumpounded annuaiy- petgrmine the alue Ot the atter years.
Use the NPV method to determine whether Root Products should invest in the following projects: • Project A: Costs $275,000 and offers eight annual net cash inflows of $53,000. Root Products requires an annual return of 12% on investments of this nature. Project B: Costs $380,000 and offers 9 annual net cash inflows of $74,000. Root Products demands an annual return of 10% on investments of this nature. E(Click the icon to view Present Value of $1 table.) E (Click the icon to view Present Value of Ordinary Annuity of $1 table.) Read the requirements. Requirement 1. What is the NPV of each project? Assume neither project has a residual value. Round to two decimal places. (Enter any factor amounts to three decimal places, X.XXX. Use parentheses or a minus sign for a negative net present value.) Caclulate the NPV (net present value) of each project. Begin by calculating the NPV of Project A. Project A: Net Cash Annuity PV Factor Present Years Inflow (i=12%, n=8) Value 1-8 Present value of…
*see attached What is the interest income for the current year? a. 1,297,905b. 1,357,905c. 900,000d. 870,168
ance, in Advance on On Cive Journal Enures u Vendsh x 10 = ? 50,000, Amount received : App. 50,000 (20,0 h x 2,50). AIL 5,000 50 (19.500 Sh. x 2.50), I call ? 22,500 (18,000 Sh. x 1.25), Sec. (15,000 Sh. x 1.26), Total of B/S 2,90,000.] 360 180 (Total 540) (C) Forfeiture of Shares eration other than Cash Porfeiture of Shrres Issued at Par Forfeited by the directors. Give Journal Entries for the above. fortefoney Received : App. 7 20,000; Allot. 7 30,000; I Call ? 28,200; II & Final Call 18,000: issued at par to Bihar Ltd. Share forfeiture 7 6,200] hirem Ltd. invited applications for issuing ? 80,000 Equity shares of 10 each. The amount was payable as follows: On Application On Allotment On First and Final Call Applications for 77,000 shares were received. Shares were allotted at all the applicants. Sundaram to whom 7,000 shares were allotted failed to pay the allotment money. His shares were forfeited immediately after allotment. Rudra, the holder of ? 500 shares failed to pay the…
Garey O coniderng an invement in epring ement cong S51400 The ement w te depcated on a straght-ne bais era eyeer ite anda peced to gererte net cah intoen of S130.000 e ft yea, 1150.000 e second yeat and S160.000 every ya terester un he ye What is he payback pered ornveste The resida va isere Round your aner to teo decimal places OA 27 years OR 3 yea De AMyes OD 2 years
Accounts Payable as of December 31, 2020 should amount to: *A. 531,000B. 600,000C. 627,000D. 1,827,000
*see attached What amount of interest income should be recognized by Ripple for the year ended December 31, 2020? a. 244,080b. 200,000c. 204,492d. 240,000
Tenth National Bank has a 200,000, 12% note receivable from Priday Company that is due on December 31, 2022. On December 31, 2019, Priday misses the interest payment due on that date. The bank expects that the company will also miss the next payment, but will pay the principal on the maturity date. On December 31, 2020, Priday misses the interest payment due on that date. On December 31, 2021, Priday pays half the interest payment due on that date and is not expected to pay the other half. In early January 2022, the bank and the company agree to a loan restructuring because of the financial condition of the company. The bank forgives the unpaid interest, extends the loan to December 31, 2024, and reduces the interest rate to 6%. The market rate for the loan is estimated to be 10% at this time. Required: 1. Compute the value of the impaired loan on December 31, 2019. 2. Prepare the journal entries from 2019 to 2024 for the bank to record the above events. Assume that Priday makes all required payments under the modified agreement.
Use the below information to answer the following questions: 20202021Sales$11,573$12,936Depreciation 1661 1736Cost of goods sold 3979 4707Other Expenses 846 924Interest Expense 776 926Cash 6067 6466Accounts Receivables 8034 9427Short-term Notes Payable 1171 1147Long-term debt 20,320 24,696Net fixed assets 50,888 54,273Accounts Payable 4384 4644Tax rate 26% 34%Inventory 14,283 15,288Payout ratio 33% 30% A. Create the Balance Sheets for 2020 & 2021.