Blog

Calabrese Company reported the following purchases and sales of its only product. Calabrese uses a perpetual inventory system. Determine the cost assigned to cost of goods sold using LIFO.   Date Activities Units Acquired at Cost Units Sold at Retail May 1 Beginning Inventory 180 units @ $13   May 5 Purchase 235 units @ $15   May 10 Sales   155 units @ $23 May 15 Purchase 115 units @ $16   May 24 Sales   105 units @ $24

On December 31, Manning Company has an unadjusted credit balance of $1,600 in its Allowance for Doubtful Accounts. Following is a schedule of its December 31 accounts receivable by age. Age of Accounts Receivable Accounts Receivable Expected Percent Uncollectible Not yet due $ 96,000 1.0% 1 to 30 days past due 64,000 2.5% 30 to 60 days past due 16,000 11.0% 61 to 90 days past due 6,500 37.0% Over 90 days past due 3,200 70.0% The Gross Accounts Receivable balance should be reported as: [answer1]. The Allowance for Doubtful Accounts balance should be reported as: [answer2]. The Net Accounts Receivable balance should be reported as: [answer3].   The Bad Debt Expense should be reported as: [answer4].

The matching principle, as applied to bad debts, requires:

Briguglio Company reported the following purchases and sales of its only product. Briguglio uses a periodic inventory system. Determine the cost assigned to cost of goods sold using FIFO.   Date Activities Units Acquired at Cost Units Sold at Retail May 1 Beginning Inventory 180 units @ $13   May 5 Purchase 235 units @ $15   May 10 Sales   155 units @ $23 May 15 Purchase 115 units @ $16   May 24 Sales   105 units @ $24

On November 1, Witt Company signed a 120-day, 10% note payable, with a face value of $21,000. Witt made the appropriate year-end accrual. What is the journal entry as of March 1 to record the payment? Note: Use 360 days a year.

Tran Company reported the following purchases and sales of its only product. Tran uses a periodic inventory system. Determine the cost assigned to cost of goods sold using LIFO.   Date Activities Units Acquired at Cost Units Sold at Retail May 1 Beginning Inventory 180 units @ $13   May 5 Purchase 235 units @ $15   May 10 Sales   155 units @ $23 May 15 Purchase 115 units @ $16   May 24 Sales   105 units @ $24

Megan earned $100,000 working for Christopher Corporation in the current year. The current rate for FICA Social Security is 6.2% payable on earnings up to $160,200 maximum per year and the rate for FICA Medicare 1.45% of all earnings. The employer’s total FICA payroll tax for this employee is:

Bowker Company’s cost of goods sold was $11,000. Determine its net purchases and ending inventory given the cost of goods available for sale were $29,000 and beginning inventory was $14,000:  

Which of the following pertaining to ordinary repairs & maintenance is false?

Bullseye Company purchased property for $100,000. The property included a building, a parking lot, and land. The building was appraised at $59,500; the land at $47,000, and the parking lot at $18,500. Land should be recorded in the accounting records with an allocated cost of: