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17. Retsu Cafe sells gift cards in $25 increments. Based on experience, Restu estimates that 30% of the gift cards will not be redeemed. During 2025, the restaurant had total gift card sales of $8,000, of which $2,240 were redeemed. What is the ending balance in Unearned Gift Card Revenue reported at December 31, 2025?

6. A change in estimate should

Figure 3: Fraudulent Bank Transactions Predicted Class Fraudulent Predicted Class Normal Actual Class Fraudulent 360 26 Actual Class Normal 450 2085 Review the table labeled Figure 3: Fraudulent Bank Transactions. You trained a model for detecting fraudulent bank transactions, and the table contains the classification results. If the positive class is fraudulent transactions, what is the accuracy and F1 score of the classification?

Question 22 Early in 2020, Dobbs Corporation engaged Kiner, Inc. to design and construct a complete modernization of Dobbs’ manufacturing facility. Construction began on June 1, 2020 and was completed on January 31, 2021. Dobbs made the following payments to Kiner, Inc. during2020: Date Payment  June 1, 2020 $2,160,000 August 31, 2020 $3,240,000 December 31, 2020 $2,700,000 In order to help finance the construction, Dobbs issued the following during 2020: 1. $1,836,000 of 10-year, 9% bonds payable, issued at par on May 31, 2020, with interest payable annually on May 31. 2. 300,000 shares of no-par common stock, issued at $10 per share on October 1, 2020. In addition to the 9% bonds payable, the only debt outstanding during 2020 was a $600,000,12% note payable dated January 1, 2016 and due January 1, 2023, with interest payable annually on January 1. Compute the amounts of each of the following:

 12. Which of the following would not be capitalized as an intangible asset? 

 9. A machine cost $900,000 and was purchased on April 1, 2020. Its estimated salvage value is $100,000 and its expected life is 4 years. The company estimates that the machine can run for 100,000 hours. In 2020, the machine is used for 20,000 hours. Depreciation expense based on machine hours for 2020 is

19. Big Bear BBQ Company sold 200 smokers during 2025 for $1,700 each together with a 1-year warranty. Warranty claims are estimated to be $150 per smoker. Actual warranty claims on the smokers in 2025 were $12,550. Actual warranty claims on the smokers in 2026 are $18,500. The entry to record claims on 2026 warranty expenditures includes

7. Slotkin Products purchased a machine for $65,000 on July 1, 2025. The company intends to depreciate it over 8 years using the double-declining balance method. The salvage value is $5,000. Depreciation for 2026 to the closest dollar is

If the carpet in a rental unit becomes worn due to general wear and tear usage, what responsibility is imposed on the tenant?

8. On September 30, 2025, Markham Co. purchased machinery for $475,000. The salvage value was estimated to be $25,000. The machinery will be depreciated over eight years using the sum-of-the-years’-digits method. Depreciation expense for2026to the closest dollar is