Foggy Bottom LLC records adjusting entries at its December 31 year end. At December 31, employees had earned $12,000 of unpaid and unrecorded salaries. The next payday is January 3, at which time $30,000 will be paid. Prepare the January 1 journal entry to reverse the effect of the December 31 salary expense accrual.
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The current ratio is used to help assess a company’s ability…
The current ratio is used to help assess a company’s ability to pay its debts in the near future.
On July 1, Silver Spurs Hotel borrowed $250,000 cash by sign…
On July 1, Silver Spurs Hotel borrowed $250,000 cash by signing a 10-year, 8% installment note requiring equal payments each June 30 of $37,258. What is the journal entry to record the first annual payment?
Foggy Bottom LLC records adjusting entries at its December 3…
Foggy Bottom LLC records adjusting entries at its December 31 year end. At December 31, employees had earned $12,000 of unpaid and unrecorded salaries. The next payday is January 3, at which time $30,000 will be paid. Prepare the January 1 journal entry to reverse the effect of the December 31 salary expense accrual.
Dean’s Dance Studio received $3,000 from a customer for serv…
Dean’s Dance Studio received $3,000 from a customer for services provided. Dean’s general journal entry to record this transaction will be:
J. Sicard, the sole stockholder, received a $100 dividend fr…
J. Sicard, the sole stockholder, received a $100 dividend from Jay’s Limo Services. Which of the following general journal entries will Jay’s Limo Services make to record this transaction?
A company must repay the bank a single payment of $20,000 ca…
A company must repay the bank a single payment of $20,000 cash in 3 years for a loan it entered into. The loan is at 8% interest compounded annually. The present value factor for 3 years at 8% is 0.7938. The present value of an annuity factor for 3 years at 8% is 2.5771. The present value of the loan (rounded) is:
Garcon owns equipment that cost $90,500 with accumulated dep…
Garcon owns equipment that cost $90,500 with accumulated depreciation of $61,000. Garcon asks $30,000 for the equipment but sells the equipment for $26,000. Which of the following would not be part of the journal entry to record the disposal of the equipment?
The entry to record a cash receipt from a customer when the…
The entry to record a cash receipt from a customer when the service is to be provided in a future period involves a debit to an unearned revenue account.
Depreciation measures the decline in market value of an asse…
Depreciation measures the decline in market value of an asset.