Cash Balance Per Bank

7/25/2019 Cash Balance Per Bank

1/31

Cash balance per bank $4,287.20

Add: NSF check 597.00

Less: Bank service charge

33.10

Adjusted balance per bank

$4,851.10

Cash balance per books $4,585.20

Less: Deposits in transit 584.90

Add: Outstanding checks

917.00

Adjusted balance per books

$4,917.30

(a) What is the proper adjusted cash balance per bank?

The proper adjusted cash balance per bank

$

(b) What is the proper adjusted cash balance per books?

The proper adjusted cash balance per books

$

(c) Prepare the adjusting journal entries necessary to determine the adjusted cash balance per

books.

Cash balance per bank $4,287.20

Add: Deposits in transit 584.90

Less: Outstanding checks 917.00

= $3,955.10 adjusted balance per bank

Cash balance per books $4,585.20Less: NSF check 597.00

Less: Bank service charge 33.10

= $3,955.10 adjusted balance per books

Journal Entries:

Dr Accounts Receivable 597

Cr Cash 597

Dr Miscellaneous Expense 33.10

Cr Cash 33.10


2/31

home/study/business/accounting/questions and answers/ exercise 7-12 your answer is incorrect. tryagain. ...

Question

Exercise 7-12

Your answer is incorrect. Try again.

A new accountant at Leftwich nc. is trying to identify which ofthe amounts shown be!ow shou!d be re"orted as the currentasset #$ash and cash equi%a!ents# in the year-end ba!ancesheet& as of A"ri! '(& 2(1).

1.

*+( of currency and coin in a !oc,ed box used for incidenta! cashtransactions.

2. A *1(&((( .. Treasury bi!!& due /ay '1& 2(1).

'.

*2+( of A"ri!-dated chec,s that Leftwich has recei%ed from customers butnot yet de"osited.

).

An *0 chec, recei%ed from a customer in "ayment of its A"ri! account&but "ostdated to /ay 1.

. *2&(( in the com"any#s chec,ing account.

+. *)&0(( in its sa%ings account.

7. *7 of "re"aid "ostage in its "ostage meter.

0. A *2 from the com"any rece"tionist.

(a)3hat ba!ance shou!d Leftwich re"ort as its #$ash andcash equi%a!ents# ba!ance at A"ri! '(& 2(1)4
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3/31

$ash and cash equi%a!ents ba!ance at A"ri! '(& 2(1) *44444

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Answer

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4/31

home/study/business/accounting/questions and answers/ problem 7-7a castle corporation preparesmonthly ...

Question

Problem 7-7A

$ast!e $or"oration "re"ares month!y cash budgets. :ere are re!e%ant data fromo"erating budgets for 2(1).

;anuary


5/31

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6/31

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Answer

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(1&1) answers
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7/31


8/31

home/study/business/accounting/questions and answers/ presented below are the data on three

promissory ...

Duestion

8resented be!ow are the data on three "romissory notes.etermine the missing amounts 6round answers to ( decima!"!aces& e.g. 12 Assume !ength of year '+( days.

ate ofCote Terms /aturity 8rinci"a! Annua!nterest Tota! nterest ate Bate

A"ri! 1 +( days 4 *+((&((( =F
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9/31

4;u!y 2 '( days 4 =(&((( 4

*+((/arch 7 + months 4 12(&((( 1(F

4

$omment

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10/31

More Answers

Anonymousanswered this more than 1 day !ater3as this answer he!"fu!4

2

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11/31

1$om"ute '/Ks recei%ab!e turno%er. (Round answers to 1decimal place, e.g. 12.5.!

Accounts recei%ab!e turno%er ratio times

2$om"ute '/Ks a%erage co!!ection "eriod for accountsrecei%ab!e in days. (Round answer to 1 decimal place,e.g. 12.5. "se 35 days for calculation.!

A%erage co!!ection "eriod days

$omment

Ex"ert Answer

Anonymousanswered this 2 hours !ater

3as this answer he!"fu!4

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1 Accounts Becei%ab!e turno%er ratio Cet annua! credit sa!e H 6beginning accountsrecei%ab!eMending accounts recei%ab!eH2

*21.= bi!!ionH 6*'.)' M *'.1 bi!!ionH2

+.'1 times

2 a%erage co!!ection "eriod a%erage accounts recei%ab!e H 6Annua! sa!esH'+days

a%erage accounts recei%ab!e '.)'M'.1 bi!!ion H 2

* '.)7 bi!!ion

a%erage co!!ection "eriod * '.)7 H (.(+

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12/31

Duestion

Exercise 0-0

These transactions too, "!ace for N!a%ine $o.

"#$

1.

/ay1

Becei%ed a *&((& 12-month& 7F note in exchange for an outstandingaccount recei%ab!e from . Booney.

2

.

ec.

'1 Accrued interest re%enue on the . Booney note.

"#$%

'.

/ay1

Becei%ed "rinci"a! "!us interest on the . Booney note. 6Co interest hasbeen accrued since ecember '1& 2(1'.

Becord the transactions in the genera! Oourna!. The com"anydoes not ma,e entries to accrue interest exce"t at ecember'1.(#redit account titles are automatically indentedwhen amount is entered. $o not indent manually.

Round answers to 0 decimal places, e.g. 5,250.!

$omment

Answer

Anonymousanswered this '' minutes !ater


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7 answers

&'no

Date Particulars Debit()

!reit
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13/31

()

1/ay1&2(1' Cote Becei%ab!e ((

To Accounts Becei%ab!e -.Booney ((

6>eing Cote for .BooneyPs>a!ance

2 ec'1&2(1' nterest Becei%ab!e 2+.+7

To nterest2+.+7

6>eing nterest accrued

'/ay'1&2(1) >an, AHc 00

To Cote Becei%ab!e ((

To nterest Becei%ab!e2+.+7

To nterest

120.

''

6 $o!!ect Cote - .Booney

These transactions took place for Glavine Co.

2013


14/31

1.May 1

Received a $5,000, 12-month, 6% note in exchange for an outstanding account receivable from

S. Rooney.

2.Dec. 31

Accrued interest revenue on the S. Rooney note.

2014

3.May 1

Received principal plus interest on the S. Rooney note. (No interest has been accrued since

December 31, 2013.)

Record the transactions in the general journal. The company does not make entries to accrue

interest except at December 31.(Credit account titles are automatically indented when amount is

entered. Do not indent manually. Round answers to 0 decimal places, e.g. 5,250.)

Dr Notes receivable $5,000

Cr Accounts receivable $5,000

Dec. 31

Dr Interest receivable $200 [$5,000 x 6% x 8/12]

Cr Interest revenue $200

May 1

Dr Cash $5,300

Cr Notes receivable $5,000

Cr Interest receivable $200

Cr Interest revenue $100 [$5,000 x 6% x 4/12]

On January 1, 2012, Sather Company had Accounts Receivable $56,800 and Allowance for

Doubtful Accounts $5,690. Sather Company prepares financial statements annually and uses a

perpetual inventory system. During the year the following selected transactions occurred.

Jan. 5 Sold $8,200 of merchandise to Noel Company, terms n/30. Cost of the merchandise sold

was $5,210.

Feb. 2 Accepted a $8,200, 4-month, 9% promissory note from Noel Company for balance due.

Feb. 12 Sold $14,160 of merchandise costing $6,420 to Lima Company and accepted Lima's

$14,160, 2-month, 10% note for the balance due.

Feb. 26 Sold $6,020 of merchandise costing $4,090 to Hubbard Co., terms n/10.

Apr. 5 Accepted a $6,020, 3-month, 8% note from Hubbard Co. for balance due.

Apr. 12 Collected Lima Company note in full.

June 2 Collected Noel Company note in full.

June 15 Sold $2,600 of merchandise costing $1,520 to Matthews Inc. and accepted a $2,600, 6-month, 12% note for the amount due.


15/31

Jan. 5 Sold $8,200 of merchandise to Noel Company, terms n/30. Cost of the merchandise sold

was $5,210.

Dr Accounts receivable (AR) $8,200

Cr Sales $8,200

Dr COGS $5,210

Cr Merchandise inventory (MI) $5,210

Feb. 2 Accepted a $8,200, 4-month, 9% promissory note from Noel Company for balance due.

Dr Notes receivable (NR) $8,200

Cr AR $8,200

Feb. 12 Sold $14,160 of merchandise costing $6,420 to Lima Company and accepted Lima's

$14,160, 2-month, 10% note for the balance due.

Dr NR $14,160

Cr Sales $14,160

Dr COGS $6,420

Cr MI $6,420

Feb. 26 Sold $6,020 of merchandise costing $4,090 to Hubbard Co., terms n/10.

Dr AR $6,020

Cr Sales $6,020

Dr COGS $4,090

Cr MI $4,090

Apr. 5 Accepted a $6,020, 3-month, 8% note from Hubbard Co. for balance due.

Dr NR $6,020

Cr AR $6,020

Apr. 12 Collected Lima Company note in full.

Dr Cash $14,396

Cr NR $14,160

Cr Interest revenue $236 ($14,160 x 10% x 2/12)

June 2 Collected Noel Company note in full.

Dr Cash $8,446

Cr NR $8,200

Cr Interest revenue $246 ($8,200 x 9% x 4/12)

June 15 Sold $2,600 of merchandise costing $1,520 to Matthews Inc. and accepted a $2,600, 6-

month, 12% note for the amount due.


16/31

Dr NR $2,600

Cr Sales $2,600

Dr COGS $1,520

Cr MI $1,520

On January 1, 2014, Oswalt Company had Accounts Receivable of

$54,200 and Allowance for Doubtful Accounts of $3,700. Oswalt

Company prepares financial statements annually. During the year, the

following selected transactions occurred.

1. Jan. 5 Sold $4,000 of merchandise to Ross Company, terms

n/30.2. Feb. 2 Accepted a $4,000, 4-month, 9% promissory note

from Ross Company for balance due.

3. 12 Sold $12,000 of merchandise to Cano Company and

accepted Canos $12,000, 2-month, 10% note for the balance due.

4. 26 Sold $5,200 of merchandise to Meachum Co., terms n/10.

5. Apr. 5 Accepted a $5,200, 3-month, 8% note from Meachum

Co. for balance due.

6. 12 Collected Cano Company note in full.7. June 2 Collected Ross Company note in full.

8. 15 Sold $2,000 of merchandise to Glanvile Inc. and accepted

a $2,000, 6-month, 12% note for the amount due.

Journalize the transactions.

Please use the format I have provided in the photo below:

On January 1, 2014, Oswalt Company had Accounts Receivable of $54,200 and Allowance for

Doubtful Accounts of $3,700. Oswalt Company prepares financial statements annually. Duringthe year, the following selected transactions occurred.

*ournal +ntries1. Jan. 5 Sold $4,000 of merchandise to Ross Company, terms n/30.

January 5

Accounts Receivables (Ross Company) A/c Dr. $4,000

To Sales Revenue A/c Cr. $4,000


17/31

2. Feb. 2 Accepted a $4,000, 4-month, 9% promissory note from Ross Company for

balance due.

February 2

Notes Receivables (Ross company) A/c Dr. $4,000

To Accounts Receivables (Ross Company) A/c Cr. $4000

3. 12 Sold $12,000 of merchandise to Cano Company and accepted Canos $12,000, 2-

month, 10% note for the balance due.

12

Notes Receivables (Cano Company) A/c Dr. $12,000


4. 26 Sold $5,200 of merchandise to Meachum Co., terms n/10.

26

Accounts Receivables (Meachum Co.) A/c Dr. $5,200


5. Apr. 5 Accepted a $5,200, 3-month, 8% note from Meachum Co. for balance due.

Apr. 5

Notes Receivables (Meachum Co.) A/c Dr. $5,200

To Accounts Receivables (Meachum Co.) A/c Cr. $5,200

6. 12 Collected Cano Company note in full.

12

Cash A/c Dr. $12,200

To Notes Receivables (Cano Company) A/c Cr. $12,000

To Interest Revenue A/c Cr. $ 200 ( $ 12000 *0.10* 2 month / 12 months)

7. June 2 Collected Ross Company note in full.

June 2

Bank A/c Dr. $ 4120

To Notes Receivables (Ross Company) A/c Cr. $4,000


18/31

To Interest Revenues A/c Cr. $ 120 ($ 4000 * 0.09 * 4 months / 12 months)

8. 15 Sold $2,000 of merchandise to Glanvile Inc. and accepted a $2,000, 6-month, 12%

note for the amount due.

15

Note Receivables (Glanvile Inc.) A/c Dr. $2,000


home/study/business/accounting/questions and answers/ tolbert company incurs these expenditures

in purchasing ...

Duestion

To!bert $om"any incurs these ex"enditures in "urchasing atruc,? cash "rice *2)&(((@ accident insurance 6during use*2&(((@ sa!es taxes *1&(0(@ motor %ehic!e !icense *'((@ and"ainting and !ettering *1&7((.

3hat is the cost of the truc,4

The cost of the truc, *4444

$omment

Ex"ert Answer

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)&2)7 answers

tatement showingcom"utations

8articu!ars Amount

$ash8rice
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19/31

2)&(((.((

a!es tax1&(0(.((

8ainting and Lettering1&7((.((

Tota! $ost of Truc,2+&70(.((

Cote Accident nsuranceand /otor 5ehic!e !icenseare re%enue ex"enses

Hinshaw Company purchased a new machine on October 1, 2014, at a cost of $87,200. The

company estimated that the machine has a salvage value of $8,000. The machine is expected

to be used for 70,200 working hours during its 7-year life. Compute the depreciation expense

under the straight-line method for 2014 and 2015, assuming a December 31 year-end. (Round

answers to 0 decimal places, e.g. 125.)

Depreciation per year using straight line method:

($87,200 - $8000) /7 years

, $$$%'". per yearIn 2014, it was in use for 3 months. So the depreciation allowed is:

($$$%'".)( mont/s 0 $" mont/s per year) , "1"1'27In "#$2we can epreciate t/e entire yearly amount of $$$%'".

home/study/business/economics/questions and answers/ seger company was organized on january

1. during ...

Duestion

eger $om"any was organiQed on ;anuary 1. uring the Jrstyear of o"erations& the fo!!owing "!ant asset ex"enditures and

recei"ts were recorded in random order.
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20/31

Debit

1.$ost of rea! estate "urchased as a "!ant site 6!and *2+2&07(and bui!ding *2&2'( * 200&1((

2.nsta!!ation cost of fences around "ro"erty +&=+(

'.$ost of demo!ishing bui!ding to ma,e !and suitab!e forconstruction of new bui!ding 2)&7=(

).Exca%ation costs for new bui!ding 1'&70(

.Accrued rea! estate taxes "aid at time of "urchase of rea!estate 2&))=

+.$ost of "ar,ing !ots and dri%eways '0&7((

7.ArchitectKs fees on bui!ding "!ans '&)7(

0.Bea! estate taxes "aid for the current year on !and +&+20

=.


21/31

$omment

Ex"ert Answer

Anonymousanswered this


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+7= answers

8!ease see the be!ow tab!e for a!! the required answers

tem Land >ui!ding

therAccounts

AccountTit!e

162+2&07(

62&2'(

-

2 - - 6+&=+(

Land

m"ro%ements

'

- 62)&7=(

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- -

7

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-

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- - 6+&+20

8ro"erty

Tax
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22/31

ex"ense

=

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tem 2 - ts a !and im"ro%ement cost

tem 0 is a "ro"erty tax which has to be e%ery year

Bemaining a!! items are c!assiJed either Land or >ui!ding according to their ex"ensety"e.

home/study/business/accounting/questions and answers/ quinn company sells office equipment on

july 31, ...

Duestion


23/31

how transcribed image text

$omment

Ex"ert Answer

/oo!chandharmaanswered this


1

1

)&'=+ answers

Answer3

*ournal +ntry3

(b)

!as/ Debit "72#

4oss in Disposal of plant Asset Debit $$.#

Accumulate Depreciation Debit %27.#

56ce +uipment !reit 1$%7#

Note 3 Accumulate epreciation s/all be ta8en till t/e ate of sale ofasset , (%#.2#9%1%#) , %27.#

4oss on Disposal of plant Asset , (!ost - Accumulate Dep) - &ale :alue

, (1$%7# ; %27.#) ; "72# ,$$.#
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24/31

home/study/business/accounting/questions and answers/ quinn company sells office equipment on

july 31, ...

Duestion

Duinn $om"any se!!s oRce equi"ment on ;u!y '1& 2(1)& for*21&2(( cash. The oRce equi"ment origina!!y cost *00&'+(and as of ;anuary 1& 2(1)& had accumu!ated de"reciation of*)1&)0(. e"reciation for the Jrst 7 months of 2(1) is*)&00(. 8re"are the Oourna! entries to 6a u"date de"reciationto ;u!y '1& 2(1)& and 6b record the sa!e of the equi"ment.

$omment

Ex"ert Answer

E!iQabeth >rown$hegg ex"ert answered this


(

(

1&12) answers

Jazz Company purchases a patent for $150,000 on January 2, 2010. Its estimated useful life is5 years.

(a) Prepare the journal entry to record amortization expense for the first year.

(b) Show how this patent is reported on the balance sheet at the end of the first year.

a) [You have the wrong date on your answer, the rest is right.]

Dec 31

Debit 'Amortization Expense - Patent' $ 30,000
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25/31

Credit 'Patent' $ 30,000

----------------

b) Here's what your missing : I'll show what happens in the Patent account over the year :

. . . . . . . . Patent Account

Date . . . . . . . Amount . . . . . . . . Balance

Jan 2 . . . . . $ 150,000 Dr . . . . $ 150,000 Dr

Dec 31 . . . . $ .30,000 Cr . . . . $ 120,000 Dr

--------------------

The year-end amortization adjusting entry reduces the balance sheet 'Patent' account by

$30,000, leaving that account with a year-end balance of $ 120,000 Dr.

Question 1

SupposeNi8e Inc'reported the following plant assets and intangible

assets for the year ended May 31, 2014 (in millions): other plant assets

$961.3; land $242.9; patents and trademarks (at cost) $534.0;

machinery and equipment $2,155.9; buildings $962; goodwill (at cost)

$170.1; accumulated amortization $50.1; and accumulated

depreciation $2,263.

Prepare a partial balance sheet for Nike for these items.(-ist

%roperty, %lant and )uipment in order of -and,

uildings and )uipment.!

home/study/business/accounting/questions and answers/ presented here are selected transactions

for pine ...

Duestion


26/31

8resented here are se!ected transactions for 8ine $om"any for2(1).

;an. 1

Betired a "iece of machinery that was "urchased on ;anuary 1& 2((). The

machine cost *71&((( on that date and had a usefu! !ife of 1( years withno sa!%age %a!ue.

;une

'(

o!d a com"uter that was "urchased on ;anuary 1& 2(11. The com"utercost *'(&((( and had a usefu! !ife of years with no sa!%age %a!ue. Thecom"uter was so!d for *12&(((.

ec.

'1

iscarded a de!i%ery truc, that was "urchased on ;anuary 1& 2((=. Thetruc, cost *''&)(( and was de"reciated based on an 0-year usefu! !ife witha *'&((( sa!%age %a!ue.

;ourna!iQe a!! entries required on the abo%e dates& inc!udingentries to u"date de"reciation& where a""!icab!e& on assetsdis"osed of. 8ine $om"any uses straight-!ine de"reciation.6Assume de"reciation is u" to date as of ecember '1&2(1'.

Date Account Titles an +


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6To record de"reciation on truc, so!d

Equi"ment '(&(((

Nain on is"os

e"reciation Ex '&0((

Accumu!ated e '&0((

Loss on is"osa

Accumu!ated e

Equi"ment ''&)((


28/31

Presented below are selected transactions at Ingles Company for 2008.

Journalize all entries required on the above dates, including entries to update depreciation,

where applicable, on assets disposed of. Ingles Company uses straight-line depreciation.

(Assume depreciation is up to date as of December 31, 2007.)

Jan. 1 Retired a piece of machinery that was purchased on January 1, 1998. The machine cost

$62,000 on that date. It had a useful life of 10 years with no salvage value.

June 30 Sold a computer that was purchased on January 1, 2005. The computer cost $40,000.

It had a useful life of 5 years with no salvage value. The computer was sold for $14,000.

Dec. 31 Discarded a delivery truck that was purchased on January 1, 2004. The truck cost

$39,000. It was depreciated based on a 6-year useful life with a $3,000 salvage value.

1-Jan 1 08 Accum Depr $62000

Equip $62000

To retire fully depreciated machinery

2- Orig Cost $40000 - $28000 = $12000 Book Value on June 30 08Calc. $40000/5 = $8000 annual depr.


29/31

No of periods in use = 3.5 (2005, 2006, 2007, and 6 months in 2008)

Total depr = $8000 x 3.5 = $28000

June 30 08 Depr Exp $4000

Accum Depr $4000

To record 6 months of current year depreciation

Book value now = $40000 - $28000 = $12000

Sold for $14000 so you have a $2000 gain on sale

June 30 08 Cash $14000

Accum Depr 28000

Gain on Sale $2000

Equip 40000

To record sale of computer on June 30 08

3. Amount of depr taken as of Dec 30 08 = $39000-3000/6 = $6000 annual depr for 5

years (2004, 2005, 2006, 2007, & 2008) = $6000 x 5

= $30000 accum depr as of Dec 30 08. Truck was discarded with $6000 undepreciated

cost remaining so a $6000 loss on disposal occured.

Dec 30 08 Depr Exp $6000

Accum Depr $6000

To record current year depreciation

Dec 30 08 Accum Depr - Truck $30000

Loss on Disposal of Truck 6000

Equip - Truck $36000

To write-off disposal of truck

ct. 1Acquired a co"yright for *2((&(((.The co"yright has a usefu!!ife of (years.nstructions?6a8re"are Oourna! entries to record thetransactions abo%e.6b8re"are Oourna! entries to record the 2(12amortiQation ex"ense for intangib!e assets.6c8re"are the intangib!eassets section of the ba!ance sheet at ecember '1& 2(12.6d8re"arethe note to the Jnancia!s on TimeKs intangib!es as of ecember '1&2(12.AC3EB?a2-;an8atents)&((($ash)&(((;an-;unBesearch ande%e!o"ment ex"ense2'(&((($ash2'(&(((1-e"Ad%ertisingEx"ense12&((($ash12&(((1-ct$o"yright2((&((($ash2((&(((


30/31


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Thispre*iewhas intentiona!!y lurredsections. ign upto

%iew the fu!! %ersion.

View Full Document

b'1-ecAmortiQation Ex"ense - 8atents1&(((8atents61(((((G1H1(M6)(((G1H=1&((('1AmortiQation Ex"ense -$o"yright7&((($o"yright6+((((G1H1(M62(((((G1H(G'H127&(((cntangib!e Assets8atents 61(((((M)(((-61((((M1(((*12(&((($o"yright 6+((((M2(((((-62)(((M7(((22=&(((Tota! intangib!e assets*')=&(((dTheintangib!e assets of the com"any consists of two "atents and

twoco"yrights. ne "atent with a tota! cost of *1)&((( is beingamortiQedin two segments 6*1((&((( o%er 1( years and *)&((( o%er= years@ theother "atent was obtained at no recordab!e cost. Aco"yright with a costof *+(&((( is being amortiQed o%er 1( years@ theother co"yright with acost of *2((&((( is being amortiQed o%er (years
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