• Q : What would gmac be willing to accept....
    Accounting Basics :

    What would GMAC be willing to accept such a small amount today ($500) in exchange for a promise to repay 20 times that amount ($10000) in the future?

  • Q : How much of the order processing overhead should be allocate....
    Accounting Basics :

    The company places raw materials orders 10 times per month, 2 times for raw materials for sweaters and the remainder for raw materials for jackets. How much of the order processing overhead should b

  • Q : What is journal entry to get the $97,000 out of provision....
    Accounting Basics :

    In 2009 we realized we were going to have a loss of $97,000 on a project in 2010. We used a "Provision for loss on Jobs" account. We have now realized the loss in 2010. What is my journal entry to g

  • Q : What is the current market price of these bonds....
    Accounting Basics :

    Jackson corporation s bonds have 12 years remaining to maturity interest is paid annually the bonds have a 1 000 par value and the coupon interest rate is 8 the bonds have a yield to maturity of 9 w

  • Q : By what amount should the bond issue proceeds increase....
    Accounting Basics :

    On March 1, 2009, the market price of each warrant was $3. By what amount should the bond issue proceeds increase shareholders' equity?

  • Q : What would expected net income be....
    Accounting Basics :

    Given the following: Sales are $5000, fixec expenses are $2000, and variable expenses are $1750, what would expected net income be if the company experienced a 10 percent increase in fixed costs and

  • Q : What is budgeted sales for 20x5....
    Accounting Basics :

    All other operating expenses are expected to remain constant. Assume that COGS is a variable cost and that operating expenses are a fixed cost. What is budgeted sales for 20X5?

  • Q : What is richards corporation"s charitable contribution....
    Accounting Basics :

    Richards Corporation has taxable income of $280,000 calculated before the charitable contribution deduction and before its dividends-received deduction of $34,000. Richards makes cash contributions

  • Q : Prepare the journal entry to record the acquisition....
    Accounting Basics :

    Purchase land and building for $134,000. There is no evidence of separate price agreed up on for the land and the building, however an appraisal for the assets at date of acquisition is as follows:

  • Q : How much do you owe on the mortgage today....
    Accounting Basics :

    You have just made your monthly payment. The mortgage interest rate is 6 3/8% (APR). How much do you owe on the mortgage today?

  • Q : How long must one wait for initial investment....
    Accounting Basics :

    How long must one wait (to the nearest year) for an initial investment of $1,000 to triple in value if the investment earns 8% compounded annually?

  • Q : Determine how many gallons of direct materials....
    Accounting Basics :

    Determine how many gallons of direct materials should be purchased during the three months ending March 31 and the cost of these gallons.  

  • Q : What is the adjusting entry that should be recorded....
    Accounting Basics :

    On March 31, 2009, Phoenix, Inc. paid Melanie Publishing Company $15,480 for a 3-year subscription for five different magazines. The subscriptions started immediately. What is the adjusting entry th

  • Q : What alternative methods can be used....
    Accounting Basics :

    What alternative methods can be used to structure the transaction to achieve better tax consequences?

  • Q : What is the charitable contribution deduction....
    Accounting Basics :

    "Prior to a charitable gift to the Plato University of land with a basis of $6,000 and a value of $13,000, All-Set, Inc. had taxable income of $50,000. If the dividends-received deduction was $80,00

  • Q : What are cisco''s net income....
    Accounting Basics :

    Cisco Systems has total assets of $35.594 billion, total debt of $9.678 billion, and net sales of $22.045 billion. Their net profit margin for the year was 20 percent, while the operating profit mar

  • Q : What is the gain on the sale....
    Accounting Basics :

    During 2005, Plano Co. purchased 2,000, $1,000, 9% bonds. The carrying value of the bonds at December 31, 2007 was $1,960,000. The bonds mature on March 1, 2012, and pay interest on March 1 and Sept

  • Q : What is the deferred tax liability....
    Accounting Basics :

    show a example formula of total revenue of 800,000, expense of 200,000 for tax purposes, and depreciation expense of 130,000 for reporting purposes, the tax rate is 34 percent. Calculate net income

  • Q : How many units must it sell....
    Accounting Basics :

    Drake Company's income statement for the most recent year appears below: If the company desires a net operating income of $20,000, how many units must it sell?

  • Q : Determine the account balance on july 1....
    Accounting Basics :

    During July, $90,300 was paid to creditors on account, and purchases on account were $115,150. Assuming the July 31 balance of Accounts Payable was $39,000, determine the account balance on July 1.

  • Q : Determine the cost of goods sold....
    Accounting Basics :

    The Company completed 60,000 units during the year at a cost of $900,000. The beginning finished goods inventory was 10,000 units at $140,000. Determine the cost of goods sold for 45,000 units, assu

  • Q : What is the amount of interest expense recognized....
    Accounting Basics :

    on July 8, Alton Co. issued an $80,000, 6%, 120-day note payable to Seller Co. Assume that the fiscal year of Alton Co. ends July 31. Using the 360-day year in your calculations, what is the amount

  • Q : What is the amount and character of the recognized gain....
    Accounting Basics :

    Silvia receives all 1,000 shares of Leaf Corporation stock worth $50,000 and a two-year note with a $5,000 FMV. What is the amount and character of the recognized gain or loss?

  • Q : What would be the reduction in winger''s stockholders'' equity....
    Accounting Basics :

    The quoted market price for a Fegan share was $7 on the declaration date and $9 on the distribution date. What would be the reduction in Winger's stockholders' equity as a result of the above transa

  • Q : What was the balance in eve''s prepaid insurance....
    Accounting Basics :

    Eve's Apples opened business on January 1, 20X8, and paid for two insurance policies effective that date. The liability policy was $36,000 for eighteen-months, and the crop damage policy was $12,000

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