• Q : What is the earnings per share....
    Accounting Basics :

    A Corp. reported $120,000 of net income and has outstanding 10,000 shares of $1 preferred stock, par of $50, and 50,000 shares of $100 par common stock. What is the earnings per share?

  • Q : Amount of the premium amortized using straight line method....
    Accounting Basics :

    On April 1, Avery Company issued $4,000,000, 5-year, 12% bonds for $4,280,000 with semiannual interest payable on March 31 and September 30. If the effective rate of interest is 10%, determine the f

  • Q : What is the total amount of dividends to be paid....
    Accounting Basics :

    A company has outstanding stock that is composed of 10,000 shares of $5, $50 par preferred stock and 150,000 shares of $10 par common stock. No dividends have been paid thus far in the current year.

  • Q : Prepare a trial balance for the cleland company....
    Accounting Basics :

    From the ledger balances given below, prepare a trial balance for the Cleland Company at June 30, 2010. All account balances are normal.

  • Q : Prepaid insurance had expired....
    Accounting Basics :

    At December 31, 2010, before any year-end adjustments, Janis Company's Prepaid Insurance account had a balance of $2,400. It was determined that $1,000 of the Prepaid Insurance had expired. The adju

  • Q : What amount of ordinary business income is allocated....
    Accounting Basics :

    XYZ Corporation (an S corporation) is owned by Jane and Rebecca who are each 50% shareholders. At the beginning of the year, Jane's basis in her XYZ stock was $40,000. XYZ reported the following tax

  • Q : Fund balance after the last payment....
    Accounting Basics :

    Assuming that the bank account pays 9% interest compounded annually, what will be the fund balance after the last payment is made on December 31, 2020?

  • Q : Entry to record the sales tax payment....
    Accounting Basics :

    A retailer recorded the following in June: cash sales $2,000; credit sales, $9,000; sales returns and allowances, $1,000. Assuming the sales tax rate is 7%, the entry to record the sales tax payment

  • Q : Fair-value method to the equity method....
    Accounting Basics :

    Which adjustment would be made to change from the fair-value method to the equity method?

  • Q : What is the balance in the investment account....
    Accounting Basics :

    What is the balance in the investment account at December 31, 2010?

  • Q : Market value of available-for-sale securities....
    Accounting Basics :

    During 20X9, Thinbill reported operating income of $45,000, an increase of $10,000 in the market value of trading secu- rities held for the year, and an increase of $20,000 in the market value of a

  • Q : Net cash flows of the activities....
    Accounting Basics :

    The Hamada Company sales for 2011 totaled $150,000 and purchases totaled $95,000. Selected January 1, 2011, balances were: accounts receivable, $18,000; inventory, $14,000; and accounts payable, $12

  • Q : Value of identifiable net assets basics....
    Accounting Basics :

    In a business combination accounted for as an acquisition, how should the excess of fair value of identifiable net assets acquired over implied value be treated?

  • Q : Benefit of budgeting problem....
    Accounting Basics :

    Which one of the following is not a benefit of budgeting? Choose one answer a. It facilitates the coordination of activities. b. It provides definite objectives for evaluating performance.

  • Q : Decision to sell the products or rework them....
    Accounting Basics :

    Varto has two alternatives for these items: (1) they can be sold to a wholesaler for $8 each, or (2) they can be reworked at a cost of $125,000 and then sold for $25 each. Prepare an analysis to det

  • Q : Prepare an analysis to determine the process of product....
    Accounting Basics :

    Alternatively, the units can be further processed at a $300,000 total additional cost and be converted into 4,000 units of Product B and 8,000 units of Product C. Per unit selling price for Product

  • Q : How much of the loss can report ontax return....
    Accounting Basics :

    During the year the partnership incurs a $ 120,000 loss. How much of the loss can Karen report on her tax return for the current year?

  • Q : Meaningful basis on a segmented income statement....
    Accounting Basics :

    If a cost cannot be allocated to particular segments on a meaningful basis on a segmented income statement, the cost should be:

  • Q : What is the amount of interest winrow must pay bondholders....
    Accounting Basics :

    Winrow Company received proceeds of $377,000 on 10-year, 8% bonds issued on January 1, 2011. The bonds had a face value of $400,000, pay interest annually on December 31st, and have a call price of

  • Q : Find the contribution margin in dollars....
    Accounting Basics :

    Determine the contribution margin in dollars, per unit, and as a ratio. Using the contribution margin technique, compute the break-even point in dollars and in units.

  • Q : Problem based on entry for the issuance....
    Accounting Basics :

    Give the entry for the issuance assuming the par value of the common was $5 and the market value $30, and the par value of the preferred was $40 and the market value $50. (Each valuation is on a per

  • Q : How much cash will mones receive in the final settlement....
    Accounting Basics :

    The partners capital accounts are as follows Roberts, $50,000, Ferry, $30,000 and Mones 3,000. The partners share profits and losses 5:3:2. If the land is sold for $45,000, how much cash will Mones

  • Q : Comparison with the claims of cleamons....
    Accounting Basics :

    The partnership of Nurr, Cleamons and Kelly was insolvent, as was Cleamons personally. The partnership had begun liquidating its assets and Cleamons' capital account had a debit balance. How would t

  • Q : Charged on a straight-line basis....
    Accounting Basics :

    On January 3, it is installed on a required operating platform costing $1,080, and it is further readied for operations. The company predicts the machine will be used for six years and have a $14,60

  • Q : Installment payments for the fixed-asset acquisitions....
    Accounting Basics :

    Create an REA diagram of data model for Fred's Train Shop's expenditure cycle related to acquisition of office equipment and other fixed assets. Assume that Fred makes installment payments for most

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