Questions from Financial Accounting

Q: On January 1, 2018, Methodical Manufacturing issued 100 bonds,

On January 1, 2018, Methodical Manufacturing issued 100 bonds, each with a face value of $1,000, a stated interest rate of 5 percent paid annually on December 31, and a maturity date of December 31, 2...

Q: Refer to PB10-6. Assume Methodical uses the effective-

Refer to PB10-6. Assume Methodical uses the effective-interest bond amortization method. Required: 1. Prepare a bond amortization schedule. 2. Give the journal entry to record the bond issue. 3. Gi...

Q: Assume the same facts as PB10-6, but now assume

Assume the same facts as PB10-6, but now assume that Methodical uses the simplified effectiveinterest bond amortization method, as shown in Chapter Supplement 10C. Required: 1. Prepare a bond amort...

Q: Zarina Corp. signed a new installment note on January 1,

Zarina Corp. signed a new installment note on January 1, 2018, and deposited the proceeds of $15,000 in its bank account. The note has a two-year term, compounds 4 percent interest annually, and requi...

Q: Whyville Corporation obtained its charter from the state in January that authorized

Whyville Corporation obtained its charter from the state in January that authorized 500,000 shares of common stock, $1 par value. During the first year, the company earned $58,000, declared no dividen...

Q: Yougi Corp. is an animation studio that issued the following recent

Yougi Corp. is an animation studio that issued the following recent press release: Required: 1. Prepare any journal entries that Yougi Corp. should make on the four dates mentioned in the press rele...

Q: What aspect(s) of the Sarbanes-Oxley Act might

What aspect(s) of the Sarbanes-Oxley Act might counteract the incentive to commit fraud?

Q: At December 31, the records of Seacrest Enterprises provided the following

At December 31, the records of Seacrest Enterprises provided the following selected and incomplete data: Required: 1. Complete the following: Shares issued . Shares outstanding . 2. The balance in...

Q: Carlos Company had the following stock outstanding and Retained Earnings at December

Carlos Company had the following stock outstanding and Retained Earnings at December 31, 2018: On December 31, 2018, the board of directors is considering the distribution of a cash dividend to the c...

Q: Two music companies reported the following in their financial statements:

Two music companies reported the following in their financial statements: Required: 1. Compute the 2018 ROE for each company (express ROE as a percentage rounded to one decimal place). Which company...