Questions from General Accounting

Q: Evans, Inc., had current liabilities at November 30 of $

Evans, Inc., had current liabilities at November 30 of $137,400. The firm’s current ratio at that date was 1.8. Required: a. Calculate the firm’s current assets and working capital at November 30. b....

Q: Proponents of the LIFO inventory cost-flow assumption argue that this

Proponents of the LIFO inventory cost-flow assumption argue that this costing method is superior to the alternatives because it results in better matching of revenue and expense. Required: a. Explain...

Q: Natco, Inc., uses the FIFO inventory costflow assumption. In

Natco, Inc., uses the FIFO inventory costflow assumption. In a year of rising costs and prices, the firm reported net income of $480,000 and average assets of $3,000,000. If Natco had used the LIFO co...

Q: a. Use the horizontal model or write the journal entry to

a. Use the horizontal model or write the journal entry to record the payment of a one-year insurance premium of $3,000 on March 1. b. Use the horizontal model or write the adjusting entry that will b...

Q: At the beginning of its current fiscal year, Willie Corp.

At the beginning of its current fiscal year, Willie Corp.’s balance sheet showed assets of $12,400 and liabilities of $7,000. During the year, liabilities decreased by $1,200. Net in...

Q: a. If the beginning balance of the Inventory account and the

a. If the beginning balance of the Inventory account and the cost of items purchased or made during the period are correct, but an error resulted in overstating the firm’s ending inventory balance by...

Q: Beckett Co. received its bank statement for the month ending June

Beckett Co. received its bank statement for the month ending June 30, 2010, and reconciled the statement balance to the June 30, 2010, balance in the Cash account. The reconciled balance was determine...

Q: Branson Co. received its bank statement for the month ending May

Branson Co. received its bank statement for the month ending May 31, 2010, and reconciled the statement balance to the May 31, 2010, balance in the Cash account. The reconciled balance was determined...

Q: The following is a portion of the current assets section of the

The following is a portion of the current assets section of the balance sheets of Avanti’s, Inc., at December 31, 2011 and 2010: Required: a. If $11,800 of accounts receivable were...

Q: The following is a portion of the current asset section of the

The following is a portion of the current asset section of the balance sheets of HiROE Co., at December 31, 2011 and 2010: Required: a. Describe how the allowance amount at December 31, 2011, was mos...