Questions from Accounting Principles

Q: Define two generally accepted accounting principles that relate to adjusting the accounts

Define two generally accepted accounting principles that relate to adjusting the accounts.

Q: Eckholm Company records all prepayments in income statement accounts. At April

Eckholm Company records all prepayments in income statement accounts. At April 30, the trial balance shows Supplies Expense $2,800, Service Revenue $9,200, and zero balances in related balance sheet a...

Q: The balance sheet debit column of the worksheet for Jolie Company includes

The balance sheet debit column of the worksheet for Jolie Company includes the following accounts: Accounts Receivable $12,500, Prepaid Insurance $4,500, Cash $4,100, Supplies $5,200, and Debt Investm...

Q: The ledger of Walters Company includes the following unadjusted balances: Prepaid

The ledger of Walters Company includes the following unadjusted balances: Prepaid Insurance $3,000, Service Revenue $60,000, and Salaries and Wages Expense $25,000. Adjusting entries are required for...

Q: The following selected accounts appear in the adjusted trial balance columns of

The following selected accounts appear in the adjusted trial balance columns of the worksheet for Ashram Company: Accumulated Depreciation, Depreciation Expense, Owner’s Capital, Owner’s Drawings, Ser...

Q: At Raymond Company, the following errors were discovered after the transactions

At Raymond Company, the following errors were discovered after the transactions had been journalized and posted. Prepare the correcting entries. 1. A collection on account from a customer for $870 was...

Q: Assume Kupfer Company has the following reported amounts: Sales revenue $

Assume Kupfer Company has the following reported amounts: Sales revenue $510,000, Sales returns and allowances $15,000, Cost of goods sold $330,000, and Operating expenses $90,000. Compute the followi...

Q: Assume the same information as in BE5.12 and also that

Assume the same information as in BE5.12 and also that Morgan Company has beginning inventory of $60,000, ending inventory of $90,000, and net sales of $730,000. Determine the amounts to be reported f...

Q: Presented below is the format of the worksheet using the periodic inventory

Presented below is the format of the worksheet using the periodic inventory system presented in Appendix 5B. Indicate where the following items will appear on the worksheet: (a) Cash, (b) Beginning...

Q: Indicate whether the following statements are true or false. If false

Indicate whether the following statements are true or false. If false, indicate how to correct the statement. 1. A merchandising company reports gross profi t but a service company does not. 2. Under...