Questions from Accounting Principles


Q: Timmins Company of Emporia, Kansas, spreads herbicides and applies liquid

Timmins Company of Emporia, Kansas, spreads herbicides and applies liquid fertilizer for local farmers. On May 31, 2020, the company’s Cash account per its general ledger showed a ba...

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Q: Daisey Company is a very profitable small business. It has not

Daisey Company is a very profitable small business. It has not, however, given much consideration to internal control. For example, in an attempt to keep clerical and office expenses to a minimum, the...

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Q: At December 31, 2019, House Co. reported the following

At December 31, 2019, House Co. reported the following information on its balance sheet. Accounts receivable ……………………………………………………………. $960,000 Less: Allowance for doubtful accounts ……………………………………. 80,...

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Q: Sayaovang Company discovers in 2020 that its ending inventory at December 31

Sayaovang Company discovers in 2020 that its ending inventory at December 31, 2019, was $7,000 understated. What effect will this error have on (a) 2019 net income, (b) 2020 net income, and (c) the co...

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Q: Information related to Mingenback Company for 2020 is summarized below.

Information related to Mingenback Company for 2020 is summarized below. Total credit sales …………………………………. $2,500,000 Accounts receivable at December ………… 31 875,000 Bad debts written off …………………………………...

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Q: Presented below is an aging schedule for Halleran Company.

Presented below is an aging schedule for Halleran Company. At December 31, 2020, the unadjusted balance in Allowance for Doubtful Accounts is a credit of $12,000. Instructions a. Journalize and pos...

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Q: Rigney Inc. uses the allowance method to estimate uncollectible accounts receivable

Rigney Inc. uses the allowance method to estimate uncollectible accounts receivable. The company produced the following aging of the accounts receivable at year-end. Instructions a. Calculate the to...

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Q: At December 31, 2020, the trial balance of Darby Company

At December 31, 2020, the trial balance of Darby Company contained the following amounts before adjustment. Instructions a. Based on the information given, which method of accounting for bad debts i...

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Q: On January 1, 2020, Harter Company had Accounts Receivable $

On January 1, 2020, Harter Company had Accounts Receivable $139,000, Notes Receivable $25,000, and Allowance for Doubtful Accounts $13,200. The note receivable is from Willingham Company. It is a 4-mo...

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Q: Suppose the amounts presented here are basic financial information (in millions

Suppose the amounts presented here are basic financial information (in millions) from the 2020 annual reports of Nike and adidas. Instructions Calculate the accounts receivable turnover and average...

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