Questions from Accounting Principles

Q: What is the principal difference between a defined-contribution pension plan

What is the principal difference between a defined-contribution pension plan and a defined benefit pension plan?

Q: a. Your roommate says, “Sales taxes are reported as

a. Your roommate says, “Sales taxes are reported as an expense in the income statement.” Do you agree? Explain. b. Jensen Company has cash proceeds from sales of $8,400. This amount includes $400 of s...

Q: Ottawa University sold 15,000 season football tickets at $80

Ottawa University sold 15,000 season football tickets at $80 each for its six-game home schedule. What entries should be made (a) when the tickets were sold, and (b) after each game?

Q: Wilkinson Company established a $100 petty cash fund on August 1

Wilkinson Company established a $100 petty cash fund on August 1. On August 31, the fund had $7 cash remaining and petty cash receipts for postage $31, office supplies $42, and miscellaneous expense $...

Q: What is liquidity? What are two measures of liquidity?

What is liquidity? What are two measures of liquidity?

Q: What is a contingent liability? Give an example of a contingent

What is a contingent liability? Give an example of a contingent liability that is usually recorded in the accounts.

Q: Under what circumstances is a contingent liability disclosed only in the notes

Under what circumstances is a contingent liability disclosed only in the notes to the financial statements? Under what circumstances is a contingent liability not recorded in the accounts nor disclose...

Q: What is the difference between gross pay and net pay? Which

What is the difference between gross pay and net pay? Which amount should a company record as wages and salaries expense?

Q: Which payroll tax is levied on both employers and employees?

Which payroll tax is levied on both employers and employees?

Q: Data for Weatherall Company are presented in BE6.3. Compute

Data for Weatherall Company are presented in BE6.3. Compute the cost of the ending inventory under the average-cost method, assuming there are 380 units on hand.