Questions from Accounting Principles

Q: Tabares Corporation had these transactions during 2020. a. Issued

Tabares Corporation had these transactions during 2020. a. Issued $50,000 par value common stock for cash. b. Purchased a machine for $30,000, giving a long-term note in exchange. c. Issued $200,000 p...

Q: Rodriquez Corporation’s comparative balance sheets are presented below. /

Rodriquez Corporation’s comparative balance sheets are presented below. Additional information: 1. Net income was $18,300. Dividends declared and paid were $16,400. 2. Equipment wh...

Q: Macgregor Company completed its fi rst year of operations on December 31

Macgregor Company completed its fi rst year of operations on December 31, 2020. Its initial income statement showed that Macgregor had revenues of $192,000 and operating expenses of $78,000. Accounts...

Q: Suppose a recent income statement for McDonald’s Corporation shows cost of goods

Suppose a recent income statement for McDonald’s Corporation shows cost of goods sold $4,852.7 million and operating expenses (including depreciation expense of $1,201 million) $10,671.5 million. The...

Q: The 2020 accounting records of Blocker Transport reveal these transactions and events

The 2020 accounting records of Blocker Transport reveal these transactions and events. Instructions Prepare the cash flows from operating activities section using the direct method. (Not all of the...

Q: An analysis of comparative balance sheets, the current year’s income statement

An analysis of comparative balance sheets, the current year’s income statement, and the general ledger accounts of Wellman Corp. uncovered the following items. Assume all items involve cash unless the...

Q: Cushenberry Corporation had the following transactions. 1. Sold land

Cushenberry Corporation had the following transactions. 1. Sold land (cost $12,000) for $15,000. 2. Issued common stock at par for $20,000. 3. Recorded depreciation on buildings for $17,000. 4. Paid s...

Q: Gutierrez Company reported net income of $225,000 for 2020

Gutierrez Company reported net income of $225,000 for 2020. Gutierrez also reported depreciation expense of $45,000 and a loss of $5,000 on the disposal of plant assets. The comparative balance sheet...

Q: In January 2020, the management of Kinzie Company concludes that it

In January 2020, the management of Kinzie Company concludes that it has sufficient cash to permit some short-term investments in debt and equity securities. During the year, the following transactions...

Q: The current sections of Scoggin Inc.’s balance sheets at December

The current sections of Scoggin Inc.’s balance sheets at December 31, 2019 and 2020, are presented here. Scoggin’s net income for 2020 was $153,000. Depreciation ex...