Questions from Accounting Principles

Q: Apple offers device service and repair through its AppleCare program. Assumed

Apple offers device service and repair through its AppleCare program. Assumed data follow. Required 1. Compute time charge per hour of direct labor (in $). 2. Compute materials markup per dollar of di...

Q: Stanford issues bonds dated January 1, 2021, with a par

Stanford issues bonds dated January 1, 2021, with a par value of $500,000. The bonds’ annual contract rate is 9%, and interest is paid semiannually on June 30 and December 31. The bonds mature in thre...

Q: Quarto Co. issues bonds dated January 1, 2021, with

Quarto Co. issues bonds dated January 1, 2021, with a par value of $400,000. The bonds’ annual contract rate is 13%, and interest is paid semiannually on June 30 and December 31. The bonds mature in t...

Q: On January 1, Harbor (lessee) signs a five-

On January 1, Harbor (lessee) signs a five-year lease for equipment that is accounted for as a finance lease. The lease requires five $10,000 lease payments (the first at the beginning of the lease an...

Q: National Motors Company advertised three alternatives for a 25-month lease

National Motors Company advertised three alternatives for a 25-month lease on a new Tahoe: (1) zero dollars down and a lease payment of $1,750 per month for 25 months, (2) $5,000 down and $1,500 per m...

Q: Brussels Enterprises issues bonds at par dated January 1, 2021,

Brussels Enterprises issues bonds at par dated January 1, 2021, that have a $3,400,000 par value, mature in four years, and pay 9% interest semiannually on June 30 and December 31. 1. Record the entry...

Q: Tango Company issues bonds with a par value of $180,

Tango Company issues bonds with a par value of $180,000 on January 1, 2021. The bonds’ annual contract rate is 8%, and interest is paid semiannually on June 30 and December 31. The bonds mature in thr...

Q: Dobbs Company issues 5%, two-year bonds, on December

Dobbs Company issues 5%, two-year bonds, on December 31, 2021, with a par value of $200,000 and semiannual interest payments. Use the following bond amortization table and prepare journal entries to r...

Q: Duval Co. issues four-year bonds with a $100

Duval Co. issues four-year bonds with a $100,000 par value on January 1, 2021, at a price of $95,952. The annual contract rate is 7%, and interest is paid semiannually on June 30 and December 31. 1. P...

Q: Quarto Co. issues bonds dated January 1, 2021, with

Quarto Co. issues bonds dated January 1, 2021, with a par value of $400,000. The bonds’ annual contract rate is 13%, and interest is paid semiannually on June 30 and December 31. The bonds mature in t...