Questions from Financial Accounting

Q: If a bank reconciliation included a deposit in transit of $790

If a bank reconciliation included a deposit in transit of $790, the entry to record this reconciling item would include a a. Credit to prepaid insurance for $790. b. Debit to cash for $790. c. Credit...

Q: Refer to Quiz questions 5-50 and 5-51.

Refer to Quiz questions 5-50 and 5-51. The following year, Linus Company wrote off$2,000 of old receivables as uncollectible. What is the balance in the Allowance account now? In Quiz questions 5-50...

Q: How much interest revenue should Azores accrue on December 31, 2012

How much interest revenue should Azores accrue on December 31, 2012? a. $1,650 b. $1,375 c. $3,300 d. $1,100 On August 1, 2012, Azores, Inc., sold equipment and accepted a six-month, 11%, $30,000 not...

Q: If Azores, Inc., fails to make an adjusting entry for

If Azores, Inc., fails to make an adjusting entry for the accrued interest, a. Net income will be understated and liabilities will be overstated. b. Net income will be understated and assets will be u...

Q: How much interest does Azores, Inc., expect to collect on

How much interest does Azores, Inc., expect to collect on the maturity date(February 1, 2013)? a. $1,650 b. $1,375 c. $3,300 d. $1,100 On August 1, 2012, Azores, Inc., sold equipment and accepted a s...

Q: Which of the following accounts will Azores credit in the journal entry

Which of the following accounts will Azores credit in the journal entry at maturity onFebruary 1, 2013, assuming collection in full? a. Interest Receivable b. Interest Payable c. Note Payable d. Cash...

Q: Write the journal entry on the maturity date (February 1,

Write the journal entry on the maturity date (February 1, 2013). On August 1, 2012, Azores, Inc., sold equipment and accepted a six-month, 11%, $30,000 notereceivable. Azores’ year-end is December 31....

Q: Sharon Peel keeps the Accounts Receivable T-account of Ace &

Sharon Peel keeps the Accounts Receivable T-account of Ace & Pool, a partnership. What duty will a good internal control system withhold from Peel? Why?

Q: Which of the following is included in the calculation of the quick

Which of the following is included in the calculation of the quick (acid-test) ratio? a. Prepaid expenses and cash b. Cash and accounts receivable c. Inventory and short-term investments d. Inventory...

Q: A company with net sales of $1,095,000

A company with net sales of $1,095,000, beginning net receivables of $90,000, and endingnet receivables of $114,000 has days’ sales in accounts receivable of a. 34 days. b. 37 days. c. 31 days. d. 40...