Questions from Financial Accounting

Q: Electronics Service Co. pays salaries monthly on the last day of

Electronics Service Co. pays salaries monthly on the last day of the month. The following information is available from Electronics for the month ended December 31, Year 1: Assume the Social Securit...

Q: On April 6, Year 1, Home Furnishings purchased $25

On April 6, Year 1, Home Furnishings purchased $25,200 of merchandise from Una Imports, terms 2/10 n/45. On April 8, Home returned $2,400 of the merchandise to Una Imports for credit. Home paid cash f...

Q: The following information is available for the employees of Webber Packing Company

The following information is available for the employees of Webber Packing Company for the first week of January Year 1: 1. Kayla earns $28 per hour and 1½ times her regular rate for hours over 40 per...

Q: Trinkle Co., Inc. made several purchases of long-term

Trinkle Co., Inc. made several purchases of long-term assets in Year 1. The details of each purchase are presented here. New Office Equipment 1. List price: $60,000; terms: 2/10 n/30; paid within dis...

Q: 700 Three different companies each purchased trucks on January 1, Year

700 Three different companies each purchased trucks on January 1, Year 1, for $50,000. Each truck was expected to last four years or 200,000 miles. Salvage value was estimated to be $5,000. All three...

Q: Becker Office Service purchased a new computer system in Year 1 for

Becker Office Service purchased a new computer system in Year 1 for $40,000. It is expected to have a five-year useful life and a $5,000 salvage value. The company expects to use the system more exten...

Q: Bensen Company started business by acquiring $60,000 cash from

Bensen Company started business by acquiring $60,000 cash from the issue of common stock on January 1, Year 1. The cash acquired was immediately used to purchase equipment for $50,000 that had a $10,0...

Q: Sabel Co. purchased assembly equipment for $500,000 on

Sabel Co. purchased assembly equipment for $500,000 on January 1, Year 1. Sabel’s financial condition immediately prior to the purchase is shown in the following horizontal statement...

Q: Banko Inc. manufactures sporting goods. The following information applies to

Banko Inc. manufactures sporting goods. The following information applies to a machine purchased on January 1, Year 1: During Year 1, the machine produced 36,000 units, and during Year 2 it produced...

Q: The following transactions relate to Academy Towing Service. Assume the transactions

The following transactions relate to Academy Towing Service. Assume the transactions for the purchase of the wrecker and any capital improvements occur on January 1 of each year. Year 1 1. Acquired $...