Questions from Financial Accounting

Q: What kind of account is Unearned Revenue? a. Asset

What kind of account is Unearned Revenue? a. Asset account b. Revenue account c. Expense account d. Liability account

Q: An end-of-period adjusting entry that debits Unearned Revenue

An end-of-period adjusting entry that debits Unearned Revenue most likely will credit a. an asset. b. a liability. c. a revenue. d. an expense.

Q: Myron, Inc., manufactures and sells computer monitors with a three

Myron, Inc., manufactures and sells computer monitors with a three-year warranty. Warranty costs are expected to average 7% of sales during the warranty period. The following table shows the sales and...

Q: Maridell’s Fashions has a debt that has been properly reported as a

Maridell’s Fashions has a debt that has been properly reported as a long-term liability up to the present year (2016). Some of this debt comes due in 2016. If Maridell’s Fashions continues to report t...

Q: A bond with a face amount of $17,000 has

A bond with a face amount of $17,000 has a current price quote of 103.85. What is the bond’s price? a. $17,103.85 b. $176,545 c. $1,765.45 d. $17,654.50

Q: Bond carrying value equals Bonds Payable a. minus Premium on

Bond carrying value equals Bonds Payable a. minus Premium on Bonds Payable. b. plus Discount on Bonds Payable. c. minus Discount on Bonds Payable. d. plus Premium on Bonds Payable. e. both a and b...

Q: What type of account is Discount on Bonds Payable, and what

What type of account is Discount on Bonds Payable, and what is its normal balance? a. Contra liability; Credit b. Adjusting account; Credit c. Contra liability; Debit d. Reversing account; Debit

Q: Sweetwater Company sells $300,000 of 13%, 15-

Sweetwater Company sells $300,000 of 13%, 15-year bonds for 96.8507 on April 1, 2016. The market rate of interest on that day is 13.5%. Interest is paid each year on April 1. The entry to record the s...

Q: Sweetwater Company sells $300,000 of 13%, 15-

Sweetwater Company sells $300,000 of 13%, 15-year bonds for 96.8507 on April 1, 2016. The market rate of interest on that day is 13.5%. Interest is paid each year on April 1. Sweetwater Company uses t...

Q: Sweetwater Company sells $300,000 of 13%, 15-

Sweetwater Company sells $300,000 of 13%, 15-year bonds for 96.8507 on April 1, 2016. The market rate of interest on that day is 13.5%. Interest is paid each year on April 1. Using straight-line amort...