Questions from Financial Accounting

Q: Thurston & Talty, a partnership, had the following inventory data

Thurston & Talty, a partnership, had the following inventory data: Thurston & Talty need to know the company’s gross profit percentage and rate of inventory...

Q: FunToys prepares budgets to help manage the company. FunToys is budgeting

FunToys prepares budgets to help manage the company. FunToys is budgeting for the fiscal year ended January 31, 2016. During the preceding year ended January 31, 2015, sales totaled $9,900 million and...

Q: Ontario Farm Products began March with inventory of $49,300

Ontario Farm Products began March with inventory of $49,300. The business made net purchases of $61,000 and had net sales of $82,000 before a fire destroyed the company’s inventory. For the past severa...

Q: Blue Sky Marine Supply reported the following comparative income statements for the

Blue Sky Marine Supply reported the following comparative income statements for the years ended April 30, 2016, and 2015: Blue Sky’s president and shareholders are thrilled by the...

Q: Pawtucket Self Storage purchased land, paying $150,000 cash

Pawtucket Self Storage purchased land, paying $150,000 cash as a down payment and signing a $170,000 note payable for the balance. Pawtucket also had to pay delinquent property tax of $3,000, title in...

Q: Eastwood Manufacturing bought three used machines in a $209,000

Eastwood Manufacturing bought three used machines in a $209,000 lump-sum purchase. An independent appraiser valued the machines as shown: What is each machine’s individual cost? Im...

Q: Assume Akro Products, Inc., purchased conveyor-belt machinery.

Assume Akro Products, Inc., purchased conveyor-belt machinery. Classify each of the following expenditures as a capital expenditure or an immediate expense related to machinery: a. Major overhaul to...

Q: During 2016, Chun’s Book Store paid $485,000 for

During 2016, Chun’s Book Store paid $485,000 for land and built a store in Cleveland. Prior to construction, the city of Cleveland charged Chun’s $1,400 for a building permit, which Chun’s paid. Chun’...

Q: Piccadilly Pizza bought a used Toyota delivery van on January 2,

Piccadilly Pizza bought a used Toyota delivery van on January 2, 2016, for $19,200. The van was expected to remain in service for four years (71,200 miles). At the end of its useful life, Piccadilly o...

Q: Assume that on January 1, 2016, Merriman Steakhouse restaurant purchased

Assume that on January 1, 2016, Merriman Steakhouse restaurant purchased a building, paying $55,000 cash and signing a $108,000 note payable. The restaurant paid another $66,000 to remodel the buildi...