Questions from Financial Accounting

Q: The Cash account of Rampart Corp. reported a balance of $

The Cash account of Rampart Corp. reported a balance of $3,530 at August 31, 2016. Included were outstanding checks totaling $1,700 and an August 31 deposit of $400 that did not appear on the bank sta...

Q: Answer these questions about investments. 1. What is the

Answer these questions about investments. 1. What is the amount to report on the balance sheet for a trading security? 2. Why is a trading security always a current asset? Explain.

Q: During its first year of operations, Old Tyme Furniture Restoration,

During its first year of operations, Old Tyme Furniture Restoration, Inc., had sales of $461,000, all on account. Industry experience suggests that Old Tyme’s uncollectibles will amount to 4% of credit...

Q: At the end of the current year (before adjusting entries),

At the end of the current year (before adjusting entries), Holliday Corporation had a balance of $75,000 in Accounts Receivable and a credit balance of $4,000 in Allowance for Uncollectible Accounts....

Q: 1. Compute the amount of interest during 2016, 2017,

1. Compute the amount of interest during 2016, 2017, and 2018 for the following note receivable: On May 31, 2016, Charter Bank lent $220,000 to Laurie Walker on a two-year, 10% note. 2. Which party...

Q: On August 31, 2016, Diane Fields borrowed $4,

On August 31, 2016, Diane Fields borrowed $4,000 from Ferris State Bank. Fields signed a note payable, promising to pay the bank principal plus interest on August 31, 2017. The interest rate on the no...

Q: Collins Woodworking accepts credit cards at its store. Collins’ credit card

Collins Woodworking accepts credit cards at its store. Collins’ credit card processor charges a fee of 3% of the total amount of any credit sale. Assume that Russell Knight purchases $8,000 of custom...

Q: Highland Products reported the following amounts in its 2017 financial statements.

Highland Products reported the following amounts in its 2017 financial statements. The 2016 amounts are given for comparison. Requirements 1. Compute Highland’s qui...

Q: Answer these questions about receivables and uncollectibles. For the true-

Answer these questions about receivables and uncollectibles. For the true-false questions, explain any answers that turn out to be false. 1. True or false? Credit sales increase receivables. Collecti...

Q: Slocomb Corp. holds a portfolio of trading securities. Suppose that

Slocomb Corp. holds a portfolio of trading securities. Suppose that on January 15, Slocomb paid $80,000 for an investment in Turok Co. shares to add to its portfolio. At October 31, the market value o...