Questions from Financial Accounting

Q: Compute the amount to be paid for each of the four separate

Compute the amount to be paid for each of the four separate invoices assuming that all invoices are paid within the discount period.

Q: Identify the following users as either External users or internal users.

Identify the following users as either External users or internal users.

Q: Analyze each transaction in Exercise 4-6 by indicating its effects

Analyze each transaction in Exercise 4-6 by indicating its effects on the income statement—specifically, identify the accounts and amounts (including + or −) for each transaction.

Q: Refer to Exercise 4-6 and prepare journal entries for Macy

Refer to Exercise 4-6 and prepare journal entries for Macy Co. to record each of the May transactions. Macy is a retailer that uses the gross method and a perpetual inventory system; it purchases thes...

Q: Santa Fe Retailing purchased merchandise “as is” (with no

Santa Fe Retailing purchased merchandise “as is” (with no returns) from Mesa Wholesalers with credit terms of 3∕10, n∕60 and an invoice price of $24,000. The merchandise had cost Mesa $16,000. Assume...

Q: Sydney Retailing (buyer) and Troy Wholesalers (seller) enter

Sydney Retailing (buyer) and Troy Wholesalers (seller) enter into the following transactions. Both Sydney and Troy use a perpetual inventory system and the gross method. May 11 Sydney accepts delivery...

Q: Blues Music Center had the following petty cash transactions in March of

Blues Music Center had the following petty cash transactions in March of the current year. Blues uses the perpetual system to account for merchandise inventory. Mar.5 Wrote a $250 check to establish a...

Q: The following summarizes Tesla’s merchandising activities for the year. Set up

The following summarizes Tesla’s merchandising activities for the year. Set up T-accounts for Merchandise Inventory and for Cost of Goods Sold. Enter each line item into one or both...

Q: Prepare journal entries for the following merchandising transactions of Dollar Store assuming

Prepare journal entries for the following merchandising transactions of Dollar Store assuming it uses a perpetual inventory system and the gross method. Nov. 1 Dollar Store purchases merchandise for...

Q: At the beginning of the year, SnapIt had $10,

At the beginning of the year, SnapIt had $10,000 of inventory. During the year, SnapIt purchased $35,000 of merchandise and sold $30,000 of merchandise. A physical count of inventory at year­end shows...