Questions from Financial Accounting

Q: Among the transactions of Salem, Inc., were the following.

Among the transactions of Salem, Inc., were the following. a. Made payments on accounts payable to merchandise suppliers. b. Paid the principal amount of a note payable to First State Bank. c. Paid in...

Q: Bosor Corporation has a receivable denominated in British pounds and a payable

Bosor Corporation has a receivable denominated in British pounds and a payable in Brazilian reals resulting from imports from Brazil. Bosor recorded foreign exchange losses related to both its pound-r...

Q: In 2016, Novartis AG agreed to pay the U.S

In 2016, Novartis AG agreed to pay the U.S. Securities and Exchange Commission $25 million as a result of its China-based subsidiaries engaging in pay-to-prescribe schemes to increase sales. Employees...

Q: During the year, Newark Boat Yard has incurred manufacturing costs of

During the year, Newark Boat Yard has incurred manufacturing costs of $250,000 in building three large sailboats. At year-end, each boat is about 60 percent complete. How much of these manufacturing c...

Q: At the end of the year, Eskola Manufacturing had the following

At the end of the year, Eskola Manufacturing had the following balances. Prepare a partial balance sheet for Eskola’s showing the given accounts.

Q: During the current year, the cost of direct materials purchased by

During the current year, the cost of direct materials purchased by a manufacturing firm was $360,000, and the direct materials inventory increased by $80,000. What was the cost of direct materials use...

Q: A company that assembles trucks produces 60 trucks during the current year

A company that assembles trucks produces 60 trucks during the current year and incurs $4.5 million of material, labor, and overhead costs. Fifty-three trucks were sold during the year and each is allo...

Q: Hefty-Lift, Inc., is a company that manufactures forklifts

Hefty-Lift, Inc., is a company that manufactures forklifts. During the year, Hefty purchased $1,250,000 of direct materials and placed $1,600,000 worth of direct materials into production. Hefty’s beg...

Q: Sonic, Inc., sells business software. Currently, all of

Sonic, Inc., sells business software. Currently, all of its programs come on disks. Due to their complexity, some of these applications occupy as many as seven disks. Not only are the disks cumbersome...

Q: Freddy’s Furnaces, Inc., assigned $550,000 of direct

Freddy’s Furnaces, Inc., assigned $550,000 of direct labor costs to production during the current period but paid its employees only $500,000. What are the two journal entries used to record these tra...