Questions from General Accounting


Q: On February 1, 2010, the balance of the retained earnings

On February 1, 2010, the balance of the retained earnings account of Blue Power Corporation was $630,000. Revenues for February totaled $123,000, of which $115,000 was collected in cash. Expenses for...

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Q: On January 1, 2010, the balance in Kubera Co.

On January 1, 2010, the balance in Kubera Co.’s Allowance for Bad Debts account was $9,720. During the year, a total of $23,900 of delinquent accounts receivable was written off as bad debts. The bala...

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Q: Atom Endeavour Co. issued $250 million face amount of 9

Atom Endeavour Co. issued $250 million face amount of 9% bonds when market interest rates were 8.92% for bonds of similar risk and other characteristics. Required: a. How much interest will be paid a...

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Q: The difference between the amounts of book and tax depreciation expense,

The difference between the amounts of book and tax depreciation expense, as well as the desire to report income tax expense that is related to book income before taxes, causes a long-term deferred inc...

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Q: Enter the following column headings across the top of a sheet of

Enter the following column headings across the top of a sheet of paper: Enter the transaction/adjustment letter in the first column and show the effect, if any, of each of the transactions/adjustmen...

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Q: Enter the following column headings across the top of a sheet of

Enter the following column headings across the top of a sheet of paper: Enter the transaction/adjustment letter in the first column, and show the effect, if any, of each of the transactions/adjustme...

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Q: Enter the following column headings across the top of a sheet of

Enter the following column headings across the top of a sheet of paper: Enter the transaction/adjustment letter in the first column and show the effect, if any, of each transaction/adjustment on the...

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Q: Enter the following column headings across the top of a sheet of

Enter the following column headings across the top of a sheet of paper: Enter the transaction/adjustment letter in the first column and show the effect, if any, of each transaction/adjustment on the...

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Q: On April 15, 2010, Powell, Inc., obtained a

On April 15, 2010, Powell, Inc., obtained a six-month working capital loan from its bank. The face amount of the note signed by the treasurer was $300,000. The interest rate charged by the bank was 9%...

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Q: On August 1, 2010, Colombo Co.’s treasurer signed

On August 1, 2010, Colombo Co.’s treasurer signed a note promising to pay $240,000 on December 31, 2010. The proceeds of the note were $232,000. Required: a. Calculate the discount rate used by the l...

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