Questions from General Accounting

Q: Seger Company was organized on January 1. During the first year

Seger Company was organized on January 1. During the first year of operations, the following plant asset expenditures and receipts were recorded in random order. Debit 1. Cost of real estate purchase...

Q: At December 31, 2014, Navaro Corporation reported the following plant

At December 31, 2014, Navaro Corporation reported the following plant assets. During 2015, the following selected cash transactions occurred. Apr. 1 Purchased land for $2,200,000. May 1 Sold equ...

Q: Presented here are selected transactions for Pine Company for 2014.

Presented here are selected transactions for Pine Company for 2014. Jan. 1 Retired a piece of machinery that was purchased on January 1, 2004. The machine cost $71,000 on that date and had a useful...

Q: The intangible assets section of Cedeno Corporation’s balance sheet at December 31

The intangible assets section of Cedeno Corporation’s balance sheet at December 31, 2014, is presented here. Patents ($60,000 cost less $6,000 amortization) ……………………………$54,000 Copyrights ($36,000 cos...

Q: Danner Corporation and London Corporation, two companies of roughly the same

Danner Corporation and London Corporation, two companies of roughly the same size, are both involved in the manufacture of shoe-tracing devices. Each company depreciates its plant assets using the str...

Q: In recent years, Farr Company has purchased three machines. Because

In recent years, Farr Company has purchased three machines. Because of frequent employee turnover in the accounting department, a different accountant was in charge of selecting the depreciation metho...

Q: Hogan’s Department Store uses a perpetual inventory system. /

Hogan’s Department Store uses a perpetual inventory system. On June 1, Hogan sold 25 units, and on August 27, 30 more units. Compute the cost of goods sold using (a) FIFO, (b) LIF...

Q: Boscan Corporation purchased machinery on January 1, 2014, at a

Boscan Corporation purchased machinery on January 1, 2014, at a cost of $250,000. The estimated useful life of the machinery is 4 years, with an estimated salvage value at the end of that period of $3...

Q: Krey Distributing Company completed these merchandising transactions in the month of April

Krey Distributing Company completed these merchandising transactions in the month of April. At the beginning of April, the ledger of Krey showed Cash of $10,000 and Common Stock of $10,000. Apr. 2 P...

Q: Cosmotologist Warehouse distributes commercial hair care products in onegallon bottles to hair

Cosmotologist Warehouse distributes commercial hair care products in onegallon bottles to hair salons and extends credit terms of 3/10, n/30 to all of its customers. During the month of April, the fol...