Questions from Intermediate Accounting

Q: Shania Twain Company was formed on December 1, 2016. The

Shania Twain Company was formed on December 1, 2016. The following information is available from Twain’s inventory records for Product BAP. A physical inventory on March 31, 2017,...

Q: The following is a record of Pervis Ellison Company’s transactions for Boston

The following is a record of Pervis Ellison Company’s transactions for Boston Teapots for the month of May 2017. Instructions a. Assuming that perpetual inventories are not mainta...

Q: You are the vice president of finance of Sandy Alomar Corporation,

You are the vice president of finance of Sandy Alomar Corporation, a retail company that prepared two different schedules of gross margin for the first quarter ended March 31, 2017. These schedules ap...

Q: Johnny Football Shop began operations on January 2, 2017. The

Johnny Football Shop began operations on January 2, 2017. The following stock record card for footballs was taken from the records at the end of the year. A physical inventory on December 31, 2017, r...

Q: Tori Amos Corporation began operations on December 1, 2016. The

Tori Amos Corporation began operations on December 1, 2016. The only inventory transaction in 2016 was the purchase of inventory on December 10, 2016, at a cost of $20 per unit. None of this inventory...

Q: The dollar-value LIFO method was adopted by Enya Corp.

The dollar-value LIFO method was adopted by Enya Corp. on January 1, 2017. Its inventory on that date was $160,000. On December 31, 2017, the inventory at prices existing on that date amounted to $140...

Q: Presented below is information related to Dino Radja Company.

Presented below is information related to Dino Radja Company. Instructions Compute the ending inventory for Dino Radja Company for 2014 through 2019 using the dollar-value LIFO method.

Q: The following information relates to the Jimmy Johnson Company.

The following information relates to the Jimmy Johnson Company. Instructions Use the dollar-value LIFO method to compute the ending inventory for Johnson Company for 2013 through 2017.

Q: Trout Company uses the LIFO method for financial reporting purposes but FIFO

Trout Company uses the LIFO method for financial reporting purposes but FIFO for internal reporting purposes. At January 1, 2017, the LIFO reserve has a credit balance of $1,300,000. At December 31, 2...

Q: At December 31, 2016, Stacy McGill Corporation reported current assets

At December 31, 2016, Stacy McGill Corporation reported current assets of $370,000 and current liabilities of $200,000. The following items may have been recorded incorrectly. 1. Goods purchased cost...