Questions from Intermediate Accounting

Q: At December 31, 2017, Redmond Company has outstanding three long

At December 31, 2017, Redmond Company has outstanding three long-term debt issues. The first is a $2,000,000 note payable which matures June 30, 2020. The second is a $6,000,000 bond issue which matur...

Q: Forda Lumber Company owns a 7,000-acre tract of

Forda Lumber Company owns a 7,000-acre tract of timber purchased in 2003 at a cost of $1,300 per acre. At the time of purchase, the land was estimated to have a value of $300 per acre without the timb...

Q: Alcide Mining Company purchased land on February 1, 2017, at

Alcide Mining Company purchased land on February 1, 2017, at a cost of $1,190,000. It estimated that a total of 60,000 tons of mineral was available for mining. After it has removed all the natural re...

Q: The financial statements of ConAgra Foods, Inc.’s 2014 annual

The financial statements of ConAgra Foods, Inc.’s 2014 annual report disclose the following information. Instructions: Compute ConAgra’s a. inventory turnover a...

Q: Presented below is information related to Langston Hughes Corporation.

Presented below is information related to Langston Hughes Corporation. Instructions: Compute the ending inventory under the dollar-value LIFO method at December 31, 2018. The cost-to-retail ratio f...

Q: Joe Dumars Company has outstanding 40,000 shares of $5

Joe Dumars Company has outstanding 40,000 shares of $5 par common stock which had been issued at $30 per share. Joe Dumars then entered into the following transactions. 1. Purchased 5,000 treasury sh...

Q: Tanaka Company has land that cost $15,000,000

Tanaka Company has land that cost $15,000,000. Its fair value on December 31, 2017, is $20,000,000. Tanaka chooses the revaluation model to report its land. Explain how the land and its related valuat...

Q: Foreman Company issued $800,000 of 10%, 20-

Foreman Company issued $800,000 of 10%, 20-year bonds on January 1, 2017, at 119.792 to yield 8%. Interest is payable semiannually on July 1 and January 1. Prepare the journal entries to record a. th...

Q: Ortiz purchased a piece of equipment that cost $202,000

Ortiz purchased a piece of equipment that cost $202,000 on January 1, 2017. The equipment has the following components. Compute the depreciation expense for this equipment at December 31, 2017.

Q: Tan Chin Company purchases a building for $11,300,

Tan Chin Company purchases a building for $11,300,000 on January 2, 2017. An engineer’s report shows that of the total purchase price, $11,000,000 should be allocated to the building (with a 40-year l...