Questions from Intermediate Accounting

Q: At December 31, 2020, Parew Corporation has a long-

At December 31, 2020, Parew Corporation has a long-term debt of $700,000 owing to its bank. The existing debt agreement imposes several covenants related to Parew's liquidity and solvency. At December...

Q: At December 31, 2020, Burr Corporation owes $500,

At December 31, 2020, Burr Corporation owes $500,000 on a note payable due February 15, 2021. Assume that Burr follows IFRS and that the financial statements are completed and released on February 20,...

Q: Whirled Inc.'s weekly payroll of $23,000 included

Whirled Inc.'s weekly payroll of $23,000 included employee income taxes withheld of $3,426, Canada Pension Plan (CPP) withheld of $990, and Employment Insurance (EI) withheld of $420. Prepare the jour...

Q: Refer to the information for Whirled Inc. in BE13.15

Refer to the information for Whirled Inc. in BE13.15. Assume now that the employer is required to match every dollar of the CPP contributions of its employees and to contribute 1.4 times the EI withho...

Q: At December 31, 2020, 30 employees of Kasten Inc.

At December 31, 2020, 30 employees of Kasten Inc. have each earned one week of vacation time. The employees' average salary is $1,000 per week. Prepare Kasten's December 31, 2020 adjusting entry.

Q: Laurin Corporation offers parental benefits to its staff as a top-

Laurin Corporation offers parental benefits to its staff as a top-up on EI benefits so that employees end up receiving 100% of their salary for a maximum of 12 months of parental leave. Ruzbeh Awad, w...

Q: Primeau Inc. pays its officers bonuses based on income. For

Primeau Inc. pays its officers bonuses based on income. For 2020, the bonuses total $350,000 and are paid on February 15, 2021. Prepare Primeau's December 31, 2020 adjusting entry and the February 15,...

Q: Molson Coors Brewing Company has a December 31-year end.

Molson Coors Brewing Company has a December 31-year end. Access the company's 2017 annual report from the company website (www.molsoncoors.com). Instructions a. What types of earnings per share inf...

Q: Refer to the information for Lu Corp. in BE13.20

Refer to the information for Lu Corp. in BE13.20. Prepare any necessary adjusting entries that are associated with the asset retirement obligation and related expenses at December 31, 2020, assuming t...

Q: Refer to the information for Lu Corp. in BE13.20

Refer to the information for Lu Corp. in BE13.20 and BE13.21. Assume that the increase in the asset retirement obligation in 2020 related to the production of oil in 2020 was $61,942. Prepare any nece...