Questions from Intermediate Accounting

Q: At the end of 2017, Perez Corporation has accounts receivable of

At the end of 2017, Perez Corporation has accounts receivable of $2.5 million and an allowance for doubtful accounts of $120,000. On January 16, 2018, Perez determined that its $20,000 receivable from...

Q: At January 1, 2017, the credit balance of Andy Corp

At January 1, 2017, the credit balance of Andy Corp.’s Allowance for Doubtful Accounts was $400,000. During 2017, the bad debt expense entry was based on a percentage of net credit sales. Net sales fo...

Q: The net income per books of Russell Industries Limited was determined without

The net income per books of Russell Industries Limited was determined without any knowledge of the following errors. The 2012 year was Russell’s first year in business. No dividends...

Q: Iqbal Corporation uses the lower of FIFO cost and net realizable value

Iqbal Corporation uses the lower of FIFO cost and net realizable value method on an individual item basis, applying the direct method. The inventory at December 31, 2016, included product AG. Relevant...

Q: Linsang Corporation’s retail store and warehouse closed for an entire weekend while

Linsang Corporation’s retail store and warehouse closed for an entire weekend while the year-end inventory was counted. When the count was finished, the controller gathered all the c...

Q: In fiscal 2017, Ivanjoh Realty Corporation purchased unimproved land for $

In fiscal 2017, Ivanjoh Realty Corporation purchased unimproved land for $55,000. The land was improved and subdivided into building lots at an additional cost of $34,460. These building lots were all...

Q: Two or more items are omitted in each of the following tabulations

Two or more items are omitted in each of the following tabulations of income statement data. Fill in the amounts that are missing.

Q: On July 1, 2017, Agincourt Inc. made two sales

On July 1, 2017, Agincourt Inc. made two sales: 1. It sold excess land in exchange for a four-year, non–interest-bearing promissory note in the face amount of $1,101,460. The land’s carrying value is...

Q: Aquino Corporation is a multi-product fi rm. The following

Aquino Corporation is a multi-product fi rm. The following information concerns one of its products, the Trinton: Instructions: Calculate cost of goods sold, assuming Aquino uses: (a) A periodic inv...

Q: Access the annual financial statements of Stora Enso Oyj for the company’s

Access the annual financial statements of Stora Enso Oyj for the company’s year ended December 31, 2014. These are available at the company’s website, www.storaenso.com. Review the information that is...