Questions from Intermediate Accounting

Q: For each situation, determine the date for which the company recognizes

For each situation, determine the date for which the company recognizes the revenue under (a) accrual-basis accounting and (b) cash-basis accounting. 1. American Airlines collects cash on June 12 from...

Q: For each situation, determine the date for which the company recognizes

For each situation, determine the date for which the company recognizes the expense under (a) accrual-basis accounting and (b) cash-basis accounting. 1. American Airlines operates a flight from Dallas...

Q: Analyze each of the following transactions and show the effect on the

Analyze each of the following transactions and show the effect on the accounting equation. 1. Issue 10,000 shares of common stock in exchange for $32,000 in cash. 2. Purchase land for $19,000. A note...

Q: Prepare journal entries for each of the following transactions: 1

Prepare journal entries for each of the following transactions: 1. Purchase equipment in exchange for cash of $23,400. 2. Provide services to customers and receive cash of $6,800. 3. Pay the current m...

Q: Prepare journal entries for each of the following transactions: 1

Prepare journal entries for each of the following transactions: 1. Pay $700 for radio advertising for the current month. 2. Purchase supplies of $1,300 on account. 3. Provide services of $2,900 to cus...

Q: Prepare journal entries for each of the following transactions: 1

Prepare journal entries for each of the following transactions: 1. Issue common stock for $21,000. 2. Obtain $9,000 loan from the bank by signing a note. 3. Purchase construction equipment for $25,000...

Q: Post the following transactions to the Cash T-account and calculate

Post the following transactions to the Cash T-account and calculate the ending balance. The beginning balance in the Cash T-account is $5,000. 1. Receive cash from customers, $15,000. 2. Pay cash for...

Q: On September 30, 2024, Crown Corporation purchased franchise rights from

On September 30, 2024, Crown Corporation purchased franchise rights from a national restaurant chain. In payment, Crown has the option of paying $356,000 immediately or $400,000 in two years by signin...

Q: Prepare journal entries for each of the transactions listed in BE 2

Prepare journal entries for each of the transactions listed in BE 2–7.

Q: Post the journal entries prepared in BE 2–8 to T

Post the journal entries prepared in BE 2–8 to T-accounts. Assume that the opening balances in each of the accounts is zero except for cash, accounts receivable, and accounts payable that had opening...