Accounting Answers

Sell2All, Inc. accounts for its revenues under the installment sales method. In year​ 1, Sell2All sold inventory with a cost of​ $300,000 for​ $400,000 and collected​ $100,000. In year​ 2, Sell2All sold inventory with a cost of​ $500,000 for​ $750,000 and collected​ $400,000, including​ $100,000 related to the year 1 sales and​ $300,000 related to the year 2 sales. What amount of earned gross profit should Sell2All report on its December​ 31, year 2 balance sheet?

A.$400,000

B.​$100,000

C.​$125,000

D.​$133,200

What type of account is Other Financing Sources? Do you normally debit or credit it?

What type of account is Other Financing Uses? Do you normally debit or credit it?

01 February 2018 Rustenburg Ruiters Ltd had 10 000 000 authorised and 8 000 000 issued ordinary shares. Ordinary shares have a par value of N$ 2.95 each. On this date the share premium and retained earnings had a balance of nil and N$ 1 200 000 respectively. 2. On 28 February 2018 Rustenburg Ruiters Ltd decided to issue all the remaining authorized shares. Lavender Brokers Ltd underwrote the shares issue in return for a 3% underwriting commission. Rustenburg Ruiters Ltd notified shareholders that it would issue ordinary shares for N$ 3 each. 3. By 31 March 2018, the closing date of the application, Rustenburg Ruiters Ltd had received N$ 4 500 000 from applicants. The maximum number of shares was duly issued on 31 March 2019 and Lavender Brokers Ltd was paid. . 4. Rustenburg Ruiters Ltd issued 300 00, N$ 2, 14% preference shares on 30 April 2018 at a 5% premium. Required; STATEMENT OF CHANGES IN EQUITY

The following abridged statement of financial position of Ark cc as at 31 December 2019 2019 2018 ASSETS Non-current assets 220 000 220 000 Current assets 132 000 77 000 352 000 297 000 CAPITAL AND LIABILITIES Members contribution: 180 000 180 000 Sally 70 000 70 000 Anne 50 000 50 000 Nick 60 000 60 000 Retained earnings 90 000 65 000 Non-current liabilities 45 000 45 000 Current liabilities 37 000 7 000 352 000 297 000 Additional information: One of the members, Sally took a decision to sell 1/5 of her interest to at a value of N$ 25 000, of which N$ 15 000 was paid into the bank account of the CC as a loan to the credit of Sally. Anne paid the balance of the selling price to Sally from private funds. You are required to: 1. Calculate member’s interest. (6 marks) 2. Prepare a statement of financial position for the CC after the change in membership’s interest. (11 marks). (No comparison figures or notes are required).

The following equations describes Nigeria economy. C=0.9(I-t)y, I=300-600r, G=300, t=3y, L=0.25y-150r, M=375.

Find: 1. IS LM FUNCTIONS AND SLOPE

2. Equilibrium level of income and interest rate

 Discuss and analyze the following transactions for X Ltd, using the concept of accounting equation (Assets, Liabilities and Equities).

1. Purchased Furniture for Rs675000

2. Capital Introduced by the business Owner by depositing 12 Lakhs in the bank account

3. Goods purchased on credit from Aman Enterprises for Rs105000

4. Goods sold on credit for Rs 400000. The cost of the goods sold was Rs 300000

5. Purchased goods from Sneha Enterprises for Rs 600000 and made the payment from the business's bank account 

Analyze the annual reports of Flour Mills of Fiji (2020), RB Patel Ltd (2020) and Paradise Beverages Ltd (2019) from South Pacific Stock Exchange (SPSE) and answer the following questions. 

1.     Calculate the share value using Dividend Discount Model, assuming dividend will grow 3% for Flour Mills of Fiji, 6% for RB Patel Ltd and 9% for Paradise Beverages constantly for the companies on their respective base year. 

2.     Calculate the Earnings Per Share (EPS) and the Market Capitalization for each of the companies. 

3.     Comment on the share value of the companies given the Dividend Discount Model (Question 1) and EPS (Question 2).  

 Financial statements should reflect a true and fair view of the business. Explain in your own words what is meant by this statement by explaining the qualitative characteristics of financial statements

Is Budgetary Control an expense account?

Is Estimated Revenue Control a revenue account?

Is Appropriations an asset, liability, revenue, or expense account? Which one is it?

Is Encumbrance an asset, liability, revenue, or expense account? Which one is it?

What does it mean when you Understate your Cost of Goods Sold?

What does it mean when you Overstate your Cost of Goods Sold?

What does it mean when you Understate your Ending Inventory?

What does it mean when you Overstate your Ending Inventory?

What does it mean when you Overstate your Expenses?

What does it mean when you Understate your Expenses?

What does it mean when you Overstate your Current Assets?

What does it mean when you Understate your Current Assets?

What does it mean when you Overstate your Profit?

What does it mean when you Understate your Profit?

What does it mean when you Overstate your Assets?

What does it mean when you Understate your Assets?