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1. On May 31, a company had a balance in its accounts receivable of $103,895. Prepare journal entries to record the following transactions for June.
Zebra Corporation transfers assets with a $120,000 basis and a $250,000 FMV to Hat Corporation for common stock worth $200,000 and cash of $50,000 . The exchange qualifies as a tax- free reorganization. Zebra Corporation distributes the stock and cash to its shareholders pursuant to its liquidation. How much gain must Zebra Corporation recognize?
Unilever has forecasted purchases on account to be BDT 208000 in March, BDT 266000 in April, BDT 308000 in May, and BDT 364000 in June. 70 percent of purchases are paid for in the month of purchase, the remaining are paid in the following month. What are budgeted cash payments for April?
(b) Taba Bangladesh intends to produce special type of leather handbags for the upcoming season. The production budget for the next four months is: June 4200 units, July 7600 units, August 7000 units, September 7900 units. Each handbag requires 0.4 square meters of leather. Its leather inventory policy is 30 percent of next month's production needs. On June 1 leather inventory was expected to be 1900 square meters. Leather is expected to cost BDT 5 per square meter in June. What is the expected cost of leather purchases in June?
Anson Company had 8,000,000 shares of common stock outstanding on December 31, Year 11. Anson issued an additional 1,200,000 shares of common stock on April 1, Year 12, and 1,000,000 more on July 1, Year 12. On October 1, Year 12, Anson issued 50,000 of $1,000 face value 4% convertible bonds. Each bond is convertible into 20 shares of common stock. No bonds were converted into common stock in Year 12. What is the number of shares to be used in computing basic earnings per share and diluted earnings per share, respectively, in Year 12?
A. 8,000,000 and 8,000,000
B. 9,400,000 and 9,400,000
C. 9,400,000 and 9,650,000
D. 7,500,000 and 8,500,000
Charley Wholesalers trade in textiles. They make use of the perpetual inventory system. Charley Wholesalers entered into the following transactions during March 2019: Date Details 1 The owner Charley Wholesalers contributed R100 000 from his personal funds to the business 7 Cashed a cheque of R3 000 for petty cash 15 Purchased merchandise (trading inventory) by cheque, R30 000 18 Acquired a business loan of R50 000 from the bank 27 Paid off R10 000 on the bank loan
costello corporation uses a perpetual inventory system. at the end of the year, the inventory balance reported by its system is $45,270. costello performs an inventory count and determines that the actual ending inventory is $39,780. discuss why a company that uses a perpetual inventory system would still go to the trouble to perform a physical inventory count. why might the ending balance differ between the perpetual inventory system and physical inventory count? assume that costello determines that the difference between the perpetual records and the physical count is due to an accident that occurred during the year. what journal entry should costello make? assume that costello believes the difference between the perpetual records and the physical count is due to errors made by the company’s accounting staff. on occasion, the staff fail to transfer inventory to cost of goods sold when a sale were made. what journal entry should costello make in this case?
Problem 1 The prepaid insurance account had a balance of $4,750 at the beginning of the year. The account was debited for $5,150 for premiums on policies purchased during the year. Prepare the adjusting entry required at the end of the year under each of the following alternatives; (a) the amount of unexpired insurance applicable to future periods is $4,300. (b) The amount of insurance expired during the year is $5,550.
ABC Acquired 80% of XYZ shares on 1 January 2019. The purchase consideration was Sh. 11 million cash upfront and an additional Sh. 800,000 payable if XYZ maintains profit margin of 30% for the period ending 31 December 2019. XYZ has one million shares and was trading at Sh. 14 per share prior to acquisition. The fair value of net identifiable assets of XYZ on acquisition date was Sh. 12 million. Required: Calculate Goodwill recognized on 1 January 2019 using the fair value method.
Debit Supplies Expense
Credit Supplies Inventory
- What does this journal entry mean?
Debit Rental Revenue
Credit Unearned Rent
- What does this journal entry mean?
Debit Prepaid Expense
Credit Cash
- You make an advance payment and pay cash right?
On 28 December 2020, the net realisable value of trading stock bought on 2 December 2020 was R100 000. A write down of R5 000 was approved but not yet processed.
Recognise in the general journal
