Accounting Answers

Journalize each of the transactions below.

Feb 14   Sold merchandise collecting via the debit card machine amounting to $20,500

Feb 14 Sold merchandise collecting cash, $32,000. After all it is Valentine’s day!!    

Feb 18   Lodged cash of $35,000 to the business bank account

Feb 20   Paid Sweetopia $23,800 in full settlement of the balance outstanding by cheque having received a discount of $1,200

Feb 23   Commission was received by cash, $5,200 from Just Hot Buns Ltd for outstanding sales on February 14th 

Feb 25   Paid wages and utilities by cash $10,500 and $16,800 respectively.

Feb 26   Kerry-Ann took pastries for her daughter’s 5th birthday party amounting to $7,000

Feb 27 Paid Cakes by Lila before the due date receiving at 10% discount, we paid her via a direct bank transfer to her account

On January 2 of the current year, Lem Corp. bought machinery under a contract that required a down payment of $10,000, plus 24 monthly payments of $5,000 each, for total cash payments of $130,000. The cash equivalent price of the machinery was $110,000. The machinery has an estimated useful life of ten years and estimated salvage value of $5,000. Lem uses straight-line depreciation. In its year-end income statement, what amount should Lem report as depreciation for this machinery?

The answer is $10,500. I get that. What would the journal entry look like for something like this?

Accounting

Journalize each of the transactions below.

Feb 5    Sold merchandise on credit to Simply Yummy $6,500.

Feb 6    Just Cakey settled their account with cash receiving a 3.5% cash discount.

Feb 6    Merchandise valued at $950, to Simply Yummy on February 5, was returned to Kerry-Ann, the wrong order went out. A credit note was issued.

Feb 7    Bought merchandise on credit from Sweetopia $25,000. 

Feb 8    Sold merchandise on credit to Chocolate Delights Ltd $38,000.

Feb 11    Bought custom packaging and cards (classified as an expense) for Valentine’s Day for cash $7,500.

Accounting

1. Journalize each of the transactions below.

Feb 1     Kerry-Ann invested the following assets into the business: cash, $80,000; office furniture, $20,000, bank balance, $5,000

Feb 1    Transferred $25,000 of the cash to the bank.

Feb 2    Paid rent for February by cheque $15,000

Feb 2    Purchased delivery van on credit from Mona Motors Ltd. for $40,000

Feb 3    Bought a refrigerator from Ashley Electronic Store, paying by cash $15,000

Feb. 3     Bought merchandise for resale by cash $35,000.

Feb 3    Sold merchandise to Candy Craze, for cash $10,000 and on credit to Just Cakey $60,000.

Can you explain to me what is the difference between restating the prior periods and retrospective application?

T. Taylor, who owed us R5 800, is declared insolvent His estate paid us a dividend or 40 cents in the rand. The bookkeeper had only recorded the entry for the receipt you are required to record the irrecoverable amount

A competitor has used a linear programming model and formulated the following objective function:

C = 4X + 2Y

The optimal solution has determined that 400 X and 600 Y should be produced. An extra litre of material would however change this to 400.5 X and 599.5 Y. Materials cost £9 per litre.

An economy is producing two goods: Computer and Potato. The following table gives several points on this economy's production possibility frontier. Potato Computers (1000's (1000's/year) kgs/ year) 0. 60 2 50 30 A) Suppose the economy is currently producing 6000 Computers and zero kg of potato. What is the opportunity cost of producing additional 30,000 Kgs of Potato?

A company issues 12000 ordinary shares of $100 each credited as fully paid, such share capital being valued at $1,500,000 and bakance payable is to be discharged by issue of 12% debentures of $100 each. Ordinary shares and debentures give the purchase consideration. What is the purchase consideration

A company having a net working capital of Rs 2.8 Lakhs as on 30-6-2018 indicates thefollowing financial ratios and performances figures:Current ratio 2.4Liquidity ratio 1.6Inventory turnover (on cost of sales) 8Gross profit on sales 20%Credit allowed (months) 1.5The company's fixed assets is equivalent to 90% of its net-worth (share capital plus reserve)while reserves amounted to 40% of share capital.Prepare the balance sheet of the company as on 30-6-2018 showing step by step calculations.