Record the following transactions on the books of Wildhorse
Co.:
On May 1, Wildhorse Co. sold...
Record the following transactions on the books of Wildhorse
Co.:
On May 1, Wildhorse Co. sold merchandise on account to Kaneva
Inc. for $42,000, terms 2/10, n/30. Ignore any entries that affect
inventory, cost of goods sold, and refund liability for the
purposes of this question. (Credit account titles are
automatically indented when the amount is entered. Do not indent
manually. If no entry is required, select "No Entry" for the
account titles and enter 0 for the
amounts.)
Date...
Crane Corporation had the following transactions pertaining to
debt investments.
1.
Purchased 40 8%, $1,450 Leeds...
Crane Corporation had the following transactions pertaining to
debt investments.
1.
Purchased 40 8%, $1,450 Leeds
Co. bonds for $58,000 cash. Interest is payable annually on January
1, 2020.
2.
Accrued interest on Leeds Co.
bonds on December 31, 2020.
3.
Received interest on Leeds
Co. bonds on January 1, 2021.
4.
Sold 30 Leeds Co. bonds for
$47,850 on January 1, 2021.
Journalize the transactions. (Credit account titles are
automatically indented when amount is entered. Do not indent
manually....
Pronghorn Industries purchased $11,700 of merchandise on
February 1, 2017, subject to a trade discount of...
Pronghorn Industries purchased $11,700 of merchandise on
February 1, 2017, subject to a trade discount of 10% and with
credit terms of 3/15, n/60. It returned $3,000 (gross price before
trade or cash discount) on February 4. The invoice was paid on
February 13.
Assuming that Pronghorn uses the perpetual method for recording
merchandise transactions, record the purchase, return, and payment
using the gross method. (If no entry is required,
select "No entry" for the account titles and enter 0...
The following amortization schedule is for Monty Ltd.’s
investment in Spangler Corp.’s $77,500, five-year bonds with...
The following amortization schedule is for Monty Ltd.’s
investment in Spangler Corp.’s $77,500, five-year bonds with a 8%
interest rate and a 6% yield, which were purchased on December 31,
2016, for $84,029:
Cash
Received
Interest
Income
Bond Premium
Amortized
Amortized Cost
of Bonds
Dec. 31, 2016
$84,029
Dec. 31, 2017
$6,200
$5,042
$1,158
82,871
Dec. 31, 2018
6,200
4,972
1,228
81,643
Dec. 31, 2019
6,200
4,899
1,301
80,342
Dec. 31, 2020
6,200
4,821
1,379
78,963
Dec. 31, 2021
6,200...
On January 1, 2017, Flounder Company purchased 12% bonds having a
maturity value of $390,000, for...
On January 1, 2017, Flounder Company purchased 12% bonds having a
maturity value of $390,000, for $419,567.77. The bonds provide the
bondholders with a 10% yield. They are dated January 1, 2017, and
mature January 1, 2022, with interest receivable January 1 of each
year. Flounder Company uses the effective-interest method to
allocate unamortized discount or premium. The bonds are classified
in the held-to-maturity category.
Prepare the journal entry at the date of the bond purchase. (Enter
answers to 2...
Exercise 9-12 On January 1, 2017, Carla Vista Co. had a balance
of $321,500 of goodwill...
Exercise 9-12 On January 1, 2017, Carla Vista Co. had a balance
of $321,500 of goodwill on its balance sheet that resulted from the
purchase of a small business in a prior year. The goodwill had an
indefinite life. During 2017, the company had the following
additional transactions. Jan. 2 Purchased a patent (6-year life)
$376,950. July 1 Acquired a 8-year franchise; expiration date July
1, 2025, $547,200. Sept. 1 Research and development costs $185,500.
Prepare the necessary entries to...
Presented below are transactions related to Novak, Inc.
May 10
Purchased goods billed at $15,700 subject...
Presented below are transactions related to Novak, Inc.
May 10
Purchased goods billed at $15,700 subject to cash discount
terms of 2/10, n/60.
11
Purchased goods billed at $10,800 subject to terms of 1/15,
n/30.
19
Paid invoice of May 10.
24
Purchased goods billed at $12,100 subject to cash discount
terms of 2/10, n/30.
Prepare general journal entries for the transactions above under
the assumption that purchases are to be recorded at net amounts
after cash discounts and that...
On January 1, 2019, Metlock, Inc. issued $554,500, 14%, 10-year
bonds at face value. Interest is...
On January 1, 2019, Metlock, Inc. issued $554,500, 14%, 10-year
bonds at face value. Interest is payable annually on January
1.
(a)
Prepare the journal entry to record the issuance of the bonds.
(Credit account titles are automatically indented when
amount is entered. Do not indent manually.)
Date
Account Titles and Explanation
Debit
Credit
Jan. 1
(b)
Prepare the journal entry to record the accrual of interest on
December 31, 2019. (Credit account titles are
automatically indented when amount is...
On January 1, 2019, Metlock, Inc. issued $554,500, 14%, 10-year
bonds at face value. Interest is...
On January 1, 2019, Metlock, Inc. issued $554,500, 14%, 10-year
bonds at face value. Interest is payable annually on January
1.
(a)
Prepare the journal entry to record the issuance of the bonds.
(Credit account titles are automatically indented when
amount is entered. Do not indent manually.)
Date
Account Titles and Explanation
Debit
Credit
Jan. 1
(b)
Prepare the journal entry to record the accrual of interest on
December 31, 2019. (Credit account titles are
automatically indented when amount is...
During its first year of operations, Swifty Corporation had the
following transactions pertaining to its common...
During its first year of operations, Swifty Corporation had the
following transactions pertaining to its common stock.
Jan.
10
Issued 69,500 shares for cash at $7 per share.
July
1
Issued 38,000 shares for cash at $10 per share.
Partially correct answer iconYour answer is partially
correct.
Journalize the transactions, assuming that the common stock has
a par value of $7 per share. (Record journal entries in
the order presented in the problem. Credit account titles are
automatically indented when...