Slinkard accounting final bro
ABC company showd the following information:
- 554
Internal control is important to a business because
- All of the above ( will say something like "is a system which promotes operational efficiencies and p, help ensures, ect)
Assume that the fitzgerald corp uses the indirect method to depict cash flows. Indicate where, if at all, an accounts receivable decrease would be classified on the statement of cash flows.
- Operating activities section
The statement of cash flows
- Summarizes the operating, financing, and investing activities of an entity
The amount of stock that may be issued according the corporations charter is referred to as the
- authorized stock
Accounts receivable arising from sales to customers amounted to 120000 and 105000 at the beginning and end of the year, respectively. Income reported on the income statement for the year was 457000. Exclusive of the effect of other adjustments, the cash flows from operating activin
- last one (472000)
The number of shares of issued stock equals
- outstanding shares plus treasury shares
For Year 2 Daisy Corporation reported net income of 60, net sales 800, and average shares outstanding 6.
10 dollars a share
if total assets are 100,000, liabilities are 60,000 and common stock is 25,000 then retained earnings is
15,000 (assets - liability - equity and left with retained earnings 15,000)
. A 100,000, 6%, 5-Year note payable that pays interest quarterly would be discounted back to its present value by using tables that would indicate which one of the following period interest combinations?
20 interest periods, 1.5% interest
McGoff company deposits 20,000 in a fund at the end of each year for 5 years. The fund pays interest of 4% compounded annually. The balance in the fund at the end of 5 years is computed by multiplying
20,000 by the future value of an annuity factor
What is the total stockholder's equity based on the following account balances: common stock 2.3m, paid in capital: 120k, ret earnings 57k, treasury stock 60k
2930000 (add everything and minus treasury stock) (credit credit credit debit)
Peninsula Company reported net income of 290,000 for the year. During the year, accounts receivable increased by 21000, accounts payable decreased by 9000 and depreciation expense of 45000 was recorded. Net Cash provided by operating activities for the year is
305,000
The interest charged on a 300,000 note payable, at the rate of 6%, on a 90-day note would be
4500
Outstanding stock of the West Corporation including 40,000 shares of 5 per common stock and 10,000 shares of 5%. 10 par non-cumulative preferred stock. In 2016, west declared and paid dividends of 4,000. In 2017, west declared and paid dividends of 20,000. How much of the 2017 dividend was distributed to preferred shareholders?
5,000 (non accumulative so disregard 2016)
Bonds with a face value of 500,000 and a quoted price of 102.25 have a selling price of
511,250
Bonds with a face value of 600000 and a quoted price of 98.5
591,000
Interst charged on a 400 note payable, at the rate of 6%, on a 90 day note would be
6 dollars
If the market interest rate for a bond is higher than the standard rate, the bond will sell at
A Discount (if bond is less than market it will be a discount)
Treasury stock is
A corporation's own stock, which has been reacquired and held for future use
. The following totals for the month of April were taken from the payroll records of Metz Company Salaries - 90,000 - FICA - 6885
Answer: Debit to Salaries and wages expense
The accounting equation
Assets = Liabilities + stockholders equity
A credit is not the normal balance for which?
Assets, expenses and dividens
The current portion of long-term debt should
Be reclassified as a current liability
the category that is generally considered to be the best measure of a company's ability to continue as a going concern is
Cash flows from operating activities
Tomlinson Packaging Corporation began business in 2017 by issuing 50,000 shares 5 par common stock for 8 per share and 5000 shares at 6%. 10 Par preferred stock for par. At year end, the common stock had a market value of 10. On its December 31,2017 balance sheet, Tomlinson packaging would report
Common stock of 250,000
A business organized as a separate legal entity from its owners is a
Corporations
A corporation purchased a three-year insurance policy on decomber
Credit for prepaid insurance for 200
Sales taxes collected by a retailer are recorded by
Crediting sales taxes payable
Cash, Accounts Receivable
Current Assets
Dawson company issued 800 shares of no-par common stock for 72,00. Which of the
Debit Cash 72,00 - credit Common stock 1600 - credit paid in capital 5600
?
Debit cash 500,000 -credit notes payable 500,000
Moss county bank agrees to lend the sadowki brick company
Debit to interest expense and credit to interest payable
which of the following is the appropriate general journal entry to record the declaration of cash dividends?
Debit: cash dividends. Credit: Dividends payable
the date on which a cash dividend becomes a binding legal obligation is on the
Declaration Date
. Retained Earnings is reduced by which of the following
Dividends
Which accounts normally have debits balance
Dividens are reported on retained earnings list
Net Income may be defined as
Excess of revenues over expenses for the time period
Which of the following principles dictates that expenses are recognized
Expense Recognition or matching
Which of the following terms fir the difintion: "The area of accounting principally concerned with reporting the external users
Financial Accounting
If the market rate of interest is 10%, a 10,000, 12%, 10-year bond that pays interest annually would sell at amount
Greater than face value
Dividends in arrears on cumulative preferred stock
Must be paid before common stock holders can receive a dividend
Cash flows from operating activities, as reported on the statement of cash flows under the indirect method, would include
Net Income
When expenses exceed revenues, which is true
Net loss increased
A corporation has the following account balances: common stock, 1 par value, 80000; Paid-in Capital in Excess of Par Value, 27000000, Based on this information, the
Number of shares issued is 80000
. If norben Company issues 6000 shares of 5 par value common stock for 210000, the account
Paid in capital in excess of par value will be credited for 180000
If common stock is issued for an amount greater than par value, the excess should be credited to
Paid-IN capital in Excess of par value
Logan Corporation issues 70,000 shares of 50 par value preferred stock for cash at 60 per share. The entry to record the transaction wil consist of a debit to cash for 42000000 and a credit to
Preferred stock for 3.5mil and (Paid in excess) preferred stock 700k
Dividends are reported on
Retained earnings statement
The following totals for the month of March were taken from the payroll records of Kern Company
Salaries - 270000 FICA taxes withheld - 20655 Answer - debit payroll tax expense for 36315
The revenue recognition principle
When it is earned only
. A cash register tape shows cash sales of 8,000 and sales taxes of 400. The journal entry to record the information is
debit Cash 8400 - credit sales revenue 8000, sales tax payable 400
Starting with net income and adjusting it for items affects reported net income but didn't effect cash:
indirect method
Lantz company purchased 2500 shares of its own previously issued 10 par common stock for 62500.
kaplan's total Stockholder's equeity decreased 62500
Liabilities are classified on the balance sheet as current or
long term
On the dividend record date
no entry is required
Which of the following would be unethical?
recording backdated revenue
Unearned Rent Revenue
reported as a Current Liabilities
Which one of the following relationships shows the proper structure of a crop?
stockholders select the board, board picks officers
a current liability is a debt that can reasonably be expected to be paid
within one year, or the operating cycle, whichever is longer