Coronado Frosted Flakes Company offers its customers a pottery cereal bowl if they send in 3 boxtops from Coronado Frosted Flakes boxes and $1. The company estimates that 60% of the boxtops will be redeemed. In 2021, the company sold 1360000 boxes of Frosted Flakes and customers redeemed 660000 boxtops receiving 220000 bowls. If the bowls cost Coronado Company $3 each, how much liability for outstanding premiums should be recorded at the end of 2021? $156000 $280000 $104000 O $544000
Q: Which of the following would not appear on a statement of changes in fiduciary net position?…
A: Statement of Changes in fiduciary net Position A financial statement that details changes in a…
Q: BHS Incorporated determines that sales will rise from $400,000 to $550,000 next year. Spontaneous…
A: External financing is one of the most important tactics in the business. It helps in raising…
Q: What is the share of B in the maximum possible loss on January 31, 2021?
A: Statement showing computation of maximum possible loss of partners Date Particulars Amount…
Q: Cash flows from operating activities FORTEN COMPANY Statement of Cash Flows For Current Year Ended…
A: Cash flow statement is the one prepatred by the company to determine cash position of the company by…
Q: Assume that John William has reviewed his work schedule and decided that it makes sense to complete…
A: Transaction price is that price which is agreed between seller and buyer for the related goods or…
Q: The following trial balance of Whispering Winds Corp. does not balance.
A: Trial balance is the list of accounts having balances at the end of a particular…
Q: Snelling Company does business in two regional segments: North and South. The following annual…
A: Introduction: Horizontal analysis is a technique of financial statements analysis that is used to…
Q: Walters Audio Visual, Inc., offers a stock option plan to its regional managers. On January 1, 2021,…
A: Golden Rules of Accounting: Account Debit Credit Personal Accounts The Receiver The…
Q: 1. Cute Camel is able to achieve this level of increased sales, but its interest costs increase from…
A: An income statement displays the revenues, costs, and profitability of a business over time. It is…
Q: If a commercial real estate asset had produced an annual cash flow of $325,000 in Year 1 and…
A: Calculation of changes in the value at the end of year 2. Working notes:- Formula used: Value of…
Q: hediatel Whaleco acquired all of the common stock of MinnowCo early in year 1 for $900,000, and…
A: A stock, often known as equity, is a financial instrument that symbolizes ownership in a portion of…
Q: Health Plus, Inc. Income Statement Year Ended September 30, 2016 Sales Revenue Cost of Goods Sold…
A: INTRODUCTION: The statement of cash flows is one of the financial statements published by a company…
Q: Parsons Limited established a share appreciation rights program that entitled its new president,…
A: Share appreciation rights - In this case, the Entity issues options or rights to the employees where…
Q: What is capitalized interest?
A: INTRODUCTION: The term capitalise in accounting refers to the act of recording an expense as an…
Q: 4 Running Company had the following information for the month of June Work in process beginning…
A: Answer The material were added at end of process As per weighted average method the equivalent…
Q: Required information Problem 15-3A (Algo) Debt investments in available-for-sale securities;…
A: A debt or equity security that is available for sale is one that is bought with the intention of…
Q: Sam Inc. issues 1,000 shares of $5 par value common stock when 500 shares of $30 par value preferred…
A: JOURNAL ENTRIES Journal Entry is the First stage of Accounting Process. Journal Entry is the Process…
Q: Using either logarithms or a graphing calculator, find the time required for the initial amount to…
A:
Q: A firm has projected sales in May, June, and July of $100, $200, and $300, respectively. The firm…
A: INTRODUCTION: Cash sales are when the buyer's payment obligation is met. Cash sales include cash,…
Q: How would the first P100,000 of available assets be distributed?
A: Total External liabilities are 70000 and partner's loan is 20000. Out of realization of 100000,…
Q: P1-1C. The following are incomplete financial statements for Good Home Hardware. Calculate the…
A: Accounting statements The year-end records that are maintained by a company are classified as…
Q: Which of these items would be accounted for prospectively? Select one: O a. Prior Period…
A: INTRODUCTION: Depreciation is a continuous, permanent, and progressive drop in the book value of…
Q: ok although you mentioned in the explanation now you mentioned that total assets is 400 while…
A: The business entities or lenders determine financial ratios to compare different companies' outcomes…
Q: Current Attempt in Progress Wildhorse Marina has 300 available slips that rent for $800 per season.…
A: The revenues which are received but not earned are called unearned revenues. The unearned revenue is…
Q: The following year-end information is taken from the December 31 adjusted trial balance and other…
A: The product cost are directly or indirectly related to the production. The product cost can be…
Q: 18. The following are examples of corporate expenses deductible from gross income, except one a.…
A: To claim a deduction of expense it must qualify the following conditions 1. Expense that is…
Q: Maritime Corp. is a junior mining company listed on the TSX. The common share price of Maritime…
A: Journal entry: - Entries recorded in the journal book are known as journal entries. Journal is the…
Q: Consider a bond with a 7% annual coupon and a face value of $1,100. Complete the following table.…
A: Issue price of bonds would be present value of interest annuity & maturity amount at market rate…
Q: Crane's Market recorded the following events involving a recent purchase of merchandise: Received…
A: Lets understand the basics. Seller in order to attract early payments give discount terms. They term…
Q: 2. Humbolt Hardware Company recently negotiated a lump-sum purchase of several assets from another…
A: The acquisition cost is defined as the net price paid by the acquirer to the trader to successfully…
Q: Iowa Corporation Issued $4,000,000 par value, 5% convertible bonds, at 101 for cash. If the bonds…
A: Journal Entry :- The act of logging any transaction, whether or not it is an economic one, is known…
Q: Home Demo reports the following: Total liabilities = $38,633 million and Total assets = $42,966…
A: Debt Ratio :— It is the ratio between total debt and total assets. Levered Company :— Company…
Q: Assume Organic Ice Cream Company, Inc., bought a new ice cream production kit…
A: Depreciation is the reduction in the value of fixed asset over its useful life. It is deducted in…
Q: LO.2Leonard’s home was damaged by a fire. He also had to be absent from work for several days to…
A: Gross Income: - Gross income refers to the total income of an individual before deducting any…
Q: Presented below is an amortization schedule related to Flounder Company's 5-year, $160,000 bond with…
A: Bond: A bond is a type of debt financial instrument with a maturity of two years or more.…
Q: a. Prepaid insurance of $400 has expired this month. b. At the end of the month, $1,525 of office…
A: Closing Entries - Closing entries are required to close the temporary accounts after making…
Q: During 2024, WMC Corporation discovered that its ending inventories reported in its financial…
A: Ending inventory is one of the important current asset in the business. This is also part of income…
Q: F earned $130,000 of employment income in the current year. His employer withheld CPP and EI…
A: Federal tax is the liability owed by taxpayers to the federal government on the income earned by the…
Q: (a) Prepare T accounts and enter the opening balances. (This has been done for you on the template.)…
A: “Since you have posted a question with multiple sub parts, we will provide the solution only to the…
Q: During the year, IM Co. had sales of $900,000 including cash sales of $200,000 and $700,000 on…
A: "Since you have asked multiple questions, we will solve first question for you. If you want any…
Q: Following is a bank reconciliation for Zocar Enterprises for June 30, Year 2: Cash Account…
A: A bank reconciliation statement aligns an organization's bank account with its financial documents…
Q: Andrea entered into a § 529 qualified tuition program for the benefit of her daughter, Joanna.…
A: QTP stands for qualified tuition program under the section 529 plan, it is the plan which is…
Q: Question What is cash and cash equivalents while preparing cash flow statement?
A: Cash flow management is essential to a business's ability to run smoothly. In order to maintain an…
Q: following information applies to the questions displayed below.] The following information…
A: There are three types.of valuation of inventory that are First in first out my method Last in…
Q: ssets $50,000 $25,000 $10,000 Retained Earnings $15,000 Suppose in year two the company plans to…
A: The accounting equation states that assets equals to sum of liabilities and shareholders equity. The…
Q: On January 1, 2020, Blossom Ltd. issued 820 5-year, 11% convertible bonds at par of $1,000, with…
A: Introduction: Bonds payable are a type of long-term debt that is typically issued by enterprises,…
Q: VICWT Uncies Current Attempt in Progress On May 1, 2025, Jackson Inc. entered into a contract to…
A: In Accounts we record only monetary transactions or events that have a monetary impact. The event of…
Q: 2. Costa farms borrowed $6,100 6 years ago to purchase a new automated fertilizer. They have made no…
A: The concept of time value of money will be used in this case. We are provided with present value,…
Q: Mercury Inc. purchased equipment in 2019 at a cost of $383,000. The equipment was expected to…
A: Depreciation is the process by which an asset's value reduces over time as a result of usage, abuse,…
Q: A European candy manufacturing plant manager must select a new irradiation system to ensure the…
A: Annual worth or AW analysis is the project evaluation technique in which the first cost or initial…
Trending now
This is a popular solution!
Step by step
Solved in 2 steps
- Oriole Frosted Flakes Company offers its customers a pottery cereal bowl if they send in 4 boxtops from Oriole Frosted Flakes boxes and $2. The company estimates that 60% of the boxtops will be redeemed. In 2021, the company sold 795000 boxes of Frosted Flakes and customers redeemed 356000 boxtops receiving 89000 bowls. If the bowls cost Oriole Company $4 each, how much liability for outstanding premiums should be recorded at the end of 2021?Palmer Frosted Flakes Company offers its customers a pottery cereal bowl if they send in 3 boxtops from Palmer Frosted Flakesboxes and P2. The company estimates that 60% of the boxtops will be redeemed. In 2020, the company sold 675,000 boxesof Frosted Flakes and customers redeemed 330,000 boxtops receiving 110,000 bowls. If the bowls cost Palmer Company P6each, how much liability for outstanding premiums should be recorded at the end of 2020?a. P540,000 c. P150,000b. P100,000 d. P276,000Swifty Frosted Flakes Company offers its customers a pottery cereal bowl if they send in 3 boxtops from Swifty Frosted Flakes boxes and $2. The company estimates that 60% of the boxtops will be redeemed. In 2021, the company sold 1355000 boxes of Frosted Flakes and customers redeemed 660000 boxtops receiving 220000 bowls. If the bowls cost Swifty Company $4 each, how much liability for outstanding premiums should be recorded at the end of 2021? O $542000 O $278000 O $102000 O $204000
- LeMay Frosted Flakes Company offers its customers a pottery cereal bowl if they send in 4 boxtops from LeMay Frosted Flakes boxes and P1.00. The company estimates that 60% of the boxtops will be redeemed. In 2010, the company sold 500,000 boxes of Frosted Flakes and customers redeemed 220,000 boxtops receiving 55,000 bowls. If the bowls cost LeMay Company P2.50 each, how much liability for outstanding premiums should be recorded at the end of 2010? 70,000 70,000 20,000 20,000 50,000 50,000 30,000 30,000Crane Frosted Flakes Company offers its customers a pottery cereal bowl if they send in 3 proof of purchase seals from Crane Frosted Flakes boxes and $1. The company estimates that 60% of the proof of purchase seals will be redeemed. In 2026, the company sold 1404000 boxes of Frosted Flakes, and customers redeemed 686400 proof of purchase seals receiving 228800 bowls. If the bowls cost Crane Company $3 each, how much liability for outstanding premiums should be recorded at the end of 2026? $104000 O $156000 $287040 O $561600Lex Company offers its customers a pottery cereal bowl if they send in 3 boxtops from Cute Company boxes and P 1. The company estimates that 60% of the boxtops will be redeemed. In 2020, the company sold 675,000 boxes of Lex Company and customers redeemed for 330,000 boxtops receiving 110,000 bowls. If the bowls cost Lex Company P 3 each, how much liability outstanding premiums should be recorded at the end of 2020? a. P 270,000b. P 50,000c. P 75,000d. P 138,000
- GoodBuy sells gift cards redeemable for GoodBuy products either in store or online. During 2021, GoodBuy sold $1,000,000 of gift cards, and $840,000 of the gift cards were redeemed for products. As of December 31, 2021, $30,000 of the remaining gift cards had passed the date at which GoodBuy concludes that the cards will never be redeemed. How much gift card revenue should GoodBuy recognize in 2021?Fry Company offers its customers a pottery cereal bowl if they send in 3 boxtops from Fry boxes and P2. The company estimates that 60% of the boxtops will be redeemed. In 2020, the company sold 675,000 boxesof Fry and customers redeemed 330,000 boxtops receiving 110,000 bowls. If the bowls cost Fry Company P6each, how much liability for outstanding premiums should be recorded at the end of 2020?a. P540,000 c. P150,000b. P100,000 d. P276,000On October 1, 2018, Super Soup Corp. began offering customers a Super Soup Spoon in return for 20 soup can labels. This offer expires on March 31, 2019. The cost of each soup spoon is $1.50. Based on past experience, the company estimates that only 40% of the labels will be redeemed. During 2018, the company purchased 13,000 soup spoons and sold 600,000 cans of soup at $1.20 per can (the company uses the periodic inventory method). From these sales, 180,000 labels were returned for redemption in 2018. a. Prepare the journal entry to record the purchase of 12,000 soup spoons. b. Prepare the journal entry to record the sale of 600,000 cans of soup. c. Prepare the journal entry to estimate the premium expense for 2018. d. Prepare the journal entry to record the redemption of 180,000 labels. Answer:
- Kane Candy Company sells candy bars for $1 each. In addition, Kane offers its customers a coffee mug in exchange for $2 and 10 candy wrappers. A coffee mug costs Kane $2.40, and the company estimates that customers will redeem 60 percent of the candy wrappers. During 2020, Kane purchased 720,000 mugs, sold 5,600,000 candy bars, and redeemed 2,800,000 candy wrappers. Instructions: 1. Prepare the journal entry to record the purchase of the coffee mugs. 2. Prepare the entry to record the sale of the candy bars. 3. Prepare the entry to record the redemption of candy wrappers, the receipt of $2 per 10 wrappers, and the delivery of the coffee mugs. 4. Prepare the adjusting entry to record additional premium expense and the estimated premium liability at Dec. 31, 2020. LKane Candy Company sells candy bars for $1 each. In addition, Kane offers its customers a coffee mug in exchange for $2 and 10 candy wrappers. A coffee mug costs Kane $2.40, and the company estimates that customers will redeem 60 percent of the candy wrappers. During 2020, Kane purchased 720,000 mugs, sold 5,600,000 candy bars, and redeemed 2,800,000 candy wrappers. Instructions: 1. Prepare the journal entry to record the purchase of the coffee mugs. 2. Prepare the entry to record the sale of the candy bars. 3. Prepare the entry to record the redemption of candy wrappers, the receipt of $2 per 10 wrappers, and the delivery of the coffee mugs. 4. Prepare the adjusting entry to record additional premium expense and the estimated premium liability at Dec. 31, 2020.ABC Company participates in a customer loyalty program operated by YG Corporation where it grants 1 point for every P200 spent on its oil products. Accumulated points by customers from ABC may be used to settle part or in full any merchandise purchased from YG. ABC pays YG P1 for each point redeemed. In 2021, total sales of the ABC amounted to P10,000,000. Only 45% of the 100% expected total points granted were redeemed by the customers from YG Corporation which was used to fully settle the purchase of goods during the year.How much is the expense to be recognized by ABC in 2021?