Midshipmen Company borrows $19,000 from Falcon Company on July 1, 2024. Midshipmen repays the amount borrowed and pays interest of 12% (1%/month) on June 30, 2025. Required: 1.&2. Record the necessary entries in the Journal Entry Worksheet below for Falcon Company. 3. Calculate the 2024 year-end adjusted balances of Interest Receivable and Interest Revenue (assuming the balance of Interest Receivable at the beginning of the year is $0).
Q: Vaughn Construction Company has entered into a contract beginning January 1, 2020, to build a…
A: The percentage of completion contract approach is used to account for annual revenue and costs. The…
Q: Required: 1. Prepare a schedule of expected cash collections for April, May, and June, and for the…
A: A cash Budget is a company's budget that shows an estimation of collections in cash i.e, cash…
Q: A) Record the 202X journal entries made by Frylock to account for the income/ dividends of Meat Wad…
A: Simple Equity Method : When the investor has significant influence(holds owner's stake 25% or more )…
Q: At the beginning of the year, Golden Gopher Company reports a balance in Supplies of $330. During…
A: The journal entries are prepared to record the transactions on regular basis. The adjustment entries…
Q: Becky has a small business. In 2022 she had business income of 270,000. During 2022, she purchased…
A: A section of the tax law known as Section 179 enables companies to write off the entire cost of…
Q: ! Required information [The following information applies to the questions displayed below.] Shadee…
A: The budget is prepared to estimate the cost for the period. The direct materials budget helps to…
Q: A company uses the allowance method to estimate bad debts. The allowance account beginning balance…
A: Bad debts refer to accounts receivable that a company considers uncollectible and writes off as a…
Q: During April, Cavy Company incurred factory overhead as follows: Indirect materials Factory…
A: Factory overhead is the amount of all indirect expenses which are incurred in the manufacturing…
Q: On January 1, 2022, Blossom Company purchased the following two machines for use in its production…
A: Depreciation expense is the reduction in the value of asset due to its use, wear or tear. Journal…
Q: Required Determine the effect, if any, of each of the errors on the following items. Give the dollar…
A: Inventory : Overstating inventory means that the reported amount for the cost of a company's…
Q: Hillyard Company, an office supplies specialty store, prepares its master budget on a quarterly…
A: Honor code - Since you have posted a question with multiple sub-parts, we will provide the solution…
Q: Question Content Area Cavy Company estimates that the factory overhead for the following year will…
A: Predetermined Overhead rate = Estimated overhead / Estimated machine hours Predetermined Overhead…
Q: The production manager of Rordan Corporation has submitted the following quarterly production…
A: Notes : Management prepares budget in order to estimate future profit and loss of the business.…
Q: You rent a retail stall in the mall for $300 a month and use it to sell T-shirts with funny captions…
A: Contribution Margin = Sales - Variable Costs Net Income = Contribution Margin - Fixed Costs
Q: Question Content Area Journalize the entries to record the following transactions: Mar. 10: 600…
A: Journal entries are the basic method for recording financial transactions in the books of accounts.…
Q: Jerry Jay is the CEO of Jerry's Jackets (JJ). In June, Jerry expects to produce and sell 3100…
A: Activity variance :— It is the difference between planning budget and flexible budget. Flexible…
Q: Rogen Corporation manufactures a single product. The standard cost per unit of product is shown…
A: Variance analysis is one of the best method used by the management to analyse the standard and…
Q: Prepare the bank reconciliation for CNX Inc. at April 30 using the following information. (1) The…
A: Bank Reconciliation for CNX Inc. as of April 30:
Q: ayment. Business unit B produces and sells household faucets and allows customers to pay for their…
A: Business unit A recognizes revenue at the time of payment. Business unit B recognizes revenue when…
Q: rated as the largest shopping mall in North America. The company's board of directors, after much…
A: INTRODUCTION:- This is a financial accounting question that involves preparing journal entries…
Q: Using the information provided in the picture, complete the calculation of accounting ratios and…
A: Ratio analysis is the method of analysis of the financial statements of the entity which analyzes…
Q: Adger omers ser company that company provided the following fixed and variable cost estimates that…
A: Flexible budget is to be prepared for the actual activity. The fixed element under the flexible…
Q: Crane Frosted Flakes Company offers its customers a pottery cereal bowl if they send in 3 proof of…
A: Liability is the amount of money which is to be paid by the entity to the creditors, suppliers,…
Q: The management of Septak Corporation is investigating purchasing equipment that would increase sales…
A: Return on Investment (ROI) is a financial performance metric used to evaluate the profitability of…
Q: Garden Depot is a retaller that is preparing its budget for the upcoming fiscal year. Management has…
A: Cash budget is the statement which is prepared by the entity for the purpose of estimating the cash…
Q: Dr. Anita Flosz is a self-employed dentist with a well-established practice in Niagara Falls,…
A: As a self-employed individual, deductible expenses are those that are incurred to earn income for…
Q: Blue Ridge Marketing Inc. manufactures two products, A and B. Presently, the company uses a single…
A: Formula : Predetermined overhead rate = total overhead / total activity level
Q: Bonita Corp. enters into a contract with a customer to build an apartment building for $960,000. The…
A: Total transaction price is the summation of probability and expected value.
Q: abc has issued 3,000 shares of common stock and 400 shares of preferred stock for a lump sum of…
A: The journal entries are prepared to record the transactions on regular basis. The shares issued are…
Q: Furillo Furriers has a contribution margin ratio of 80 percent and must sell 12,000 stoles at a unit…
A: The percentage of sales income that is available to pay a company's fixed costs and contribute to…
Q: Finished goods. Other... Total inventories. 791 369 $3,266 851 348 $3,379 Required a. Identify the…
A: On a company's financial records, inventories are valued using the LCNRV technique, which uses the…
Q: Helix Company is approached by a new customer to provide 1,900 units of its product at a special…
A: Special Order Decision Analysis Is a Method Businesses Use To Evaluate The Net Income Of Accepting…
Q: Benson Manufacturing Company makes tents that it sells directly to camping enthusiasts through a…
A: Introduction In this case, direct costs are the costs that are directly related to the…
Q: Determine the appropriate journal entry for inventory You review the data for inventory on hand on…
A: Introduction Costs like administrative overheads, selling costs, and storage costs are…
Q: Whispering Winds Manufacturing Corporation uses both standards and budgets. The company estimates…
A: STANDARD COST PER UNIT Standard Cost Per Unit is Computed by dividing Estimated Units Produced From…
Q: Required information [The following information applies to the questions displayed below.)…
A: Perpetual inventory system: The system of material control on a continuous basis is while the…
Q: Question 10 How many Gallon Equivalents would it take to drive Model V to its maximum car range?…
A: Gallon Equivalent = Max. Miles on 1 charge / Miles per Gallon Equivalent
Q: Prepare the journal entry to record the sale of the building after having used the cost model.…
A: Journal entry: It refers to the recording of company's financial transactions in it's primary book…
Q: Terminal Industries (TI) produces a product using three departments: Mixing, Processing, and…
A: Units to be accounted for: Terminal Industries Production Cost Report…
Q: Rundle Medical Clinic has budgeted the following cash flows. Cash receipts Cash payments For…
A: In this question, we need to prepare cash budget for the months of January, February & March.…
Q: Chattanooga Development Company wants to evaluate replacing an older machine requiring significant…
A: Lets understand the basics. When there are two alternatives available then management try to choose…
Q: P1, P2, and P3 are partners in XYZ Inc. Their capital balances on Dec 31, Year 5, are $202,119 for…
A: In asset revaluation method, at the time of any Partner admission or going out, the total asset will…
Q: Thomas Company buys and sells a product that has a variable cost per unit of $14. Thomas' fixed…
A: Current profit = (Selling price - Variable costs) * No. of units - Fixed costs = ($18 - $14) *…
Q: Learning Objective 3: Question 1: Straight-line Method Wired Inc. sold 10-year bonds with a total…
A: Answer:- Bonds:- Bonds are tradable assets that are securitized versions of corporate debt issued…
Q: Cavy Company estimates that the factory overhead for the following year will be $1,124,200. The…
A: The predetermined overhead rate is calculated as Estimated overhead cost divided by Estimated base…
Q: The following February journal entries all involved cash. Increases to Cash-Debits 2/1 2/9 2/16 2/21…
A: A cash account is a ledger that includes all cash transactions i.e, cash receipts and payments in…
Q: Harris Corporation has provided the following data concerning an investment project that it is…
A: Net present value: It implies a difference or a variance between the cash inflows and outflows from…
Q: Presented below is information related to Bridgeport Inc Inventory, 12/31/25 Purchases Purchase…
A: Retail inventory method : It is a method for calculating ending inventory based on the ratio of…
Q: Seventy percent of Porter's Corporation's sales are collected in the month of sale, 20% in the month…
A: Receivables management is the process of managing a company's accounts receivable to optimize the…
Q: Syntech makes digital cameras for drones. Their basic digital camera uses $80 in variable costs and…
A: To determine the price level at which the upgraded camera will begin to improve operational…
Midshipmen Company borrows $19,000 from Falcon Company on July 1, 2024. Midshipmen repays the amount borrowed and pays interest of 12% (1%/month) on June 30, 2025.
Required:
-
1.&2. Record the necessary entries in the
Journal Entry Worksheet below for Falcon Company. -
3. Calculate the 2024 year-end adjusted balances of Interest Receivable and Interest Revenue (assuming the balance of Interest Receivable at the beginning of the year is $0).
Trending now
This is a popular solution!
Step by step
Solved in 2 steps
- Midshipmen Company borrows $11,500 from Falcon Company on July 1, 2021. Midshipmen repays the amount borrowed and pays interest of 12% (1%/month) on June 30, 2022. Required: 1.&2. Record the necessary entries in the Journal Entry Worksheet below. 3. Calculate the 2021 year-end adjusted balances of Interest Receivable and Interest Revenue (assuming the balance of Interest Receivable at the beginning of the year is $0).Midshipmen Company borrows $18,000 from Falcon Company on July 1, 2024. Midshipmen repays the amount borrowed and pays interest of 12% (1%/month) on June 30, 2025. Required: 1.&2. Record the necessary entries in the Journal Entry Worksheet below for Midshipmen Company. 3. Calculate the 2024 year-end adjusted balances of Interest Payable and Interest Expense (assuming the balance of Interest Payable at the beginning of the year is $0).Midshipmen Company borrows $15,000 from Falcon Company on July 1, 2024. Midshipmen repays the amount borrowed and pays interest of 12% (1% /month) on June 30, 2025. Required: 1.&2. Record the necessary entries in the Journal Entry Worksheet below for Midshipmen Company. 3. Calculate the 2024 year-end adjusted balances of Interest Payable and Interest Expense (assuming the balance of Interest Payable at the beginning of the year is $0).
- Midshipmen Company borrows $16,500 from Falcon Company on July 1, 2021. Midshipmen repays the amount borrowed and pays interest of 12% (1%/month) on June 30, 2022. Required: 1.&2. Record the necessary entries in the Journal Entry Worksheet below. 3. Calculate the 2021 year-end adjusted balances of Interest Payable and Interest Expense (assuming the balance of Interest Payable at the beginning of the year is $0).XYZ Company lent $9,000 at 10% interest on December 1, 2019. The amount plus all interests accrued will be collected after 1 year. At the end of December, which of the following journal entry is required to take up the interest income? Select one: a. Debit Cash $900; Credit Interest Revenue $900 b. Debit Interest Revenue $75; Credit Interest Receivable $75 c. Debit Interest Receivable $900; Credit Unearned Revenue $900 d. Debit Interest Receivable $75; Credit Interest Revenue $75Midshipmen Company borrows $15,000 from Falcon Company on July 1, 2021. Midshipmen repays the amount borrowed and pays interest of 12% (1%/month) on June 30, 2022. (1) Record the borrowing for Midshipmen on July 1, 2021. (2) Record the adjusting entry for Midshipmen on December 31, 2021. (3) Calculate the 2021 year-end adjusted balances of Interest Payable and Interest Expense (assuming the balance of Interest Payable at the beginning of the year is $0).
- Below are the details of a loan Levis' obtained from their bank on November 1, 2021. 3 Required: Prepare the following journal entries: a. On November 1, 2021 Levis' borrowed $200,000 from a bank with a five year term at an interest rate of 7% per annum. 6 7 Date ACCOUNT TITLES Debit Credit 8. 1-Nov 9 10 b. The first loan payment is due at the end of the month in the amount of $3,800. This payment includes 11 $1,440 of interest. 12 13 Date ACCOUNT TITLES Debit Credit 14 30-Nov 15 c. Total loan payments made in 2022 will be $600. It is determined that $36,000 of this amount will 8 go towards the principal of the loan. 9 Date ACCOUNT TITLES Debit Credit 31-DecShamrock Industries borrows $21600 at 5% annual interest for six months on October 1, 2022. Which is the appropriate entry to accrue interest if Shamrock employs December 31, 2022, fiscal year? (Pick one of the answers and explain why that is the answer.) Answers: 1. Dr Notes Payable $1080 Cr Interest Payable $1080 2. Dr Interest Expense $270 Cr Notes Payable $270 3. Dr Interest Expense $270 Cr Interest Payable $270 4. Dr Interest Expense $1080 Cr Interest Payable $1080Windsor, Inc. borrows $67,200 from Wildhorse Co. on July 1, 2021 signing a 4%, one-year note payable. Interest is to be paid at maturity. Prepare journal entry for Windsor, Inc. to record the receipt of the proceeds of the note. Prepare journal entry for Windsor, Inc. to record the accrued interest at December 31, assuming adjusting entries are made only at year end. Prepare journal entry for Windsor, Inc. to record the payment of the note at maturity.
- On 31 May, 2020, the business borrowed $30,000 on a four year, 5% per annum loan that calls for annual payments of interest every 31st May. Assume the balance day falls on 31 December 2020, the correct journal entry to record the accrued interest on the balance day in 2020 is: (hint: calculate by counting months, not days) Select one: а. Dr Interest expense 750 Cr Interest payable 750 O b. Dr Interest expense 1,500 Cr Interest payable 1,500 С. Dr Cash 30,000 Cr Loan payable 30,000 d. Dr Interest expense 875 Cr Interest payable 875Instructions Ellsworth Enterprises borrowed $486,000 on an 12%, interest-bearing note on September 30, 2020. Ellsworth ends its fiscal year on December 31. The note was paid with interest on March 31, 2021. Required: 1. Prepare the entry for this note on September 30, 2020. 2. Prepare the adjusting entry for this note on December 31, 2020. 3. Indicate how the note and the accrued interest would appear on the balance sheet at December 31, 2020. 4. Prepare the entry to record the repayment of the note on March 31, 2021.On November 1, 2024, Dual Systems borrows $140,000 to expand operations. Dual Systems signs a six-month, 7% promissory note. Interest is payable at maturity. Dual System's year-end is December 31. Required: 1., 2. & 3. Record the following transactions for the note payable by Dual Systems. (If no entry is required for a particular transaction/event, select "No Journal Entry Required" in the first account field. Do not round intermediate calculations. Round your answers to the nearest dollar amount.) View transaction list Journal entry worksheet < 1 2 3 Record the issuance of the note on November 1, 2024, Note: Enter debits before credits. Date November 01, 2024 General Journal Debit Credit Record entry Clear entry View general journal G 110 E