Ultra Day Spa provided $93,650 of services during Year 1. All customers paid for the services with credit cards. Ultra submitted the credit card receipts to the credit card company immediately. The credit card company paid Ultra cash in the amount of face value less a 2 percent service charge.
Q: What entry should be made on July 9 to record receipt of the note? Multiple Choice Debit Notes…
A: Accounts Receivable - Whenever the Goods are sold on the credit, the Account which is created to…
Q: Beattie Inc. paid $3,600 for one year insurance effective January 1. The general ledger account…
A: Introduction: Journals: Each and every business transactions are to be recorded in Journals.…
Q: Arnold Brown has a Visa Card with an annual percentage rate of 18.0%. The unpaid balance for his…
A: In unpaid balance method, the interest for credit card is computed irrespective of transactions made…
Q: The credit terms offered to a customer by a business firm were 2/10, n/30, which means the…
A: For promoting earlier payments, sometimes sellers make credit policy like 2/10, n/30.
Q: On October 31, 2021, Butter Company engaged in the following transactions: 1. Obtained a Php500,000,…
A: Factoring fee = Receivables financed x factoring fee % = 1000000*2% = Php20,000
Q: On November 30, accounts receivable in the amount of P900,000 were assigned to Turon Finance Co. by…
A: Accounts Receivable (AR) are the profits or revenues that a business expects to receive from…
Q: On May 31, Marty’s Ice Cream Shop sells gift cards for $5,000. Customers redeem $1,200 in June,…
A: Definition: Gift cards are one form of an advanced collection of revenues. When gift cards are…
Q: Williams, Inc. received an invoice of $12,000 for computer hardware with terms of 4/15, n/30. They…
A: INVOICE- It is a commercial document that records a transaction between a buyer and a seller. It…
Q: Dorman Company had the following items to report on its balance sheet: Employee advances $ 1,580…
A: What amount should appear in the "Other Receivables" category?
Q: Scarlet Company received an invoice for $65,000.00 that had payment terms of 1/5 n/30. If it made a…
A: This question require us to calculate the amount credited and balance of invoice after partial…
Q: Night Corp. receives a $4,000, 3-month, 8% note from Day Corp. in settlement of a past due account…
A: Cost Accounting: It is the process of collecting, recording, analyzing the cost, summarizing cost,…
Q: On May 9 Rainbow Daycare established an open line of credit with its bank and immediately withdrew…
A: Line of credit: A line of credit is typically a loan taken by a business to tide over short-term…
Q: On August 1, Kim Company accepted a 90-day note receivable as payment for services provided to Hsu…
A: Calculate the interest amount as follows: Interest = Face value * Interest rate*Periods
Q: ubin Enterprises had the following sales-related transactions on a recent day: a. Billed customer…
A: What is Journal Entries? A journal entries are generally used to record a business transaction in…
Q: A furniture company received a bill of payment of 1,143,253,000, which is due in 30 days. If paid…
A: Simple interest is interest derived from the principal/ original amount contributed to a savings…
Q: On January 15, 2010, Raymond Company received a two-month, 9%, $5,000 note from William Pentel for…
A: Solution- Accounts rec. is debited for reinstating the debit balance of W. Pental and Note Rec. is…
Q: Presented below are two independent transactions. a. Fiesta Restaurant accepted a Visa card in…
A: Introduction: Journals: Recording of a business transactions in a chronological order. First step in…
Q: On January 1, 2022, the ledger of Splish Brothers Inc. contained these liability accounts. Accounts…
A: Date Account Debit credit jan1 cash 25200 To Note payable 25200 jan5 cash 7632…
Q: Proco had an account payable of $3,800 due to Shiroo Inc., on of its suppliers. The amount was due…
A: In horizontal statement model, the transactions are shown in balance sheet equation as well as…
Q: Window World extended credit to customer Nile Jenkins in the amount of $130,900 for his purchase of…
A: At the time of sale of goods at credit, accounts receivables is increased, hence debited and sales…
Q: 1 Loaned $84,000 to a cashier of the company and received back a one-year, 10 percent note. b.…
A: a) Date General Journal Debit Credit Jan 1 Note Receivable $84,000 To Cash…
Q: n June 1, Swifty Company borrows $120,000 from First Bank on a 6-month, $120,000, 8% note.…
A:
Q: f a customer owed your company $100 on the first day of the month, then purchased $200 of goods on…
A: The normal balance of customer's account is credit balance, And if the amount is paid by the…
Q: Emperor Pool Services provides pool cleaning and maintenance services to residential clients. It…
A: Warranty expense is recorded by company as a liability expense to be made in future.
Q: Advanced Packaging accepted a credit card account receivable in exchange for $25,000 of services…
A: The revenues generated increase owner's equity and any expenditure incurred decreases owner's…
Q: Loft Corporation received an RM945 invoice for kitchen ingredients with terms of 1/10, n/30. The…
A: Note: 1/10, n/30: Here, 1 represent the discount rate if payment is made within ten days. And if…
Q: On April 1, a company provides services to one of its customers for $13,000. As payment for the…
A: Introduction: Journals: Recording of a business transactions in a chronological order. First step in…
Q: Stacy's Dress Shop received a $1,130 invoice dated July 16 with 2/10, 1/15, n/60 terms. On July 30,…
A: As stated, the payment term is 2/10,1/15,n/60. It means if the customer will make payment within 10…
Q: Reliance Company manufactures and sells wireless video cell phones, which it guarantees for five…
A: Warranty expense can be defined as the expense that the company expects to generate or already…
Q: On September 1, 2015, Excellent Company received an $80,000, 12%, 120-day note from a credit…
A: Cash received from bank = Maturity value - Discount charged by the bank
Q: JAB Consulting received a promissory note of $13,500 at 99% simple interest for 15 months from one…
A: Notes Receivables - Notes Receivable is the promissory note given by the customer for the amount due…
Q: TJ made a loan of $16,000 to one of the company's employees on April 1, year 1. The one year note…
A: The answer is option (A.) [i.e, $720] Refer Step 2 for Explanation.
Q: On March 1, Terrell & Associates provides legal services to Whole Grain Bakery regarding some…
A: Interest received on Notes = Face value of Notes x rate of interest x time = $11,000 x 9% x 6/12 =…
Q: On June 29, a retailer buys goods worthy P3,000. To take advantage of a 5% cash discount, the…
A: Calculations are as follows.
Q: On May 22, Jarrett Company borrows $8,800, signing a 90-day, 8%, $8,800 note. What is the journal…
A: Introduction: Journals: Recording of a business transactions in a chronological order. First step in…
Q: A credit card company determines a card holder's minimum monthly payment by adding all new interest…
A: Total outstanding principal = $592+$429+$120+$104Total outstanding principal = $1245 Total days till…
Q: Freelance Factors provides financing to other companies by purchasing their accounts receivable on a…
A: Commission paid=Amount of receivables purchased×Commission charge=P1,500,000×15%=P225,000 Thus, the…
Q: Kevin Devlin's credit card company determines his minimum monthly payment by taking 1.25 % of any…
A: Interest charges indicate the additional rate charged by the lender over the principle amount.
Q: Jangles Corporation received a $20,000 invoice dated March 3. The Cash discount terms were 3/10,…
A: If the company made payment within 10 days. then the company will receive a 3% discount on the…
Q: The credit terms offered to a customer by a business firm are 2/10, n/30, which means that the…
A: Credit term refers to a payment term mentioned in the invoice which stated the timing and payment of…
Q: During Year 1, a company accepts the following notes receivable. 1. On April 1, the company provides…
A: Journals are the books of primary entries. The business transactions are recorded at the initial…
Q: Rubin Enterprises had the following sales-related transactions on a recent day: a. Billed customer…
A: Journal entry is the activity of making summary of transactions both economic and non-economic.…
Q: On July 9, Mifflin Company receives a $10,200, 90-day, 6% note from customer Payton Summers to…
A: Journal entry refers to the process of recording commercial transactions for the first time in the…
Q: Sellane Appliances received an invoice dated October 11 with terms 4/10 E.O.M. for the items listed…
A: (a) The term of cash discount is 4/10, end of the month. It means the cash discount is 4% if the due…
Q: Prepare Jun's journal entry assuming the note is honored by the customer on October 31 of that same…
A: Journal entry: A journal entry is used to record day-to-day transactions of the business by debiting…
Q: 1. During the year, TBTI paid parking rental fees via automatic e-transfer from the bank account.…
A: Sno. Particulars Amount (Dr) Amount (Cr) 1 Parking fees A/c To Bank A/c (Being Parking…
Q: A customer was unable to pay the accounts receivable on time in the amount of $34,000. The customer…
A: Introduction: Journals: Each and every business transactions are to be recorded in Journals.…
The balance sheet includes the assets, liabilities, and stockholders' equity of the company. Whereas, the income statement includes the revenues and expenses of the company.
Trending now
This is a popular solution!
Step by step
Solved in 2 steps with 1 images
- The data below is for Betts Corporation for the year. Accounts receivable-December 31 Customer accounts written off as uncollectible during the year Allowance for doubtful accounts--January 1 Estimated uncollectible accounts based on an aging analysis If the aging approach is used to estimate bad debts, determine the bad debt expense for the year. Select one: O O O A. $48,600 B. $48,000 C. $52,200 D. $59,400 $3,216.000 48,000 52,200 63.600Check my work For each of the three independent situations determine the amount of cash received from the customers and prepare journal entries that summarize the selling and collection activities for the reporting period. All dollars are in millions. Complete this question by entering your answers in the tabs below. Cash Recd General from Cust Journal Determine the amount of cash received from the customers. (Enter your answers in millions (i.e., 10,000,000 should be entered as 10).) Sales Accounts Receivable Cash Received from Situation Revenue Increase (Decrease) Customers 1 170 2 170 23 3 170 (23) Cash Recd from Cust General JournalJ. Whitlock Co. had $1,000 of credit cards sales. The net cash receipts were deposited immediately into Whitlock's bank account less a 5% fee. The entry to record this sales transaction would include a debit to:
- On March 29, Jangles Corporation received a $21,800 invoice dated March 26. Cash discount terms were 4/10, n/30. On April 02, Jangles sent an $8,720 partial payment.a. What credit should Jangles receive? (Round your answer to the nearest cent.) Credit b. What is Jangles’ outstanding balance? (Round your answer to the nearest cent.) Outstanding BalanceCardPointe UTA Is The Leader I... Commercial Captur... New Tab UPS-Shipping Search for Corporat... ups On March 4, Micro Sales makes $12,30o in sales on bank credit cards which charge a 1% service charge and deposits the funds into Micro Sales bank accounts at the end of the business day. Journalize the sales and recognition of expense, assuming cash deposited should be reduced by the service charge. If an amount box does not require an entry, leave it blank or enter "0". Мaг. 4 Previous Next> Email Instruct IIJervis sels $4,300 of its accounts receivable to Northem Bank in order to obtain necessary cash. Northem Bank charges 2 tactoing fee Wmat entry should Jervis make to record the transaction? Multiple Choice Debir Accounts Receivable $4,300; credit Factoring Fee Expense $86; credit Cash $4214 Debit Accounts Receivable $4,214; debit Factoring Fee Expense $86; credit Cash $4,300. Debit Cash $4,300; credit Factoring Fee Expense $86; credit Accounts Receivable $4,300
- On March 4, Micro Sales makes $4,850 in sales on bank credit cards that charge a 2.5% service charge. Funds are deposited net of credit card expenses into Micro Sales' bank account at the end of the business day. Journalize the sales and recognition of expense as a single journal entry.Han's Supplies's bank statement contained a $430 NSF check that one of its customers had written to pay for supplies purchased. Required: a. Show the effects of recognizing the NSF check on the financial statements by recording the appropriate amounts in a horizontal financial statements model. Also, in the Statement of Cash Flows column, classify the cash flows as operating activities (OA), investing activities (IA), or financing activities (FA). b. Suppose the customer redeems the check by giving Han $290 cash in exchange for the bad check. The additional $20 paid a service fee charged by Han. Show the effects on the financial statements. c. Is the recognition of the NSF check on Han's books an asset source, use, or exchange transaction? d. Select which of the following is the correct answer. Complete this question by entering your answers in the tabs below. Req A and C Req B Reg D a. Show the effects of recognizing the NSF check on the financial statements by recording the…Organa Corp's T-account for cash, along with its beginning balance is presented below. The tran journal entries from the previous questions are shown below. Post the portions of the transact account below. If a transaction doesn't affect cash select N/A for both debits and credits colun cash select the appropriate amount in the appropriate column and N/A for the other column. 1. Organa Corp purchases $4,000 in supplies on account. 2. Organa Corp issues common stock in exchange for $52,200 cash. 3. Organa Corp pays $15,800 cash for rent in advance for the following 3 months. 4. Organa Corp used up $29,900 worth of supplies during the period. 5. Organa Corp pays its suppliers $16,400 for supplies purchased during the prior period Debits Credits Beginning Balance Transaction #1 Transaction #2 Transaction #3 Transaction #4 $81,600 #5 Ending Balance N/A $52,200 N/A Transaction N/A N/A $101,600 $4,000 N/A N/A N/A N/A
- Luna Company accepted credit cards in payment for $7,100 of services performed during July Year 1. The credit card company charged Luna a 1.50 percent service fee; it paid Luna as soon as it received the invoices. Required a. Prepare the general journal entry to record the service revenue. b. Prepare the general journal entry for the collection of the receivable from the credit card company. c. Based on this information alone, what is the amount of net income earned during the month of July? Complete this question by entering your answers in the tabs below. Required A Required B Required C Prepare the general journal entry to record the service revenue. (If no entry is required for a transaction/event, select "No journal entry required" in the first account field. Round your answers to nearest whole dollar.) View transaction list Journal entry worksheet < A Record service revenue on credit card payment and credit card expenses. Note: Enter debits before credits. Transaction 1 General…Oriole Company uses both special journals and a general journal as described in this chapter. On June 30, after all monthly postings had been completed, the Accounts Receivable control account in the general ledger had a debit balance of $307,200; the Accounts Payable control account had a credit balance of $85,300. The July transactions recorded in the special journals are summarized below. No entries affecting accounts receivable and accounts payable were recorded in the general journal for July. Sales journal Purchases journal Cash receipts journal Cash payments journal Total sales Total purchases Accounts receivable column total Accounts payable column total $156,000 $58,800 $144,500 $41,300Directions: Read each senterce carefully and determine whether the statement is TRUE or FALS E. Write your answers on the space provided before each number. 1. At the beginning of the day, you have P200 cash in your pocket. At the end of the day, you have P50 left. If you make a horizontal analysis of your cash, you would conclude that your cash has decreased by 80% during the day. 2. In 2019, Entity A reported sales of P100 and profit of P20. In a vertical analysis, a financial statement user would conclude that Entity A was able to generate 20% profit from every peso of its sales during the period. 3. Entity A reported irventory balances of P100 and P50 in 2019 and 2018, respectively. In a horizontal analysis, a financial statement user would conclude that Entity A's inventory has increased by 50% from2018 to 2019. 4. An analysis of the intenelationships of infomation in a single period, expressed as parcentages of a common denomirator, is called horizortal analysis. 5. A comparison…