C) depreciation is recorded on all plant assets. B If a company using accrual-basis accounting wanted to overstate their income at the end of the fiscal year with increased shipments, the two accounts that would be most at risk are Under GASB requirements for external financial reporting, the budgetary comparison schedule (or statement) would be found as a part of. d. Either required supplementary information (RSI) or basic financial statements, as elected by the government. 2. 10. Salaries earned from February 1st to March 1st are to be paid on March 10th. 9. OU Library fines. At the end of the year, merchandise inventory was overstated. All income statement, revenue and expense accounts are transferred at the end of the accounting period into the income summary account as a temporary owner's . (3) In December 2019, Swanstrom Inc. receives a cash payment of $3,500 for services performed in December 2019 and a cash payment of $4,500 for services to be performed in January 2020. 8. Salaries and Wages Expense and Salaries and Wages Payable. Which of the following is an example of an accrual? Pakistan (Urdu: [pakstan]), officially the Islamic Republic of Pakistan ( ), is a country in South Asia.It is the world's fifth-most populous country, with a population of almost 243 million people, and has the world's second-largest Muslim population just behind Indonesia. Your pie chart must be wrong, because you have the 45%45 \%45% frequency wedge near the upper left and the answer key shows it near the lower right. Sales and use taxes levied by the government. Maple Leaf's employees earn a normal weekly wage of $18,000 during a five-day work week. B How do the following circumstances sometimes lead to market failure? 24. Amounts paid out as dividends are not expenses. If an expense has been used or consumed but a bill has not been received at the end of the accounting period, which of the following is needed? forecast revenue. Taggert Company paid $1,800 for a 6-month insurance premium on December 1. Unearned revenues represent cash received from customers for services provided. While the prospect of passage for many of these bills is low, they are sure to keep committees and . From an accounting standpoint, the acquisition of a long-lived asset such as a building can be thought of as a long-term. Using the accrual basis of accounting, when should Montana recognize revenue? It was determined that $2,200 of the Prepaid Insurance had expired. Which of the following is correct concerning the presentation of the budgetary comparison schedule? Using Minitab or Excel, develop a quadratic trend equation that can be used to gross profit, operating income, net income. Exceptionally well-versed in all aspects of sales & product knowledge with an impressive background in generating multimillion/billion dollar growth & expanding revenue streams. B C. Revenues decrease equity, so a revenue account's normal balance is a debit balance. The related adjusting entry should consist of a debit to a(n) ____ account and a credit to a(n) _____ account. A Jackson, a physician and a member of the Subcommittee on the Coronavirus Pandemic, sent a letter in January, which was exclusively obtained by Breitbart News' Hannah Bleau . In the united states partnerships produce 5 times the revenue of corporations, does not have the tax advantages of a sole proprietor, and so on. ENGLEWOOD, Colo.--(BUSINESS WIRE)-- Qurate Retail, Inc. ("Qurate Retail") (Nasdaq: QRTEA, QRTEB, QRTEP) today reported fourth quarter and year end 2022 results (1). A. it will report accounts receivable on the balance sheet at their net realizable value. b. \text{Sales} \ldots\ldots\ldots & \text{\$448,600}\\ Which of the following statements about accrual-basis accounting is true? Selected year-end financial statements of Cabot Corporation follow. D.The same tax revenue is raised regardless of whether the government collects the tax from consumers or producers. Journalize the entry to accrue interest on December 31st, 2022. accrual-basis; April. C) may require the creation of an asset account . The curve shows a direct relationship between price and quantity supplied. $2,200. Tow assingments only 100 words. Which of the following statements is true? On November 15, Fine Flooring begins to install new carpet throughout Prime Publishing's corporate headquarters. D On December 31, 2019, Reinhardt prepared closing entries. When goods or services are received. Unearned revenues are not related to cash collections. A which of the following accounts would appear in the balance sheet debit column of the worksheet? C When should Mainzel recognize the related revenue using accrual accounting? The company should credit Accounts Receivable for $500 and debit Service Revenue for $500. Which financial statement would report all of the following information: beginning balances for common stock and retained earnings; current period net income or loss; current period dividends; common stock issued during the year; ending balances of common stock and retained earnings? A A-1's adjusted trial balance and balance sheet would both balance and its income statement would be correct, but its retained earnings statement would be incorrect. C) Revenues increase owner s equity, so a revenue account's normal balance is a debit balance. in a perpetual inventory system, multiple performance obligations ___________. The first payment is 40% of the annual premium, and each of the next two payments is 30% of the annual premium. \text{Cash}\ldots\ldots\ldots & \text{\$ 10,000} & \text{Accounts payable} & \text{\$ 17,500}\\ Prepaid Rent was debited for the full amount. Estimated Other Financing Sources. A) Revenues decrease owner s equity, so a revenue account's normal balance is a credit balance. C) The terms "revenue" and "profit" can be used interchangeably. A 10. How does Indian village life compare to city life? categories: Why might it be important to consider cultural influences on personality? D Q: Which of the following rules is incorrect ? \text{CABOT CORPORATION Balance Sheet December 31, 2017}\\ Cash flows from operations may be higher than expected for the company's sales. overstate liabilities and understate stockholders' equity. a. P D) the environment is the "tone at the top" of the business. Jones Financial Services, Inc. performed accounting services for a client in December. Which of the following statements is true regarding contracts in ASC Topic 606 guidance for revenue recognition? 2. total increases are $4,900 and the total decreases are $2,400. I, A508 Govt & Nonprofit Ch. a. C Which of the following financial statements lists the entity's assets, liabilities, and stockholders' equity as of a specific date? Adjusting entries help to ensure that all ______ are recorded in the period in which they are incurred. Debit Rent Expense $3,000; credit Prepaid Rent $3,000 Negative externalities c. Resource immobility. \end{matrix} Under cash-basis accounting, revenues are recorded when a company satisfies its performance obligations and expenses are recorded when incurred. A. (3) Reinhardt Company reported revenues of $122,000 and expenses of $83,000 on its 2019 income statement. \text{Assets} & \quad & \text{Liabilities and Equity}\\ C) franchises are privileges granted by a business to sell goods or services under specified conditions. A) those transactions have already been recorded in the company's journal. Formulate a linear programming problem that can be used to maximize River Brewery's monthly profit. \text{CABOT CORPORATION Income Statement For Year Ended December 31, 2017}\\ Adjusting entries are necessary because timing differences exist between when a revenue or expense is recognized and cash is received or paid. Payment was received on January 21 of the following year. A which of the following is the correct order of subtotals that appear on a multi-step income statement? 2. Debit Rent Expense $18,000; credit Prepaid Rent $15,000 companies are required to use an averaging method that weights transactions by the relative proportion of . QP Corp. has a beginning retained earnings balance of $16,000. 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A) on the balance sheet and income statement, respectively. Charges to a local university for extra city police protection during sporting events. In which of the following cases would an adjusting entry be required for Meadows Manufacturing? Which of the following statements best defines financial statements? An accrual results when ____________ and a deferral results when ), Adjusting entries: (Select all that apply.). overstated; $1,725. InterCo) assets and liabilities, equity, income, expenses and cash flows not forgetting that "profits or losses . He should include this amount in his calculation of stockholders' equity on the firm's balance sheet. C) Revenues increase equity, so a revenue account's normal balance is a debit balance. assets are understated. $$ Explain your reasoning. Environmental protection. Merchandise Inventory and Cost of Goods Sold appear ___________. A. T. UITION AND . B The correct answer is that a partnership must have more than one owner. \text{Income before taxes} \ldots\ldots\ldots & \text{48,650}\\ P (Enter one word per blank.). add the company's net income for March to the company's retained earnings as of March 31. D) A firm's revenue will increase as its costs increase. Option a is true. An adjusted trial balance is created after (5) Which one of the following statements is true if a company's collection period for accounts receivable is unacceptably long? Fill in your Name and Click on the Next button to start Billing mock Test Debt service. Rent for the 3 months totals $3,600. Gift for the purchase of new playground equipment. Operating grants that can be used at the . 10. Gloria pays her insurance three times each year. Debit Interest Expense 280 4. It is apparent that while sec. Record Revenues that were received in cash in an earlier period. During the 2016 accounting period, the company had (1) net cash inflow from operating activities of$15,600, (2) net cash outflow for investing activities of $23,000, and (3) net cash outflow from financing activities of$4,500. Yes, it is possible for a firm to do both. F LP c. Variable costs are direct costs; only . Amounts paid out as dividends are reported on the income statement. Course Hero is not sponsored or endorsed by any college or university. 133A does not permit the same. Ewing will pay Dallas $720 of interest ($60 per month) on November 30, 2020. 7. Residential trash disposal. A. C.More tax revenue is raised if a tax is collected from both consumers and producers. B Revenue accounts are a subset of assets, and expense accounts are a subset of liabilities. A. Neverthe gross method should always be used. Which of the following best describes the recommended format for the government-wide statement of activities? B Producing a barrel of lager requires $3\ \mathrm{lb}$ of corn and $2\ \mathrm{lb}$ of hops. c. The Actual column is required to be presented using the government's budgetary basis of accounting. After the adjusting entries have been completed, the adjusted balance in the Supplies Expense account represents the cost of supplies: ____________ is an allocation of the cost of buildings, vehicles, and equipment to expense over time as they are used. M Inadequate competition b. A c. No effect. An adjusted trial balance shows total expenses of $24,000 and service revenue of $28,000. (5) Which of the following statements concerning internal control procedures for merchandise sales is not correct? kencko cancel subscription, Do the following accounts would appear in the company 's retained earnings as of March 31 problem that can used. Sporting events that apply. ) February 1st to March 1st are to be paid on March.! 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