accounting MCQ AND problems with A+ answers
On January 1, 2014, Howe Firm's Accounts Receivable steadiness was $10,400 and the steadiness within the Allowance for Uncertain Accounts was $520. On January 5, 2014, a $240 uncollectible account was written-off as uncollectible. Assuming that no different transactions associated to accounts receivable had occurred, the web realizable worth of accounts receivable instantly after the write-off was $9,880. $10,400. $9,640. $10,160. Bay Firm started utilizing the allowance technique in 2014. On January 1, 2014, Bay had a $three,100 steadiness within the Accounts Receivable account and a zero steadiness within the Allowance for Uncertain Accounts account. Throughout 2014, Bay offered $26,000 of service on account. The corporate collected $21,500 money from account receivable. Uncollectible accounts are estimated to be 2% of gross sales on account. The amount of money circulate from working actions that might seem on the 2014 assertion of money flows is: $22,900. $18,400. $21,500. $26,000. The Stevens Firm offered $56,000 of companies on account throughout 2014, its first 12 months in operation. Throughout 2014, Stevens collected $39,500 of money from its receivables accounts. The corporate estimates that it will probably be unable to gather three% of its revenues on account. The quantity of internet realizable worth of receivables on the firm's 2014 steadiness sheet was $14,820. $1,185. $16,500. $18,180. For Engle Firm, the steadiness in Accounts Receivable on the starting of the interval was $1,050. In the course of the interval $three,700 of credit score gross sales had been made to clients. If the ending steadiness in Accounts Receivable amounted to $450, and uncollectible accounts of $450 had been written off, the quantity of money influx from clients that would seem within the working part of the money assertion could be: $three,850. $four,750. $three,250. $three,700 On the finish of 2014, Duffau Firm had excellent accounts receivable of $122,000. Earlier than recording the adjusting entry for uncollectible accounts, the steadiness within the Allowance for Uncertain Accounts was $420. If Duffau estimates that it's going to not gather 5 % of its accounts receivable, what quantity of uncollectible accounts expense ought to Duffau file? Spherical to the closest greenback. $6,100 $6,079 $6,121 $5,680 High of Type The next steadiness sheet info is offered for Jordan Firm for 2014: Property Money $ 7,800 Accounts receivable 13,950 Stock 15,900 Pay as you go bills 2,700 Plant and tools, internet of depreciation 20,600 Land 14,500 Complete property $ 75,450 Liabilities and Stockholders' Fairness Accounts payable $ three,450 Salaries payable 7,130 Bonds payable (Due in 2020) 17,500 Widespread inventory, no par 11,000 Retained earnings 36,370 Complete liabilities and stockholders' fairness $ 75,450 What's the firm's fast (acid-test) ratio? (Spherical your closing reply to 2 decimal locations.) three.81 1.34 Zero.77 2.06 Backside of Type The next steadiness sheet info is offered for Gaynor Firm: Property 2014 2013 Money $ three,950 $ three,200 Accounts receivable 16,700 14,700 Stock $ 41,500 $ 49,000 Assuming 2014 price of products bought is $127,000, what's the firm's stock turnover? (Spherical your closing reply to 2 decimal locations.) 2.59 instances 2.81 instances three.06 instances None of those solutions is right. The Preston Firm reported the next revenue for 2014: Gross sales $ 37,500 Price of products bought 9,500 Gross margin $ 28,000 Promoting and administrative expense 11,500 Working revenue $ 16,500 Curiosity expense 5,500 Revenue earlier than taxes $ 11,000 Revenue tax expense three,300 Web revenue $ 7,700 What's the firm's internet margin? (Spherical your closing reply to 2 decimal locations.) 20.53% 74.67% 44.00% 29.33% The Monticello Firm reported internet revenue of $14,500 on product sales of $80,500. The corporate has complete property of $115,700, of which $100,500 is property, plant and tools. What's the firm's return on funding? (Don't spherical intermediate calculations. Spherical your closing percentages to 2 decimal locations.) 18.01% 69.58% 14.43% 12.53% The Destin Firm reported internet revenue of $67,000 on gross sales of $470,000. The corporate has complete property of $755,000 and complete liabilities of $270,000. What's the firm's return on fairness ratio? (Spherical your closing reply to 2 decimal locations.) eight.87% 13.81% 14.26% 24.81% directions | assist High of Type Shemelis Demissie Managing Monetary Assets-Zero02: Thursday-Part -02 Week 10- Quiz four directions | assist High of Type 1. Required Calculate the lacking quantities within the following desk. Backside of Type ©2015 McGraw-Hill Training. All rights reserved. High of Type Backside of Type The next account balances had been drawn from the monetary information of Crystal Firm (CC) as of January 1, 2014. Property, $14,000 (all in money); Liabilities, $four,000; Widespread Inventory, $7,000; and Retained Earnings, $three,000. CC has agreed to pay the collectors $400 of curiosity per 12 months. Additional, CC agrees that for the 2014 fiscal 12 months any annual earnings remaining after the curiosity costs will probably be paid out as dividends to the homeowners. Required a. Assuming CC earns a earlier than curiosity expense recognition revenue of $900 throughout 2014, decide the quantity of curiosity and dividends paid. b. Assuming CC earns a earlier than curiosity expense recognition revenue of $500 throughout 2014, decide the quantity of curiosity and dividends paid. c. Assuming CC earns a earlier than curiosity expense recognition revenue of $100 throughout 2014, decide the quantity of curiosity and dividends paid. Backside of Type ©2015 McGraw-Hill Training. All rights reserved. Shemelis Demissie Managing Monetary Assets-Zero02: Thursday-Part -02 Week 10- Quiz four directions | assist High of Type 1. Required Calculate the lacking quantities within the following desk. Backside of Type High of Type Mountain View, Inc., bought land in January 2009 at a price of $250,000. The estimated market worth of the land is $425,000 as of December 31, 2014. Required a. Title the December 31, 2014, monetary assertion(s) on which the land will probably be proven. 2014 Assertion of Money Flows 2014 Steadiness Sheet 2014 Revenue Assertion b. At what greenback quantity will the land be proven within the monetary assertion(s)? c. Title the important thing idea that will probably be utilized in figuring out the greenback quantity that will probably be reported for land that's proven within the monetary assertion(s). Substitute price idea Sunk price idea Historic price idea Web realisable worth Mounted price idea Sammy’s Pizza opened on January 1, 2014. Sammy’s reported the next for money revenues and money bills for the years 2014 to 2016: Money Revenues Money Bills 2014 $ 20,000 $ 11,000 2015 $ 30,000 $ 14,000 2016 $ 40,000 $ 22,000 Required a. What would Sammy’s Pizza report for internet revenue and retained earnings for the years 2014, 2015, and 2016? c. Assume that Sammy’s Pizza paid a $5,000 dividend to stockholders in 2015. What would Sammy’s Pizza report for internet revenue and retained earnings for 2015 and 2016?