1 a company receives a per day day note for amt the total inte a company rec 402796 | Homework Solutions

1. A company receives a per%, day day note for $amt. The total inte…A company receives a 7%, 90 day note for $1,200. The total interest due on the maturity date is (Use a 360 day year): 2. A company has net sales of $sales and average accounts receivable…A company has net sales of $870,000 and average accounts receivable of $174,000. What is its accounts receivable turnover for the period (rounded)? 4. On December 31 of the current year, a company’s unadjusted trial…On December 31 of the current year, a company’s unadjusted trial balance included the following: Accounts Receivable, debit balance of $95,500; Allowance for Doubtful Accounts, credit balance of $950. What amount should be debited to Bad Debts Expense, assuming 9% of outstanding accounts receivable at the end of the current year will be uncollectible?: (Round your answer to the nearest dollar amount.) 5. Com Company agreed to accept $cas in cash along with an $note, d…Kallah Company agreed to accept $1,500 in cash along with an $9,000, 45 day, 13% note from customer Judith Taylor to settle her $10,500 past due account. How should Kallah record this transaction? 6. Temper Company has credit sales …Temper Company has credit sales of $3.50 million for year 2010. Temper estimates that 1.10% of the credit sales will not be collected. On December 31, 2010, the company’s Allowance for Doubtful Accounts has an unadjusted credit balance of $2,226. Temper prepares a schedule of its December 31, 2010, accounts receivable by age. Based on past experience, it estimates the percent of receivables in each age category that will become uncollectible. This information is summarized here: December 31, 2010 Accounts Receivable Age of Accounts Receivable Expected Percent Uncollectible $624,000 Not yet due 1.25% 252,000 1 to 30 days past due 2.00 50,000 31 to 60 days past due 6.50 25,200 61 to 90 days past due 31.95 5,000 Over 90 days past due 66.20 ________________________________________ Assuming the company uses the percent of sales method, what is the amount that Temper will enter as the Bad Debt Expense in the December 31 adjusting journal entry? 7 Comp Inc. has an annual accounting period which ends on December…Steve Inc. has an annual accounting period which ends on December 31. During the current year a depreciable asset which cost $43,000 was purchased on September 2. The asset has a $5,000 estimated salvage value. The company uses straight line depreciation and expects the asset to have a 6 year life. What is the total depreciation expense(rounded) for the current year? 8 A company had average total assets of $ass. Its gross sales were…A company had average total assets of $892,000. Its gross sales were $1,082,000 and its net sales were $1,003,000. The company’s total asset turnover equals (rounded): 9. A company paid $tot, plus a comm% commission and $clo in closing…A company paid $120,000, plus a 8% commission and $6,500 in closing costs for a property. The property included land appraised at $82,500, land improvements appraised at $33,000, and a building appraised at $49,500. What should be the allocation of this property’s costs in the company’s accounting records? 10. A company sold a machine that originally cost $cost for $sell ca…A company sold a machine that originally cost $110,000 for $55,000 cash. The accumulated depreciation on the machine was $55,000. The company should recognize a: 11. A company purchased a tract of land for its natural resources at…A company purchased a tract of land for its natural resources at a cost of $1,590,000. It expects to mine 2,900,000 tons of ore from this land. The salvage value of the land is expected to be $220,000. The depletion expense per ton of ore is: 12. On December 1, comp Company signed a …On December 1, Martin Company signed a $5,500 3 month 8% note payable, with the principal plus interest due on March 1 of the following year. What amount of interest expense is accrued at December 31 on the note? Use a 360 day year for interest calculation. Round your answer to the nearest dollar. 13. An employee earned …An employee earned $41,000 during the year working for an employer. The FICA tax for social security is 6.2% and the FICA tax for Medicare is 1.45%. The employee’s share of FICA taxes is: 14. Employees earn vacation pay at the rate of one day per month. Du…Employees earn vacation pay at the rate of one day per month. During July, 27 employees qualify for one vacation day each. Their average daily wage is $150 per day. What is the amount of vacation benefit expense for the month of July?