1answer.
Ask question
Login Signup
Ask question
All categories
  • English
  • Mathematics
  • Social Studies
  • Business
  • History
  • Health
  • Geography
  • Biology
  • Physics
  • Chemistry
  • Computers and Technology
  • Arts
  • World Languages
  • Spanish
  • French
  • German
  • Advanced Placement (AP)
  • SAT
  • Medicine
  • Law
  • Engineering
Zolol [24]
3 years ago
7

Pharoah Company began operations in July 2020. At the end of the month, the company prepares monthly financial statements. It ha

s the following information for the month. 1.At July 31, the company owed employees $1,100 in salaries that the company will pay in August. 2.On July 1, the company borrowed $20,000 from a local bank on a 10-year note. The annual interest rate is 12%. 3.Service revenue unrecorded in July totaled $3,000. Prepare the adjusting entries needed at July 31, 2020.
Business
1 answer:
abruzzese [7]3 years ago
3 0

Answer:

1.At July 31, the company owed employees $1,100 in salaries that the company will pay in August.

July, 31

DR Salaries Expense.................................................$1,100

CR Salaries Payable.................................................................$1,100

<em>(To record accrued salaries expense)</em>

2.On July 1, the company borrowed $20,000 from a local bank on a 10-year note. The annual interest rate is 12%.

July entry would be;

July 31,

DR Interest Expense ................................................$200

CR Interest Payable ............................................................$200

<em>(To record interest accrued for the month)</em>

<u>Working</u>

= 20,000 * 12%/12 months

=  $200

3. Service revenue unrecorded in July totaled $3,000.

July 31,

DR Accounts Receivable .......................................$3,000

CR Service Revenue ...............................................................$3,000

<em>( To record unrecorded Service revenue.)</em>

You might be interested in
the fair value of Blossom is estimated to be $820,800. The carrying value of Blossom’s net identifiable assets, including the go
Greeley [361]

Answer:

Cullumber Company

Journal Entry:

Debit Loss on Goodwill Impairment $34,200

Credit Goodwill $34,200

To record the loss on goodwill impairment.

Explanation:

a) Data and Calculation:

Fair value = $820,800

Carrying value of net identifiable assets, including goodwill = $855,000

Goodwill impairment = $34,200 ($855,000 - $820,800)

b) Cullumber, which acquired Blossom is expected to check for the impairment of goodwill yearly.  The impairment occurs when the carrying value of the net identifiable assets of Blossom is more than the fair value of Blossom.  Generally Accepted Accounting Standards require the annual review of the fair value of goodwill to check for its impairment.  By the above entry, the goodwill will be reduced by $34,200 and a loss debited in Cullumber's accounts.

4 0
3 years ago
Simon Company had the following summarized operations for the month of May: Revenues earned: for cash, $32,000; and on account,
AlladinOne [14]

Answer:

$35,000

Explanation:

Given that,

Revenues earned:

cash = $32,000

on account = $18,000

Expenses incurred:

cash = $5,000

on account = $10,000

Net Income:

= Income - Expenses

= (Cash revenue + account revenue) - (cash expenses + Expenses on account)

= ($32,000 + $18,000) - ($5,000 + $10,000)

= $35,000

Therefore, the net income for the month of May is $35,000.

7 0
3 years ago
A foodhandler has finished trimming raw chicken on a cutting board and needs it to prep vegetables. what must be done to the cut
Alik [6]
It must sanitized. However it is a better practice to use a different cutting board.
6 0
3 years ago
Investment banks are guilty of conflict of interest when they A) pressure their analysts to produce research favorable to their
UNO [17]

Answer:

The correct answer here is option D.

Explanation:

Investment banks are special kind of financial institutions or intermediaries who are concerned with raising capital for other companies.

They also perform advisory based transaction services on the behalf of corporations, individuals and government.

In performing these functions, they often are found guilty of pressurizing analysts to produce favorable research for their clients, attempts to alter research of client's firm and permitting executives of client's firm to do so. They also get involved in prohibiting analysts from making any negative or controversial comments about client they are serving.

They do all these to maintain credit worthiness of their client firm, so that the client is able to procure capital.

5 0
3 years ago
The city council is getting ready to build a new power plant, which is expected to bring jobs to the community, but also generat
Dominik [7]

Answer:

environmental racism

Explanation:

Based on the information provided within the question it can be said that this scenario could possibly be classified as environmental racism. This is a concept which describes the environmental discrimination that occurs in many geographical locations both in practice as well as on paper. All of which is based on a racialized context.

4 0
3 years ago
Other questions:
  • The coastal town of Olaspen offers various exotic water sports and hiking expeditions to its tourists. The town government of Ol
    10·1 answer
  • You invest 1000 in a fund. You check your statement at the end of April and you have lost 13%. When the statement for May comes
    8·1 answer
  • Tim is the ceo of doc.com, an information search internet company. a manager comes in saying that he's been trying to get the in
    5·1 answer
  • Discuss at least two (2) areas in which these deregulation policies impacted the u.s. economy overall and may have had roles in
    5·1 answer
  • When either prices go down or income goes up, there is an increase in which
    10·2 answers
  • Accounts receivable balances are required to be reflected at net realizable value as of the balance sheet date. Use of the allow
    12·1 answer
  • If the expected sales volume for the current period is 9,000 units, the estimated the beginning inventory is 200 units and the d
    8·1 answer
  • "Cookie jar reserves" can best be described as:_______.A) Buying a lot of chocolate chip cookies, storing them for when you have
    15·1 answer
  • Which of the following describes a situation where monopolistic<br> competition exists?
    5·2 answers
  • Is there anything in your personal, professional, or financial history that requires explanation?
    12·1 answer
Add answer
Login
Not registered? Fast signup
Signup
Login Signup
Ask question!