Answer:
The journal entries to record this transaction would include: E. a credit to Sales Revenue for $45,000.
Explanation:
When Morgan Manufacturing sold goods, the company should make two journal entry to record Cost of goods sold and Sales revenue.
The entries:
1. Debit Cost of goods sold $35,000
Credit Finished-Goods Inventory $35,000
2. Debit Cash $45,000
Credit Sales revenue $45,000
The journal entries to record this transaction would include: E. a credit to Sales Revenue for $45,000.
Answer:
The dates for the interest and maturity payments are fixed.
Explanation:
When a company issues bonds instead of stock, one of the disadvantages of doing so is that they have to pay the coupons or the full face value of the bonds at specific dates. Either they pay coupons annually or semiannually, and the face value is paid at maturity.
Since the dates are set beforehand, the company has to have the funds for these payments set aside. Instead, if the company would have issued stock, it would have greater freedom in deciding when and how much it should pay as dividends.
Answer:
(a)Dawson Company $42.00
(b)McBride Company $41.40
Explanation:
The amount of FUTA taxes to be paid on Mirer's wages by the two companies are:
(a)Dawson Company $42.00
(7000*0.6%) = $42.00
(b)McBride Company $41.40
(6900*0.6%) =$41.40
Answer:
Gate City Security Systems
Bank Reconciliation at December 31, 2018
Book:
Balance , December 31, 2018 $2,530
<em>Add: </em>
Collection from Jane Lindsey $500
Interest revenue $10
<em>Less:</em>
Service charges $20
Adjusted book balance December 31, 2018 <u>$3,020</u>
Bank:
Balance , December 31,2018 $3,120
<em>Add:</em>
Deposit in transit $400
<em>Less:</em>
Outstanding cheque $500
Adjusted bank balance December 31, 2018 <u>$3,020
</u>
