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
mezya [45]
3 years ago
7

A physical count of supplies on hand at the end of May for Masters, Inc. Indicated $1,245 of supplies on hand. The general ledge

r balance before any adjustment is $2,050. What is the adjusting entry for office supplies that should be recorded on May 31?
Business
2 answers:
ira [324]3 years ago
8 0

Answer: In your entry you should debit a loss account and credit a reduction in your asset. Eg

Office Suplies Loss       805

Office Supplies                        805

Explanation: Once you record the entry above the balance of account Office Suplies should be reduced from 2050 to 1245. By this way, the reality (physical count) and the accounting match.

Elis [28]3 years ago
8 0

Answer:

Debit Supplies Expense $805 and credit Supplies $805.

Explanation:

The variance or discrepancy between the physical count of supplies on hand and the general ledger balance must be corrected. this is done by passing an adjustment entry that will bring the general ledger balance in line with the physical inventory.

The difference between the physical count and the system balance is $805,  To bring the book balance to reflect the physical count value, we need to reduce the value from $2,050 to $1,245 by passing a credit entry to Supplies account and a corresponding debit to Supplies expenses account.

The International Accounting standard requires inventories be measured at the lower of cost and net realisable value (NRV).

You might be interested in
Last year Harrington Inc. had sales of $325,000 and a net income of $19,000, and its year-end assets were $250,000. The firm’s t
posledela

Answer:

Based on the DuPont equation and given information, ROE of Harrington Inc is 13.818%.

Explanation:

We have to find the total equity and total debt of Harrington Inc in order to apply the DuPont equation for finding ROE because net income, sales of Harrington Inc. are already given.

- To find Harrington Inc's total debt, apply the Debt-to-capital formula: The Harrington Inc's total debt/The Harrington Inc's total capital = 45% =>  Harrington Inc's total debt = The Harrington Inc's total capital * 45% = $250,000 x 45% = $112,500;

- To find Harrington Inc's total equity, apply the accounting equation Asset = Liabilities + Owner's Equity: The Harrington Inc's total equity = The Harrington Inc's total asset - The Harrington Inc's total debt = $250,000 - $112,500 = $137,500;

- Using the Dupont equation, calculate the ROE as followed:

(NI/Sales)* (Sales/ Total assets) * (Total assets/ Total common equity) = (19,000/325,000) * ( 325,000/ 250,000) * (250,000/137,500) = 13.818%.

- Thus, the ROE = 13.818%.

5 0
3 years ago
You receive five annual cash flows of $10,000 with the first cash flow being received today and the last cash flow occurring 4 y
ivanzaharov [21]

Answer:

FV= $75,437.02

Explanation:

Giving the following information:

Number of cash flows= 5

Cash flow= $10,000

Total number of periods= 10 years

Interest rate= 6% compounded annually

<u>First, we need to calculate the future value of the 5 cash flows in 5 years using the following formula:</u>

<u></u>

FV= {A*[(1+i)^n-1]}/i

A= annual deposit

FV= {10,000*[(1.06^5) - 1]} / 0.06

FV= $56,370.93

<u>Now, the value at the end of 10 years:</u>

FV= PV*(1+i)^n

FV= 56,370.93*(1.06^5)

FV= $75,437.02

7 0
3 years ago
Roth Service Co. experienced the following transactions for 2018, its first year of operations: Provided $80,000 of services on
Stels [109]

Answer and Explanation:

a. The preparation of income statement is shown below:-

                               Income Statement

Service revenue                               $80,000

operating expenses  

Salary expenses           $28,000

Uncollectible accounts

expense                        $3,273

Total operating expense                   $31,273

Net income                                         $48,727

Working Note :-

Days       Amount     Percentage     Allowance balance

Current   $16,800       0.01                  $168

0-30         $5,100        0.05                 $255

31-60       $4,000        0.10                  $400

61-90       $2,000        0.30                 $600

Over 90

days         $3,700       0.50                  $1,850

Total        $31,600                                $3,273

b. The computation of net realizable value of the accounts receivable is shown below:-

Net realizable value = Accounts receivable - Allowance for doubtful accounts

= ($80,000 - $48,400) - $3,273

= $31,600 - $3,273

= $28,327

4 0
3 years ago
According to the video, what are a Computer Programmer's real skills? Check all that apply.
choli [55]

Answer:

1 3 thx for the answer!

Explanation:

3 0
2 years ago
Read 2 more answers
Susan Inc. has been disappointed with the Willow Division's performance over the last few years and has decided that it would be
labwork [276]

Answer:

$2,560,000

Explanation:

impairment loss = division's book value - division's fair market value = $3,080,000 - $2,320,000 = $760,000

Assets held for sale are no longer depreciated, but they must be recorded at lower value between carrying cost and fair market value. Since the fair market value is lower than carrying value, then an impairment loss results.

loss on discontinued operations = loss from operations 2019 + impairment loss = $1,800,000 + $760,000 = $2,560,000

3 0
3 years ago
Other questions:
  • Candace has just landed her first job and has the long-term goal to one day buy a house. She needs help investing some of her mo
    5·1 answer
  • Generally, international trade laws in the last 60 years have served to:______.
    15·1 answer
  • Provide an example of software that may be used to maintain financial records, and identify advantages of using it over maintain
    14·1 answer
  • How is a significant amount of consignment inventory reported in the balance sheet? a)The inventory is reported separately on th
    12·1 answer
  • Zeus Industries sells satellite television systems. Recently, the company invested heavily in one of the many new technologies a
    10·1 answer
  • Which of the following is not a likely reason that specific password requirements, such as length, the use of special characters
    9·1 answer
  • Tronnes Corporation's net income last year was $1,750,000. The dividend on common stock was $2.60 per share and the dividend on
    13·1 answer
  • Using the information below for Sundar Company; determine the cost of goods manufactured during the current year:Direct material
    5·1 answer
  • Franklin Manufacturing provided the following information for the month ended March​ 31: Sales Revenue $ 15 comma 000 Beginning
    13·1 answer
  • Any business ideas u guys want to do in the future?
    13·2 answers
Add answer
Login
Not registered? Fast signup
Signup
Login Signup
Ask question!