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3 years ago

Skidmore Music Company had the following transactions in March:

Business

1 answer:

finlep [7]3 years ago

5 0

Answer: Check attachment

Explanation:

A cash basis income statement is simply referred to as an income statement which contains revenues and expenditures for the company whereby cash has either being received or paid by the company.

For accrual basis income statement, revenue and expenditures are recorded when they're either earned or made.

Check the attachment for more analysis.

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A county uses the consumption method in accounting for insurance premium prepayments. At the beginning of the fiscal year, the c

pochemuha

Answer:

Expenditures of $12,000 and a $12,000 prepaid asset

Explanation:

Since only half of the policy has been consumed (or accrued), then half of the premium must debited to expenditures, which is similar to debiting insurance expenses on a private company. Since half of the prepaid insurance asset has been used during this year, the account must be reduced by crediting it (same as recording for a private business).

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3 years ago

Which answer best describes an unsubsidized federal loan?

DENIUS [597]

<span>Unsubsidized federal loan is a federal student loans that offer undergraduate and graduate students a low, fixed interest rate and flexible repayment terms that is borrowed through the Direct Loans program but you are responsible for paying all the interest that accumulates on your loan. (A)</span>

3 0

3 years ago

Which activity is an example of a time-based goal?

Bumek [7]

C. Farah wants to obtain her college degree in four years.

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3 years ago

Read 2 more answers

On January 1, 2012, Mill Corporation purchased for $760,000, equipment having a useful life of ten years and an estimated salvag

Likurg_2 [28]

Answer:

Selling gain= $68,000

Explanation:

Giving the following information:

Purchasing price= $760,000

Useful life= 10 years

Salvage value of $40,000.

On December 31, 2020, the equipment was sold for $140,000.

First, we need to calculate the accumulated depreciation.

Annual depreciation= (original cost - salvage value)/estimated life (years)

Annual depreciation= (760,000 - 40,000)/10

Annual depreciation= 72,000

Accumulated depreciation= 72,000*9= $648,000

To calculate the gain or loss, we need to compare the book value with the selling price:

Book value= 720,000 - 648,000= 72,000

Selling price= 140,000

Selling gain= $68,000

6 0

3 years ago

Waterhouse Company plans to issue bonds with a face value of $503,500 and a coupon rate of 8 percent. The bonds will mature in 1

professor190 [17]

Answer:

$578,408

Explanation:

face value = $503,500

maturity = 10 years x 2 = 20 periods

coupon rate = 8% / 2 = 4%

coupon = $20,140

YTM = 6% / 2 = 3%

using a financial calculator, the PV of the bonds = $578,408

Dr Cash 578,408

Cr Premium on bonds payable 74,908

Cr Bonds payable 503,500

6 0

3 years ago