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Korolek [52]
3 years ago
6

Accompanying a bank statement for Borden Company is a credit memo for $21,200 representing the principal ($20,000) and interest

($1,200) on a note that had been collected by the bank. The company had been notified by the bank at the time of the collection but had made no entries. Journalize the entry that should be made by the company to bring the accounting records up to date?
Business
2 answers:
Olenka [21]3 years ago
5 0

Answer:

<em>Bank reconciliation is a statement carried out by a company to know the difference between cash balance per book and cash balance per bank.</em>

<em>A journal is needed by a company to keep day to day updates of records.</em>

Explanation:

<em>Banks prepares statement of account. the Borden company has updates its own records from their end. most times times the balance of cash per bank and per book rarely work well or agree.</em>

<em>Bank reconciliation is a statement that is prepared by a company to know the disagreement and dissimilarity of cash balance per book and cash balance per bank</em>

<em>A record journal entry must be made by the company to  have a good update of their records.</em>

<em>An example of a journal is shown below</em>

<em>Date, Account and explanation, post reference, Debit($), Credit ($)</em>

Lorico [155]3 years ago
5 0

Answer:

The journal entry should be:

Dr Cash                                  21,200

Cr Note Receivable              20,00

Cr Interest Income                1,200

( to record receivable collected by the bank)

Explanation:

The company is collected its interest income generating receivable through the bank, with the principal amount is $20,000 and the interest amount is $1,200.

So, its cash account - an asset account will increase ( Dr) by the total amount collected which is $21,200. The Receivable account - an asset account will decrease (Cr) by $20,000 which is also the principal amount and Interest Income will be recorded $1,200 by crediting the amount into the Interest Income account.

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Compute the Work-In-Process transferred to the finished goods warehouse on April 30 using the following information:
Marina CMI [18]

Answer:

$910

Explanation:

Computation for the Work-in-Process transferred to the finished goods warehouse on April 30

Using this formula

Work-in-Process transferred to finished goods warehouse=Work-In-Process Inventory, April 1+(Direct materials used in production+Direct labor costs incurred +Manufacturing overhead costs)-Work-In-Process Inventory, April 30

Let plug in the formula

Work-in-Process transferred to finished goods warehouse=$270 + ($195 + $370 + $320) - $245

Work-in-Process transferred to finished goods warehouse=$270 +$885-$245

Work-in-Process transferred to finished goods warehouse= $910

Therefore the Work-in-Process transferred to the finished goods warehouse on April 30 is $910

8 0
2 years ago
Peyton’s Palace has net income of $15 million on sales revenue of $130 million. Total assets were $96 million at the beginning o
Lelechka [254]

Answer:

See below

Explanation:

1. Returns on assets

= Annual net income ÷ Average total assets

Average total assets = beginning asset + ending assets ÷ 2

= ($80 million + $88 million) ÷ 2

= $84 miiliom

Return on assets = $13.4 million ÷ $84 million

Return on assets = $159.52

2. Profit margin

= Net income ÷ Net sales

= $13.4 million ÷ $114 million

= 11.75%

3. Assets turnover ratio

= Net sales ÷ Average total assets.

Recall Average total assets = $84 million

Average turnover ratio

= $114 million ÷ $84 million

= 1.36 times

5 0
3 years ago
During the recession witnessed in early 2001, many firms laid off their employees and downsized. the reason for this decrease in
nevsk [136]
<span>During the recession witnessed in early 2001, many firms laid off their employees and downsized. The reason for the downsizing of employees from these firms in 2001 was the incompetency and poor performance of the employees. It may sound mean but to the company, this is advantageous since they can reduce the costing while at the same time maintain or increase the final goods.</span>
4 0
2 years ago
:- How might U.S. pharmaceutical companies and U.S. consumers benefit from the rise of the Indian pharmaceutical industry?
lesantik [10]

Answer:

Due to the rise of the India's pharmaceutical industry the US pharmaceutical companies benefit by the increase in volume of sales due to the low costs of imports.

The U.S. consumers benefited from rise in Indian pharmaceutical industries, because of lower cost medications, insurance, copays as well as out of pocket expenses and greater financial flexibility that offers pharmaceuticals developed at lower research and development (R&D) cost.

Explanation:

Due to the rise of the India's pharmaceutical industry the US pharmaceutical companies benefit by the increase in volume of sales due to the low costs of imports.

The U.S. consumers benefited from rise in Indian pharmaceutical industries, because of lower cost medications, insurance, copays as well as out of pocket expenses and greater financial flexibility that offers pharmaceuticals developed at lower research and development (R&D) cost.

The U.S. pharmaceutical companies have major benefits from India because the people from India see others inputs instead of the goals for themselves and America is seen as an individualistic culture and there is lower power distance in America due to the fact that everyone is created equal which is why within America, people often to seek their own personal goals instead of the good of others.

Furthermore America is more concerned about self while India seeks to help the world globally which is why two different counties have to adapt to policies and procedures to respect exporting trade rights and this policy is known as the World Trade Organization.

6 0
2 years ago
: Jane and Sarah are both investors. Jane has invested thousands of dollars into one small company. Sarah has invested hundreds
Alja [10]

Answer:

Sarah has invested in sole proprietorship while Jane has invested in corporations

Explanation:

Sole proprietorship is owned and run by a single owner who is legally obligated for all business assets and liabilities. Since Sarah has invested thousands of dollars in one company, it looks like she has invested in sole proprietorship in which she is the owner.

Corporation is run by group of people who are not legally obligated for the assets and liabilities of the corporation. People can invest in more than one corporation as they are open for public offer. These investors earn dividends based on the earnings earned by the corporations So, possibly Jane has invested hundreds of dollars in different large companies.

7 0
3 years ago
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