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
kotykmax [81]
2 years ago
9

Wildhorse Games Inc. adjusts its accounts annually. The following information is available for the year ended December 31, 2022.

Business
1 answer:
alex41 [277]2 years ago
7 0

Question Completion:

Prepare the necessary journal entries.

Answer:

Wildhorse Games Inc.

1. June 1: Debit Prepaid Insurance $2,220

Credit Cash $2,220

To record the payment for 1-year insurance policy.

2. August 31: Debit Prepaid Rent $7,020

Credit Cash $7,020

To record the payment for 5 months’ rent in advance.

3. September 4: Debit Cash $3,960

Credit Unearned Game Revenue $3,960

To record cash received in advance to sponsor a game each month for a total of 9 months.

4. November 30: Debit Prepaid Cleaning $2,16

Credit Cash $2,160

To record the payment for cleaning services for two months.

5. December 5: Debit Cash $1,620

Credit Unearned Games Revenue $1,620

Adjustments on December 31:

1. Debit Insurance Expense $1,295

Credit Prepaid Insurance $1,295

To record insurance expense for the period ($2,220 * 7/12).

2. Debit Rent Expense $5,616

Credit Prepaid Rent $5,616

To record rent expense for the period ($7,020 * 4/5).

3. Debit Unearned Games Revenue $1,760

Credit Earned Games Revenue $1,760

To record earned revenue ($3,960 * 4/9).

4. Debit Cleaning Expense $1,080

Credit Prepaid Cleaning $1,080

To record cleaning expense for the period.

5. Debit Unearned Games Revenue $1,105

Credit Earned Games Revenue $1,105

To record earned revenue.

Explanation:

a) Data and Analysis:

1. June 1: Prepaid Insurance $2,220 Cash $2,220 1-year insurance policy

2. August 31: Prepaid Rent $7,020 Cash $7,020 for 5 months’ rent in advance.

3. September 4: Cash $3,960 Unearned Game Revenue $3,960 to sponsor a game each month for a total of 9 months

4. November 30: Prepaid Cleaning $2,160 Cash $2,160

$1,080 per month. Paid for the first 2 months on November 30.

5. December 5: Cash $1,620 Unearned Games Revenue $1,620

Adjustments on December 31:

1. Insurance Expense $1,295 Prepaid Insurance $1,295 ($2,220 * 7/12)

2. Rent Expense $5,616 Prepaid Rent $5,616 ($7,020 * 4/5)

3. Unearned Games Revenue $1,760 Earned Games Revenue $1,760 ($3,960 * 4/9)

4. Cleaning Expense $1,080 Prepaid Cleaning $1,080

5. Unearned Games Revenue $1,105 Earned Games Revenue $1,105

You might be interested in
The Fabricating Department started the current month with a beginning Work in Process inventory of $11,200. During the month, it
SVETLANKA909090 [29]

Answer:

The ending balance of the Work in Process Inventory account for the Fabricating Department is: $11,200

Explanation:

To determine Ending Balance of Work in Process Inventory, <em>Prepare a Manufacturing Cost Statement</em>.

Opening Work in Process Inventory             $11,200

<em>Add </em>Cost Added During the Period :

Direct materials                                             $77,200

Direct labor                                                   $25,200  

Factory overhead ( $25,200 × 50%)            $12,600

Total Manufacturing Costs                          $126,200

<em>Less </em>Transfer to Next Department            ($115,000)

Closing Work in Process Inventory               $11,200

Conclusion :

Therefore, the ending balance of the Work in Process Inventory account for the Fabricating Department is: $11,200

6 0
3 years ago
Setsuko wants to start a business of her own. She does not have enough savings, so she approaches her bank to obtain short-term
Arisa [49]

The type of funding obtained by Setsuko is the line of credit.

The following information should be relevant for the line of credit:

  • It is treated as a flexible loan.
  • It is an amount of money i.e. defined and can be accessed whenever it is needed and after that, it could be repaid instant or over a period of time.
  • It is for a short period of time.

Since in the given situation, it is mentioned that:

  • Setsuko obtained the funds for the short term.
  • Bank lent her $10,000.

Therefore we can conclude that the type of funding obtained by Setsuko is the line of credit.

Learn more about the line of credit here: brainly.com/question/17937007

3 0
3 years ago
You have recently opened your own internet website design business. You charge your clients $500 per project and are considering
faltersainse [42]

Answer:

hmm good question im not sure

Explanation:

7 0
2 years ago
Which of the following statements about steering needed resources to execution-critical value chain activities is false? a. Good
makkiz [27]

Answer: a. a. Good execution of a new or revised strategy often requires devoting more resources to some value chain activities and perhaps downsizing the operating budgets and resources devoted to activities/organizational units with a lesser role in the new strategy

Explanation:

Executing strategy is an action-oriented task which tests the ability of a manager to direct changes in an organization and also achieve certain improvements regarding operations.

The statement about steering needed resources to execution-critical value chain activities which is false is that good execution of a new or revised strategy often requires devoting more resources to some value chain activities and perhaps downsizing the operating budgets and resources devoted to activities/organizational units with a lesser role in the new strategy.

6 0
3 years ago
You have $10,000 to invest - $3,500 in Company A, the remaining amount in Company B. The expected returns for these stocks are 2
mihalych1998 [28]

Answer:

The expected return on the portfolio is:

16.75%

Explanation:

a) Data and Calculations:

                                Company A      Company B      Total

Investment                  $3,500              $6,500      $10,000

Expected returns          20%                    15%

Expected returns ($)   $700                $975         $1,675

Expected return on

portfolio = $1,675/$10,000 * 100 = $16.75%

b) The expected return on the portfolio is calculated as the returns on the portfolio in dollars divided by the total investment in the two companies, multiplied by 100.  This gives a value in percentage terms.

6 0
2 years ago
Other questions:
  • ________ are voluntary collectives with the purpose of advancing their members' interests. one example of such a collective is t
    8·2 answers
  • Which of the following statements about the relationship between the financial market and the economy is TRUE?
    15·1 answer
  • Which of the following is an example of the unethical practice of discrimination at work?
    12·1 answer
  • Lisa sells kitchen furniture through her website. While her sales are stable, she's concerned that they're not keeping pace with
    15·2 answers
  • Which of the following are signs of a person being in credit distress?
    11·1 answer
  • 1. Compound interest is:
    15·1 answer
  • The common stock of the
    14·1 answer
  • Las Paletas Corporation has two different bonds currently outstanding. Bond M has a face value of $20,000 and matures in 20 year
    9·1 answer
  • What's one disadvantage of a certificate of deposit (CD) as compared to a passbook savings account?
    8·2 answers
  • When a company prepares financial statements using standard costing, which items are reported at standard cost
    9·1 answer
Add answer
Login
Not registered? Fast signup
Signup
Login Signup
Ask question!