________ offer a limited assortment of general merchandise at very low prices and are often found in lower-rent locations.

The following data relate to the accounts of Edmiston Company. a. Unpaid salaries and wages at year end amount to $750. b. Edmis

AVprozaik [17]

Answer:

a. Debit Salaries and wages expense $750

Credit Accrued Salaries and wages $750

Being entries to record accrued salaries and wages

b. Debit Interest receivable $600

Credit Interest income $600

Being entries to record interest earned

c. Debit Insurance expense $350

Credit Prepaid Insurance $350

Being entries to record insurance expense

d. Debit Service revenue $900

Credit Unearned Service revenue $900

Being entries to record unearned revenue

e. Debit Supplies expense $1,500

Credit Supplies account $1,500

Being entries to record supplies expense

Explanation:

When salaries are incurred but yet to be paid, the expense has to be recorded with a corresponding liability known as accrued expense. When interest is earned but yet to be paid, it has to be recognized as a credit to the income statement and a debit to the balance sheet.

When insurance is paid in advance, the entries required are

Debit Prepaid Insurance

Credit Cash account

As time elapses and the insurance expires,

Debit Insurance expense

Since payment was for 2 years, period elapsed as at December 31, 2017 is 7 months hence amount of expense

= 7/24 * $1,200

= $350

When a fee is received in advance for a service yet to be rendered, the revenue for such fee is said to be unearned. The entries required are

Debit Cash account and Credit Unearned fees or deferred revenue.

As the service is performed and the revenue is earned, debit Unearned fees and credit revenue.

When Supplies is purchased, Debit supplies and credit Cash/Accounts payable. As Supplies are used up, debit supplies expense (with the amount used) and Credit Supplies account.

Amount of supplies used

= $2500 - $1000

= $1,500

4 0

3 years ago

Assuming the expectations theory is the correct theory of the term structure, calculate the interest rates in the term structure

Trava [24]

Answer:

The plot of the yields is attached.

Explanation:

i) 6%, 7%, 8%, 7%, 6%

Interest rate on 1 year maturity = 6%/1 = 6%

Interest rate on2 year maturity = (6%+7%)/2 = 6.5%

Interest rate on 3 year maturity = (6%+7%+8%)/3 = 7%

Interest rate on 4 year maturity = (6% + 7% + 8% + 7%)/4 = 7%

Interest rate on 5 year maturity = (6% + 7% + 8% + 7% + 6%)/7 = 6.8%

ii)6%, 5%, 4%, 5%, 6%

Interest rate on 1 year maturity = 6%/1 = 6%

Interest rate on 2 year maturity = (6% + 5%)/2 = 5.5%

Interest rate on 3 year maturity = (6% + 5% + 4%)/3 = 5%

Interest rate on 4 year maturity = (6% + 5% + 4% + 5%)/4 = 5%

Interest rate on 5 year maturity = (6% + 5% + 4% + 5% + 6%)/5 = 5.2%

3 0

3 years ago

Starbooks Corporation provides an online bookstore for electronic books. The following is a simplified list of accounts and amou

valentina_108 [34]

Answer:

The journal entries required as at 30 September,2015 as well as the post-closing trial balance are hereby attached.

Explanation:

In preparing the journal entries, the golden rule of double of entry which opined that for every debit there must a corresponding credit and versa.

This implies each transaction event has two impacts in the books of accounts,as a result,both must be shown to ensure proper of keeping records and smooth accounting processes.

Download xlsx

4 0

3 years ago

What is a appropriately

garik1379 [7]

Answer:

-What is a appropriately?

in a manner that is suitable or proper in the circumstances.

-What is a Procedure?

an established or official way of doing something.

-What is a Enthusiasm?

Enthusiasm is intense enjoyment, interest, or approval. The word was originally used to refer to a person possessed by God, or someone who exhibited intense piety.

-What is a Conflict?

a serious disagreement or argument, typically a protracted one.

-What is a Technique?

A technique is a method of doing some task or performing something.

-What is a Obtain?

to come into possession of; get, acquire, or procure, as through an effort or by a request: to obtain permission; to obtain a better income.

-What is a conflict management?

Conflict management is the process of limiting the negative aspects of conflict while increasing the positive aspects of conflict

(^o^)

6 0

3 years ago

Read 2 more answers

If someone breaks a contract, the other party can generally sue and win some form of damages. but for centuries, the law has con

Musya8 [376]

I don't understand this Question.

4 0

4 years ago