ACCT 211 Exam 1 Liberty University Solution
Use the following information for Meeker Corp. to determine the amount of equity to report.
Arrow's net income of $118 million and average assets of $1,500 million results in a return on assets of 7.87%.
If a company is considering the purchase of a parcel of land that was acquired by the seller for $101,000, is offered for sale at $182,000, is assessed for tax purposes at $111,000, is recognized by the purchaser as easily being worth $172,000, and is purchased for $169,000, the land should be recorded in the purchaser's books at:
If a company purchases equipment costing $4,400 on credit, the effect on the accounting equation would be:
Zippy had cash inflows from operations $78,500; cash outflows from investing activities of $63,000; and cash inflows from financing of $41,000. The net change in cash was:
Gi Gi's Dance Studio provided $300 of dance instruction and rented out its dance studio to the same client for another $175. The client paid immediately. Identify the general journal entry below that Gi Gi's will make to record the transaction.
On January 1 of the current year, Jimmy's Sandwich Company reported stockholders’ equity totaling $127,500. During the current year, total revenues were $105,000 while total expenses were $94,500. Also, during the current year paid $29,000 in cash dividends. No other changes in equity occurred during the year. If, on December 31 of the current year, total assets are $205,000, the change in total stockholders’ equity during the year was:
On April 30, Victor Services had an Accounts Receivable balance of $32,300. During the month of May, total credits to Accounts Receivable were $67,600 from customer payments. The May 31 Accounts Receivable balance was $26,000. What was the amount of credit sales during May?
On May 31, the Cash account of Bottle's R US had a normal balance of $5,300. During May, the account was debited for a total of $12,500 and credited for a total of $11,800. What was the balance in the Cash account at the beginning of May?
At the end of its first month of operations, Michael's Consulting Services reported net income of $32,500. They also had account balances of: Cash, $23,000; Office Supplies, $3,250 and Accounts Receivable $12,500. The sole stockholder’s total investment in exchange for common stock for this first month was $6,250. There were no dividends in the first month.
Sanborn Company has 10 employees, who earn a total of $3,800 in salaries each working day. They are paid on Monday for the five-day workweek ending on the previous Friday. Assume that year ended on December 31 which is a Wednesday and all employees will be paid salaries for five full days on the following Monday. The adjusting entry needed on December 31 is:
A company pays each of its two office employees each Friday at the rate of $130 per day for a five-day week that begins on Monday. If the monthly accounting period ends on Tuesday and the employees worked on both Monday and Tuesday, the month-end adjusting entry to record the salaries earned but unpaid is:
If a company purchases equipment costing $4,500 on credit, the effect on the accounting equation would be: