Question
In: Accounting
Described below are certain transactions of Lamar Company for 2018: 1. On May 10, the company...
Described below are certain transactions of Lamar Company for 2018: 1. On May 10, the company purchased goods from Fox Company for $71,500, terms 2/10, n/30. Purchases and accounts payable are recorded at net amounts. The invoice was paid on May 18. 2. On June 1, the company purchased equipment for $91,200 from Rao Company, paying $27,600 in cash and giving a one-year, 9% note for the balance. 3. On September 30, the company discounted at 10% its $190,000, one-year zero-interest-bearing note at Virginia State Bank.
Prepare the journal entries necessary to record the transactions above using appropriate dates.
Prepare the adjusting entries necessary at December 31, 2018 in order to properly report interest expense related to the above transactions. Assume straight-line amortization of discounts.
Indicate the manner in which the above transactions should be reflected in the Current Liabilities section of Lamar Company's December 31, 2018 balance sheet
Solutions
ekkarill92 answered 2 years agoRelated Solutions
Accounts and Notes Payable. Described below are certain transactions of Lamar Company for 2018: 1. On...
Accounts and Notes Payable.
Described below are certain transactions of Lamar Company for
2018:
1. On May 10, the company purchased goods from Fox Company for
$75,000, terms 2/10, n/30. Purchases and accounts payable are
recorded at net amounts. The invoice was paid on May 18.
2. On June 1, the company purchased equipment for $150,000 from Rao
Company, paying $50,000 in cash and giving a one-year, 9% note for
the balance.
3. On September 30, the company discounted at...
Described below are certain transactions of Larson Company for 2012: 1. On May 10, the company...
Described below are certain transactions of Larson Company for
2012:
1. On May 10, the company purchased goods from Fry Company for
$75,000, terms 2/10, n/30. Purchases and accounts payable are
recorded at net amounts. The invoice was paid on May 18.
2. On June 1, the company purchased equipment for $90,000 from
Raney Company, paying $30,000 in cash and giving a one-year, 9%
note for the balance.
3. On September 30, the company discounted at 10% its $200,000,
one-year...
Described below are certain transactions of Pharoah Company for 2021: 1. On May 10, the company...
Described below are certain transactions of Pharoah Company for
2021:
1.
On May 10, the company purchased goods from Fox Company for
$74,900, terms 2/10, n/30. Purchases and accounts payable are
recorded at net amounts. The invoice was paid on May 18.
2.
On June 1, the company purchased equipment for $96,000 from Rao
Company, paying $31,200 in cash and giving a one-year, 9% note for
the balance.
3.
On September 30, the company discounted at 11% its $220,000,
one-year...
Described below are certain transactions of Tipper Transport Bhd for 2019 : 1. On 10 May,...
Described below are certain transactions of Tipper Transport Bhd
for 2019 :
1. On 10 May,
the company purchased goods from Tommy Auto Bhd for RM50,000, terms
2/10, n/30. Purchases and accounts payable are recorded at net
amounts. The invoice was paid on 18 May.
2. On 1 June,
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Described below are certain transactions of Edwardson Corporation. The company uses the periodic inventory system. 1....
Described below are certain transactions of Edwardson
Corporation. The company uses the periodic inventory system.
1.
On February 2, the corporation purchased goods from Martin
Company for $71,400 subject to cash discount terms of 2/10, n/30.
Purchases and accounts payable are recorded by the corporation at
net amounts after cash discounts. The invoice was paid on February
26.
2.
On April 1, the corporation bought a truck for $76,000 from
General Motors Company, paying $3,000 in cash and signing a...
Described below are certain transactions of Windsor Corporation. The company uses the periodic inventory system. 1....
Described below are certain transactions of Windsor Corporation.
The company uses the periodic inventory system.
1.
On February 2, the corporation purchased goods from Martin
Company for $75,800 subject to cash discount terms of 2/10, n/30.
Purchases and accounts payable are recorded by the corporation at
net amounts after cash discounts. The invoice was paid on February
26.
2.
On April 1, the corporation bought a truck for $50,000 from
General Motors Company, paying $5,000 in cash and signing a...
Described below are certain transactions of Edwardson Corporation. The company uses the periodic inventory system. 1....
Described below are certain transactions of Edwardson
Corporation. The company uses the periodic inventory system.
1.
On February 2, the corporation purchased goods from Martin
Company for $71,400 subject to cash discount terms of 2/10, n/30.
Purchases and accounts payable are recorded by the corporation at
net amounts after cash discounts. The invoice was paid on February
26.
2.
On April 1, the corporation bought a truck for $76,000 from
General Motors Company, paying $3,000 in cash and signing a...
Described below are certain transactions of the Bell Company for 2020. Bell uses a perpetual inventory...
Described below are certain transactions of the Bell Company for
2020. Bell uses a perpetual inventory system.
A. June 10, the company purchased the
rights to natural resources on land owned by Jay Company for
$60,000. Bell’s geology team believes they can successfully remove
600,000 pounds of ore from the mine.
July 1, the company purchased a machine for $70,000 from Myers
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bearing note for the balance to Myers....
In 2018, Western Transport Company entered into the treasury stock transactions described below. In 2016, Western...
In 2018, Western Transport Company entered into the treasury
stock transactions described below. In 2016, Western Transport had
issued 280 million shares of its $1 par common stock at $28 per
share. Required: Prepare the appropriate journal entry for each of
the following transactions: (If no entry is required for a
transaction/event, select "No journal entry required" in the first
account field. Enter your answers in millions (i.e., 10,000,000
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In 2021, Borland Semiconductors entered into the transactions described below. In 2018, Borland had issued 150...
In 2021, Borland Semiconductors entered into the transactions
described below. In 2018, Borland had issued 150 million shares of
its $1 par common stock at $42 per share.
Required:
Assuming that Borland retires shares it reacquires, record the
appropriate journal entry for each of the following transactions:
(If no entry is required for a transaction/event, select "No
journal entry required" in the first account field. Enter your
answers in millions (i.e., 10,000,000 should be entered as
10).)
1. On January...
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