Question
In: Accounting
Six ovens were rented on December 31, with $20,000 charged to rent expense.
Leases · Six ovens were rented on December 31, with $20,000 charged to rent expense. The lease runs for 6 years with an implicit interest rate of 5%. At the end of the 6 years, Peyton will own them. Make any necessary adjusting entries.
| Postretirement Benefits | ||||||||||||
| Peyton Approved has revised its postretirement plan. It will now provide health insurance to retired employees. Management has requested that you report the short- and long-term financial implications of this. | ||||||||||||
| · The company is currently employing 60, and actuaries estimate that the company has a pension liability of $107,041.70. | ||||||||||||
| · The estimated cost of retired employees’ health insurance is $43,718.91. | ||||||||||||
| · Prepare adjusting entries for the pension liability and the health insurance liability | ||||||||||||
| CAPITAL LEASES | ||||
| Calculate capital lease obligations | ||||
| Prepare appropriate adjusting entries | ||||
| PENSION PAYOUTS | ||||
| Calculate pension liability | ||||
| Calculate health insurance liability | ||||
Solutions
ekkarill92 answered 3 years agoRelated Solutions
Leases Six ovens were rented on December 31, with $20,000 charged to rent expense. The lease...
Leases
Six ovens were rented on December 31, with $20,000 charged to
rent expense. The lease runs for 6 years with an implicit interest
rate of 5%. At the end of the 6 years, Peyton will own them. Make
any necessary adjusting entries.
Delta Corporation's capital structure consists of 20,000 common shares at December 31. At December 31, 2020...
Delta Corporation's capital structure consists of 20,000 common
shares at December 31. At December 31, 2020 an analysis of the
accounts and discussions with company officials revealed the
following information:
Sales.................................................................................................
$1,300,000
Inventory, January 1,
2020..............................................................
150,000
Purchases.........................................................................................
728,000
Purchase
discounts...........................................................................
18,000
Inventory, December 31,
2020........................................................
130,000
Tornado loss (net after
$18,000 tax) ..............................................
42,000
Selling
expenses..............................................................................
148,000
Cash.................................................................................................
60,000
Accounts
receivable........................................................................
...
Keisler Corporation reports: 2016 2017 Equipment, December 31 $10,000 $20,000 Accumulated depreciation, December 31 ($5,000) ($7,000)...
Keisler Corporation reports: 2016 2017 Equipment, December 31
$10,000 $20,000 Accumulated depreciation, December 31 ($5,000)
($7,000) Depreciation Expense of Equipment $5,000 Gain on disposal
of Equipment $2,000 During 2017, Keisler sold equipment which has
original cost of $5,000. Additional purchase of equipment in 2017
was paid in cash. No other investing activities are reported in
2017. What is cashflows by investing activities in 2017? Group of
answer choices
$(10,000).
$4,000.
$(8,000).
$(11,000).
Selected accounts from the SFP of Tabby Ltd. at 31 December 20X7 and 20X6 are presented below. Tabby reported earnings of $125,000 in 20X7, and depreciation expense was $20,000.
Selected accounts from the SFP of Tabby Ltd. at 31 December 20X7 and 20X6 are presented below. Tabby reported earnings of $125,000 in 20X7, and depreciation expense was $20,000.Required:Calculate cash from operating activities for 20X7.
Jan sold her house on December 31 and took a $20,000 mortgage as part of the...
Jan sold her house on December 31 and took a $20,000 mortgage as
part of the payment. The 10-year mortgage has a 12% nominal
interest rate, but it calls for semiannual payments beginning next
June 30. Next year Jan must report on Schedule B of her IRS Form
1040 the amount of interest that was included in the two payments
she received during the year. a. What is the dollar amount of each
payment Jan receives? Round your answer to...
Jan sold her house on December 31 and took a $20,000 mortgage as part of the...
Jan sold her house on December 31 and took a $20,000 mortgage as
part of the payment. The 10-year mortgage has a 6% nominal interest
rate, but it calls for semiannual payments beginning next June 30.
Next year Jan must report on Schedule B of her IRS Form 1040 the
amount of interest that was included in the two payments she
received during the year.
a. What is the dollar amount of each payment Jan receives? Round
your answer to...
Prepare the journal entry to record the payment of interest expense on December 31, 2017.
Question: (Fair Value Hedge) Sarazan Company issues a 4-year, 7.5% fixed-rate interest only, nonprepayable $1,000,000
note payable on December 31, 2016. It changes the interest rate from a fixed to variable rate and enters into a swap
agreement with M&S Corp. The swap agreement specifies that Sarazan will receive a fixed rate at 7.5% and pay variable with
settlement dates that match the interest payments on the debt. Assume that interest rates have declined during 2017 and that
Sarazan...
As of December 31, Plush has not recorded any insurance expense for the year. The only...
As of December 31, Plush has not recorded any insurance expense
for the year. The only insurance policy it owns is the one
purchased on July 10, a three year insurance policy for $72,000
starting on August 1st. Make a general journal entry.
10a. Alpha's net accounts receivable were $500,000 at December 31, 2015, and $600,000 at December 31,...
10a. Alpha's net accounts receivable were $500,000 at
December 31, 2015, and $600,000 at December 31,
2016. Net cash sales for 2016 were
$250,000. The accounts receivable turnover for 2016 was
5.3. Use this information to determine the Fiscal Year
2016: (Round & enter your answers to one decimal place for
non-dollar ratios and enter the value. For dollar ratio enter as
whole dollars only.)
1. Total Net Sales
2. Total Net Credit Sales
10b. The following financial information is
for Alpha Corporation...
After closing the revenue and expense accounts, the profit for the year ending December 31, 2017...
After closing the revenue and expense accounts, the profit for
the year ending December 31, 2017 of the Mo & Molly partnership
is $129,000. The partnership agreement specifies that profits and
losses will be shared using the following formula.
1. Allocate salary allowances of $24,000 to Mo and $30,000 to
Molly.
2. Remaining profit (loss) is to be shared on a ratio of 2:1.
At the beginning of the year, Mo’s capital account had a balance of
$45,000 and Molly’s...
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