Question

On January 1, Gemstone Company obtained a $200,000, 10-year 9% installment note from Guarantee Bank. The note requires annual payments of $31,164, with the first payment occuring on the last day of the fiscal year. The first payment consists of interest of $18,000 and principal repayument of $13,164. The journal entry to record the payment of the first annual amount due on the note would include a Double-click on the box below to edit your answer choices. A.debit to cash of $13,164 B.credit to notes payable of $13,164 C.credit to interest payable of $18,000 D.debit to interest expense of $18,000

The following totals for the month of April were taken from the payroll register of Magnum Company: Salaries $10,000 FICA taxes withheld 750 Income taxes withheld 2,000 Medical insurance deductions 450 Unemployment taxes 420 The entry to record accrual of employer's payroll taxes would include a credit to Payroll Tax Expense for $420 debit to Payroll Tax Expense for $1,170 debit to Payroll Tax Expense for $1,620 debit to FICA Taxes Payable for $1,500 Westmont Company's book value of its fixed assets are $800,000 at the beginning of the year, and $600,000 at the end of the year. What is the fixed asset turnover ratio for Westmont if the company had sales of $2,100,000 and operating expenses of $1,600,000 for the current year. Double-click on the box below to edit your answer choices. A.0.2857 B.2.6250 C.3.0000 D.0.7143

On December 31, Strike Company has decided to discard one of its batting cages. The equipment had an initial cost of $310,000 and has accumulated depreciation of $260,000. Depreciation has been recorded up to the end of the year. Which of the following will be included in the entry to record the disposal? Gain on Disposal of Asset, credit, $50,000 Equipment, credit, $310,000 Loss on Disposal of Asset; debit, $260,000 Accumulated Depreciation, debit, $310,000 Argus company developed a trademark at a cost of $100,000. The trademark is expected to be useful for 10 years. How much would Argus amortize the trademark for in its third year? Double-click on the box below to edit your answer choices. A.$30,000 B.Trademarks are not amortized C.$10,000 D.Not enough information to calculate amortization in year 3

Martin Jackson receives an hourly wage rate of $30, with time and a half for all hours worked in excess of 40 hours during a week. Payroll data for the current week are as follows: hours worked, 46; federal income tax withheld, $350; social security tax rate, 6.0%; and Medicare tax rate, 1.5%. What is the net amount to be paid to Jackson? $1,097.95 $1,009.75 $1,470.00 $460.25

Equipment with a cost of $200,000, an estimated residual value of $50,000, and an estimated life of 15 years was depreciated by using the straight-line method for 5 years. Due to obsolescence, it was determined that the remaining useful life should be shortened by 7 years and the residual value changed to $30,000. The depreciation expense for the current and future years is Double-click on the box below to edit your answer choices. A.$50,000 B.$40,000 C.$10,000 D.$23,333

A fixed asset is sold for $30,000. The company had recorded on its books a cost of $55,000 and accumulated depreciation of $23,000. What is the amount of gain or loss on the disposal of the fixed asset? Double-click on the box below to edit your answer choices. A.$2,000 Loss B.$4,000 Gain C.$4,000 Loss D.$2,000 Gain

According to a summary of the payroll of Scotland Company, $450,000 was subject to the 6.0% social security tax and $500,000 was subject to the 1.5% Medicare tax. Federal income tax withheld was $98,000. Also, $15,000 was subject to state (4.2%) and federal (0.8%) unemployment taxes. The journal entry to record accrued payroll taxes would include a credit to SUTA Payable of $18,900 debit to SUTA Payable of $18,900 credit to SUTA Payable of $630 debit to SUTA Payable of $630

A machine with a cost of $150,000 has an estimated residual value of $15,000 and an estimated life of 8 years or 40,000 hours. The machine was used 10,000 hours in year 1, 5,000 hours in year 2, 6,000 hours in year 3, and 8,000 hours in year 4. What is the amount of depreciation for the third full year, using the double-declining-balance method. Double-click on the box below to edit your answer choices. A.$37,500 B.$21,094 C.$22,500 D.$112,500

On January 1, Year 1, Zero Company obtained a $60,000, 5-year, 9% installment note from Regional Bank. The note requires annual payments of $15,426, beginning on December 31, Year 1. The December 31, Year 2 carrying amount in the allocation of periodic payments table (book value) for this installment note will be equal to Double-click on the box below to edit your answer choices. A.$39,046 B.$10,098 C.$60,000 D.$49,974

CalculatorPrint Item Based on the following data, what is the quick ratio, rounded to one decimal point? Accounts payable $ 30,000 Accounts receivable 60,000 Accrued liabilities 5,000 Cash 30,000 Intangible assets 50,000 Inventory 69,000 Long-term investments 80,000 Long-term liabilities 100,000 Marketable securities 30,000 Fixed assets 670,000 Prepaid expenses 1,000 3.0 1.8 3.4 2.2

Answer 1