The following accounts, among others, appeared on ZZ Company's balance
sheet at January 1, 2020 and December 31, 2020:

                  January 1, 2020       December 31, 2020

Accounts receivable    48,000                63,000
Utilities payable      20,000                26,000
Notes payable          71,000                80,000
Common stock           30,000                90,000
Retained earnings      22,000                78,000

The following information was taken from ZZ Company's 2020 income
statement:

Sales revenue                   $500,000
Cost of goods sold               280,000
Other expenses                   120,000
Net income                      $100,000

Calculate the amount of cash collected from customers during 2020.

Lant Company has provided the following information:

• Cash sales totaled $220,000.
• Credit sales totaled $482,000.
• Cash collections from customers for services yet to be provided totaled $82,000.
• A $18,000 loss from the sale of property and equipment occurred.
• Interest income was $8,000.
• Interest expense was $18,200.
• Supplies expense was $320,000.
• Rent expense for the store was $32,000.
• Wages expense was $42,000.
• Other operating expenses totaled $72,000.
• Unearned revenue was $4,900.

What is the amount of Lant’s income before income taxes?

Multiple Choice

A)$207,800

B)$218,000

C)$382,000

D)$289,800

LGF Inc. sells furniture for $16,525. customers can buy a 5 years warranty on this furniture for $5,000 up to 1year after the purchase date of the product.  Furniture and warranty package costs $20,000 for special deal.

On January 1, 2007, the company sold 5 special deal packages. The cost of the furniture sold was $68,000.

The company paid cash of $700 for the cost of meeting the warranty during 2007.

The company recognizes revenue annually on the warranty agreement based on the passage of time.

Under IFRS, what is the journal entries for January 1, 2007 and December 31, 2007?

During the months of January and February, Solitare Corporation sold goods to two customers. The sequence of events was as follows: Jan. 6 Sold goods for $100 to Wizard Inc. with terms 2/30, n/60. The goods cost Solitare $70. 6 Sold goods to Spyder Corp. for $80 with terms 5/10, n/60. The goods cost Solitare $60. 14 Collected cash for the amount due from Wizard Inc. Feb. 28 Collected cash for the amount due from Spyder Corp. Required: Compute the total revenue Solitare would report over the two months.

Horizon Inc. sells prepaid telephone cards to customers. Horizon then pays the telecommunications company, V-Mobile, for the actual use of its telephone lines related to the prepaid telephone cards. Assume that Horizon sells $6,000 of prepaid cards in January 2020. It then pays V-Mobile based on usage, which turns out to be 60% in February and 40% in March. The total payment by Horizon for V-Mobile lines over the 2 months is $4,000.

A. Prepare the journal entries necessary for January and February

B. Compute the revenue, costs and net income Horizon will report in January, February, and March

Thrifty Storage operates approximately 300? mini-warehouses across Canada. The? company's headquarters are in Medicine? Hat, Alberta. During? 2014, Thrifty earned rental revenue of $ 30.5 million and collected cash of ?$26.0 million from customers. Total expenses for 2014 were ?$20.0 ?million, of which Thrifty paid ?$17.2 million. Required 1. Apply the recognition criteria for revenues and the matching objective to compute Thrifty ?Storage's net income for 2014. 2. Identify the information that you did not use to compute Thrifty ?Storage's net income. Give the reason for not using the information

Alberta Storage operates approximately 300? mini-warehouses across Canada. The? company's headquarters are in Medicine? Hat, Alberta. During? 2014, Alberta earned rental revenue of $ 28.0 million and collected cash of ?$27.6 million from customers. Total expenses for 2014 were ?$20.4 ?million, of which Alberta paid ?$17.7 million. Required 1. Apply the recognition criteria for revenues and the matching objective to compute Alberta ?Storage's net income for 2014. 2. Identify the information that you did not use to compute Alberta ?Storage's net income. Give the reason for not using the information

1. In addition to requiring that the accounting equation remain in balance, the double-entry system also requires that:

the number of asset accounts must equal the number of liability and stockholder's equity accounts.

for any transaction, only two accounts are affected.

for any transaction, both sides of the accounting equation are affected.

the total dollar amount of debits must equal the total dollar amount of credits.

2.Which of the following would eventually cause Retained Earnings to decrease?

Receiving contributions from investors

Earning unearned revenue

Billing customers for services provided

Using up supplies

Rock Solid Bank and Trust (RSB&T) offers only checking accounts. Customers can write checks and use a network of automated teller machines. RSB&T earns revenue by investing the money deposited; currently, it averages 5.50 percent annually on its investments of those deposits. To compete with larger banks, RSB&T pays depositors 0.50 percent on all deposits. A recent study classified the bank’s annual operating costs into four activities.

Data on two representative customers follow.

Required:

a. Compute RSB&T's operating profits.

b. Compute the profit from Customer A and Customer B, assuming that customer costs are based only on deposits. Interest costs = 0.50 percent of deposits; operating costs are 4 percent (= $19,500,000/$487,500,000) of deposits.

c. Compute the profit from Customer A and Customer B, assuming that customer costs are computed using the information in the activity-based costing analysis.

Rock Solid Bank and Trust (RSB&T) offers only checking accounts. Customers can write checks and use a network of automated teller machines. RSB&T earns revenue by investing the money deposited; currently, it averages 6.90 percent annually on its investments of those deposits. To compete with larger banks, RSB&T pays depositors 0.50 percent on all deposits. A recent study classified the bank’s annual operating costs into four activities.

Data on two representative customers follow.

Required:

a. Compute RSB&T's operating profits. Operating Profit?

b. Compute the profit from Customer A and Customer B, assuming that customer costs are based only on deposits. Interest costs = 0.50 percent of deposits; operating costs are 4 percent (= $40,500,000/$1,012,500,000) of deposits.

c. Compute the profit from Customer A and Customer B, assuming that customer costs are computed using the information in the activity-based costing analysis.

Customer A Customer B

Sales Revenue

Interest on Deposit

Total Operating Cost

Customer Profit/Loss