Sun Packaging Services began operations in January 2018. The company received a prepayment of $16,000 from a customer to provide packaging services at the beginning of 2019. Sun Packaging also purchased packaging machinery for $60,000 on January 1. Sun Packaging plans to use straight-line depreciation over a four-year expected useful life for financial reporting purposes. For tax purposes, the deduction is 50% of cost in 2018, 30% in 2019, and 20% in 2020. Pretax accounting income for 2018 was $500,000, which includes interest revenue of $32,000 from municipal bonds. The enacted tax rate is 30%.
Round up to the nearest whole dollar. Do not use dollar signs but DO use commas. For example, two-hundred and fifty thousand dollars (250000) should be entered as 250,000
Income tax expense for 2018 is?
The balance in the deferred tax asset account at December 31, 2018 is?
The balance in the deferred tax liability account at December 31, 2018 is?
Sun's packaging net income for 2018 is .
In: Accounting
The following events occur for The Underwood Corporation during 2018 and 2019, its first two years of operations. June 12, 2018 Provide services to customers on account for $38,000. September 17, 2018 Receive $22,500 from customers on account. December 31, 2018 Estimate that 45% of accounts receivable at the end of the year will not be received. March 4, 2019 Provide services to customers on account for $53,000. May 20, 2019 Receive $10,000 from customers for services provided in 2018. July 2, 2019 Write off the remaining amounts owed from services provided in 2018. October 19, 2019 Receive $42,500 from customers for services provided in 2019. December 31, 2019 Estimate that 45% of accounts receivable at the end of the year will not be received.
Required:
1. Record transactions for each date.
2. Post transactions to the following accounts: Cash, Accounts Receivable, and Allowance for Uncollectible Accounts.
3. Calculate the net realizable value of accounts receivable at the end of 2018 and 2019
In: Accounting
Question
The following data pertain to the operations of a manufacturing company for the year 2018
Item Amount (sh)
Sales revenues 1,000,000
Direct materials inventory, Jan 1, 2018 15,000
Direct labour 300,000
Depreciation, plant 60,000
Depreciation, equipment 40,000
Cutting tools used 10,000
Indirect labour 5,000
Factory lighting and power 10,000
Factory supervisor’s salary 50,000
Indirect materials 10,000
Finished goods inventory, Jan 1, 2018 30,000
Work in progress inventory, December 31, 2018 20,000
Office Supplies 10,000
Finished goods inventory, December 31, 2018 40,000
Direct materials inventory, December 31, 2018 25,000
Sales representatives salaries 250,000
Work in progress inventory, Jan 1, 2018 30,000
Purchases of direct materials 110,000
Factory supplies 5,000
Depreciation, administration office 50,000
Required; (a) Prepare a statement of the cost of goods manufactured
(b) Prepare an income statement for the company
In: Accounting
Kim and Kim (K&K) Company’s balance sheet at December 31, 2017, reported the following
Accounts receivable............................................................... $2,000,000
Allowance for uncollectible accounts.....................................$20,000 DR
Requirements:
1. What was the net realizable value of these receivables at December 31, 2017?
2. Journalize, without explanations, 2018 entries for Kim and Kim Company:
a. Total credit sales for 2018 were $1,200,000; 2% of sales were estimated to be uncollectible.
b. K&K Company received cash payments on account during 2018 of $780,000.
c. Accounts receivable identified to be uncollectible totaled $38,000.
d. December 31, 2018, the aging of receivables indicates that $43,000 of the receivables is uncollectible (target balance).
3. Post the transactions to the Accounts receivable and the Allowance for uncollectible accounts T-accounts. Calculate and report K&K’s receivables and related allowance on the December 31, 2018 balance sheet.
4. What is the net realizable value of receivables at December 31, 2018?
5. How much is the uncollectible account expense for 2018?
In: Accounting
Kim and Kim Company’s balance sheet at December 31, 2017, reported the following:
Accounts receivable............................................................... $2,000,000
Allowance for uncollectible accounts.....................................$20,000 DR
Requirements:
1. What was the net realizable value of these receivables at December 31, 2017?
2. Journalize, without explanations, 2018 entries for Super Duper:
a. Total credit sales for 2018 were $1,200,000; 2% of sales were estimated to be uncollectible. Super-Duper received cash payments on account during 2018 of $780,000.
b. Accounts receivable identified to be uncollectible totaled $38,000.
c. December 31, 2018, aging of receivables indicates that $43,000 of the receivables is uncollectible (target balance).
3. Post the transactions to the Accounts receivable and the Allowance for uncollectible accounts T-accounts. Calculate and report Super Duper’s receivables and related allowance on the December 31, 2018 balance sheet.
4. What is the net realizable value of receivables at December 31, 2018?
5. How much is the uncollectible account expense for 2018?
In: Accounting
Problem 17-5
Lincoln Industries adopted a defined benefit pension plan on March 19, 2017. The provisions of the plan were not made retroactive to prior years. A local bank, engaged as trustee for the plan assets, expects plan assets to earn a 10% rate of return. A consulting firm, engaged as actuary, recommends 4% as the appropriate discount rate. The service cost is $125,000 for 2017 and $260,000 for 2018. Actual rate of return on plan assets is 10% in both 2017 and 2018. Year-end funding is $140,000 for 2017 and $150,000 for 2018. There were no plan amendments, changes in actuarial estimates, and assumptions regarding the PBO in 2017. On January 1, 2018, the company amended the pension formula and made the change retroactive, creating a prior service cost of $55,000. Amortization of prior service cost for 2018 is $2,500. No retiree benefits were paid in 2017, but $15,000 was paid to retirees in 2018.
Required:
Prepare ALL necessary 2018 journal entries to record pension activity.
In: Accounting
i am doing financial report but not sure for 2 items.
the balance sheet date 30/06/2018. there are 2 items are review on 10/07/2018. should i adjust them to which statement? or disclose them on notes?
the current balance at 30/06/2018: allowance for DD: 2,350,000
A review by the chief accountant on 10 July 2018 revealed the following:
On 5 July 2018 the company received $94,000 from New Ltd . This was for commissions from sales made by New Ltd up to 30 June 2018. No balance date adjustment has been made in relation to this. ?
The company estimates the allowance for doubtful debts based on the ageing method. However the chief accountant has noticed that the allowance for doubtful debts in the trial balance seemed high. This had been calculated by the assistant accountant who advised that they had incorrectly based this allowance on a percentage of credit sales. The chief accountant determined that the balance of this allowance at 30 June 2018 should be $652,000.
In: Accounting
Go to the Australian Bureau of Statistics website and find the latest (December 2018)figures for output. In particular, find the percentage change in Trend GDP from the September Quarter 2018 to December Quarter 2018; and the December Quarter 2017 to December Quarter 2018; and the percentage change in Seasonally Adjusted GDP over the same two periods.b)Do the same for the December 2017 figures.(1mark)c)Explain whether, based on the GDP data and all else equal, you would prefer to be incumbent Government running for re-election this time last yearor now.d)Now find the ABS data for the Consumer Price Index, specifically report the figures for the December 2018 and December 2017 All Groups CPI and the Seasonally Adjusted CPI.(3marks)e)What are the categories that experienced the most significantprice rises and falls? Discuss whether, given your usual consumption bundle, you were likely better or worse off in December 2018 compared to September 2018.
In: Economics
a) Go to the Australian Bureau of Statistics website and find the latest (December 2018) figures for output. In particular, find the percentage change in Trend GDP from the September Quarter 2018 to December Quarter 2018; and the December Quarter 2017 to December Quarter 2018; and the percentage change in Seasonally Adjusted GDP over the same two periods. b) Do the same for the December 2017 figures. (1 mark) c) Explain whether, based on the GDP data and all else equal, you would prefer to be incumbent Government running for re-election this time last year or now. d) Now find the ABS data for the Consumer Price Index, specifically report the figures for the December 2018 and December 2017 All Groups CPI and the Seasonally Adjusted CPI. e) What are the categories that experienced the most significant price rises and falls? Discuss whether, given your usual consumption bundle, you were likely better or worse off in December 2018 compared to September 2018.
In: Economics
Miller Corporation acquired 30% of the outstanding common stock of
Crowell Corporation for $160,000 on January 1, 2018, and obtained
significant influence. The purchase price of the shares was equal
to their book value. During 2018, the following information is
available for Crowell:
Mar. 31 Declared and paid a cash dividend of $50,000.
June 30 Reported semiannual earnings of $120,000 for the first half
of 2018.
Sept. 30 Declared and paid a cash dividend of $50,000.
Dec. 31 Reported semiannual earnings of $140,000 for the second
half of 2018.
Required:
1. Prepare journal entries for Miller to reflect the preceding
information. Refer to the Chart of Accounts provided for the exact
wording of the answer choices for text entries.
2. What is the balance in Miller’s investment account on December
31, 2018?
Prepare journal entries for Miller to reflect the 2018 transactions. Refer to the Chart of Accounts provided for the exact wording of the answer choices for text entries. (10 Accounts in the entry)
What is the balance in Miller’s investment account on December 31, 2018? ______________
In: Accounting