Questions
Units-of-Production Depreciation Irons Delivery Inc. purchased a new delivery truck for $42,000 on January 1, 2019....

Units-of-Production Depreciation Irons Delivery Inc. purchased a new delivery truck for $42,000 on January 1, 2019. The truck is expected to have a $2,000 residual value at the end of its 5-year useful life. Irons uses the units-of-production method of depreciation. Irons expects the truck to run for 150,000 miles. The actual miles driven in 2019 and 2020 were 40,000 and 36,000, respectively. Required: Prepare the journal entry to record depreciation expense for 2019 and 2020. Round your answers to the nearest dollar. Do not round intermediate calculations. 2019 Dec. 31 Depreciation Expense Accumulated Depreciation (Record units-of-production depreciation expense) 2020 Dec. 31 Depreciation Expense Accumulated Depreciation (Record units-of-production depreciation expense)

In: Accounting

During 2020, Pina Colada Corporation started a construction job with a contract price of $5.32 million....

During 2020, Pina Colada Corporation started a construction job with a contract price of $5.32 million. Pina Colada ran into severe technical difficulties during construction but managed to complete the job in 2022. The contract is non-cancellable. Under the terms of the contract, Pina Colada sends billings as revenues are earned. Billings are non-refundable. The following information is available:
2020 2021 2022
Costs incurred to date $ 760,000 $2,660,000 $5,220,000
Estimated costs to complete 3,990,000 2,660,000 -0-

(a)

Calculate the amount of gross profit that should be recognized each year under the percentage-of-completion method. (Enter negative amounts using either a negative sign preceding the number e.g. -45 or parentheses e.g. (45).)

2020 2021 2022
Gross profit / (loss)

In: Accounting

On January 1, 2019, FLOWERS Inc. rendered services in exchange for a four-year promissory note having...

On January 1, 2019, FLOWERS Inc. rendered services in exchange for a four-year promissory note having a face value of $10,000. Interest at a rate of 3% is payable annually on January 1 (first payment

Jan 1, 2020). The customer has credit ratings that require it to borrow money at 8% interest.

FLOWERS uses IFRS.

Required: Show and label all calculations. (Round to the nearest dollar.)

  1. What would be the value of the service revenue recorded on January 1, 2019?
  2. Prepare the full amortization table for note.
  3. What is the value of the interest revenue recorded by FLOWERS in 2019?
  4. What is the value of the interest revenue recorded by FLOWERS in 2020?

What is the value of note / interest receivable recorded by FLOWERS at its year end of December 31, 2020

In: Accounting

On January 5, 2018 Calvin's Cropcrushers, Inc. purchased crop crushing equipment for which the following information...

On January 5, 2018 Calvin's Cropcrushers, Inc. purchased crop
crushing equipment for which the following information is available:
Original cost.................. $3,800,000
Estimated residual value....... $200,000
Useful life in years........... 10 years
Useful life expressed in operating hours 20,000 hours
17 The accumulated depreciation at December 31, 2019 (end of
second year) units of output is used and the equipment was operated for
another 2700 hours in 2019.
18 The book value of the equip. on December 31, 2019 if units of output is used.
(Equipment operated 2900 hrs in 2018, 2700 hrs in 2019)
19 The depreciation for year 2020 assuming the equipment is sold
on September 30, 2020 and is operated for 2,300 hours in 2020.
(assuming the units of output method is used)
20 The book value of the equipment assuming the facts in #19

In: Accounting

1.The population of India in the year 2000 was 1 billion and it increased exponentially at...

1.The population of India in the year 2000 was 1 billion and it increased exponentially at a rate of 1.6% per year. If the growth rate is maintained, what will be the population in the year 2020? If the growth rate is decreased to 1.2% per year from 2020 onwards and is maintained at that level, what will be the population in the year 2050? Assuming the average human exhales 2.3 pounds of carbon dioxide on an average day, what is the total amount of Carbon released in the atmosphere annually by human exhalation (in billion tonnes) around the year 2020?  

2.Calculate the suspended particulate concentration (in μg/m3) in a sample collected through a hi-vol. sampler: Weight of clean filter = 5.00 g, Weight of the filter after exposure for 24 hours = 5.38 g, Average air flow = 2000 m3 in 24 hours.   

In: Mechanical Engineering

P18.8 (LO 2, 3) (Time Value, Gift Cards, Discounts) Presented below are two independent revenue arrangements...

P18.8 (LO 2, 3) (Time Value, Gift Cards, Discounts) Presented below are two independent revenue arrangements for Colbert Company.

Instructions
Respond to the requirements related to each revenue arrangement.

Colbert sells 20 nonrefundable $100 gift cards for 3D printer paper on March 1, 2020. The paper has a standalone selling price of $100 (cost $80). The gift cards expiration date is June 30, 2020. Colbert estimates that customers will not redeem 10% of these gift cards. The pattern of redemption is as follows.

Redemption Total
March 31
50%
April 30
80%
June 30
85%
Prepare the 2020 journal entries related to the gift cards at March 1, March 31, April 30, and June 30.

In: Accounting

You are the accountant for ADO Corporation, and you have to prepare the journal for income taxes. You have gathered the following information for 2020:

You are the accountant for ADO Corporation, and you have to prepare the journal for income taxes. You have gathered the following information for 2020:

  1. Pretax financial income (i.e., pretax GAAP income) is $520,000.

  2. The tax rate for 2020 is 40%.

  3. Depreciation expense on the tax return is $13,000 greater than on the GAAP income statement.

  4. One of the corporation’s executives died in a plane crash. ADO received life insurance benefits of $40,000.

  5. Rent revenue on the tax return (i.e., rent collected) is $35,000 higher than rent revenue (i.e., rent earned) on the GAAP income statement.

Instructions

(a)     Compute taxable income. Clearly list all differences between pretax financial and taxable income, and indicate whether they are permanent or temporary.

(b)     Prepare the journal entry to record income taxes for 2020.

In: Accounting

In 2018, the Westgate Construction Company entered into a contract to construct a road for Santa...

In 2018, the Westgate Construction Company entered into a contract to construct a road for Santa Clara County for $10,000,000. The road was completed in 2020. Information related to the contract is as follows:

2018 2019 2020
Cost incurred during the year $ 2,604,000 $ 4,032,000 $ 1,940,400
Estimated costs to complete as of year-end 5,796,000 1,764,000 0
Billings during the year 2,040,000 4,596,000 3,364,000
Cash collections during the year 1,820,000 4,000,000 4,180,000


Westgate recognizes revenue over time according to percentage of completion.

Required:

1. Calculate the amount of revenue and gross profit (loss) to be recognized in each of the three years. (Do not round intermediate calculations. Loss amounts should be indicated with a minus sign.)

2018 2019 2020
Revenue
Gross profit (loss) $496,000

In: Accounting

Here are some data for a regular Treasury Note observed on January 15, 2020.  The accrued interest...

  1. Here are some data for a regular Treasury Note observed on January 15, 2020.  The accrued interest on this note as of January 15, 2020 is approximately

Maturity

Coupon

Bid

Asked

Chg

Asked
yield

2/15/2021

7.875

106.2120

106.2160

0.0020

1.618

    1. 6.56
    2. 7.22
    3. 0.66
    4. 3.28
    5. 1.31
  1. Continuing the previous question, if you sold this note to a dealer on January 15, 2020, then the amount you would receive (ignoring commissions) would be approximately
    1. 106.212 plus accrued interest
    2. 106.216 plus accrued interest
    3. 106.216 minus accrued interest
    4. 106.212 minus accrued interest
  2. If a 10-year, 100=par, zero-coupon bond trades for 58, its YTM, using semi-annual compounding, is
    1. 4.84%
    2. 4.92%
    3. 5.03%
    4. 5.31%
    5. 5.52%

In: Finance

Omaha LLC had the following inventory amounts: 12/31/2019 3/31/2020 Raw materials 3052 3135   WIP 3771 3804...

Omaha LLC had the following inventory amounts:

12/31/2019 3/31/2020

Raw materials 3052 3135  

WIP 3771 3804

Finished goods 2251 2175

During Q1 2020, the company transferred $4294 of raw materials. to WIP. In addition, the firm incurred the following costs during the quarter: direct labor of $2584, variable manufacturing overhead of $2180, fixed manufacturing overhead of $2190, variable non-manufacturing overhead of $2027, and fixed non-manufacturing overhead of $2607. Omaha uses full absorption costing.

a.How much raw materials did Omaha purchase in Q1 2020?

b.How much is Omaha's cost of goods manufactured?

c.Notwithstanding your answer to the prior question, assume the cost of goods manufactured is $9525. How is much is the cost of goods sold?

In: Accounting