Homework Answers
Q-8 ( A) debit Estimated Lawsuit Loss and
credit Estimated Lawsuit Liability
Explanation:
( if there is a probable chance of lawsuit loss it is a loss for the company hence it will be debited, at the same time its an obligation which company needs to pay in near future, therfore liability account wil be credited to increase the balance.)
Q- 7 ( C) Current Liability
Explanation:
( unearned revenue is nothing but advanced received from. customer for the services that company will provide in near future. In this case services are not provided, but money is received, therefore it is considered as a current liability.)
Q- 4 (C) It is probable that loss will occur and the amount can be.
reasonably estimated.
Explanation:
( contingent liability'is recorded only when chance of occurance that is probability of occuring an event is high and amount can be estimated.)
Add Answer to:
Question 8 0/0.41 pts A company has a lawsuit pending with regard to patent infringement. The...
An acquirer discovers that a competitor has filed a patent infringement lawsuit against the company it...
An acquirer discovers that a competitor has filed a patent infringement lawsuit against the company it is acquiring. This lawsuit is not currently recognized on the acquiree's books. How should the acquirer report the lawsuit at the date it makes the acquisition? A. Report it as a liability if it is a probable liability and its value can be reasonably estimated. B. Report it as a liability if it is a contractual or separable obligation. C. Don't report it until...
1.The rules used for determining taxable income in various countries: have the same objective as the...
1.The rules used for determining taxable income in various countries: have the same objective as the rules used for determining income for financial reporting purposes. have an objective designed to provide a basis for funding government operations. are not the result of a political process. measure changes in a firm’s underlying economic condition. 2.Which one of the following contingencies must be accrued on the balance sheet? Multiple Choice The likely loss on a lawsuit that the firm’s attorneys believe will...
A company should accrue a loss contingency only if the likelihood that a liability has been...
A company should accrue a loss contingency only if the likelihood that a liability has been incurred is: Multiple Choice At least reasonably possible and the amount of the loss is known. Probable and the amount of the loss can be reasonably estimated. At least reasonably possible and the amount of the loss can be reasonably estimated. More likely than not and the amount of the loss is known. Which of the following is not true about deferred revenue? Multiple...
QUESTIONS Equipment purchased at the beginning of the year for $200,000 with a residual value of...
QUESTIONS Equipment purchased at the beginning of the year for $200,000 with a residual value of $20,000 is being depreciated over a 5-year period using the double-declining- balance method. Which of the following statements is correct concerning the financial statements at the end of the year? 1. The book value of the equipment is now $80,000. 2. The equipment account now has a balance of $120.000 3. Depreciation expense for the year is $72,000. 4. The accumulated depreciation account balance...
answer following questions. want to ensure my answers are correct. record these sales? A) A debit...
answer following questions.
want to ensure my answers are correct.
record these sales? A) A debit to Sales revenue for $215,000 B) A credit to Accounts receivable for $215,000 e) A dcbit to Sales tax payable for $15.050 A debit to Accounts receivable for $230.050 20) A $20,000, 3-month, 8% note payable was issued on November 1, 2015. What inforest on December 31, 2015? A) $200 P$267 C) $133 D) $800 Issued on November 1, 2015. What is the amount...
Question: A company regularly purchases materials from a manufacturer on credit. Payments for these purchas... A company...
Question: A company regularly purchases materials from a manufacturer on credit. Payments for these purchas... A company regularly purchases materials from a manufacturer on credit. Payments for these purchases occur within the company’s operating cycle. They do not include interest and are established with an invoice outlining purchase details, credit terms, and shipping charges. Which current liability situation does this best describe? sales tax payable accounts payable unearned revenue income taxes payable A ski company takes out a $400,000 loan from...
13&14) Question 13 2 pts The debit balance in Cash Short and Over at the end...
13&14)
Question 13 2 pts The debit balance in Cash Short and Over at the end of an accounting period is reported as O an expense on the income statement income on the income statement an asset on the balance sheet a liability on the balance sheet Question 14 2 pts A check drawn by a company in payment of a voucher for $965 was recorded in the journal as $695. What entry is required in the company's accounts? debit...
Net credit sales $120,000 Average accounts receivable 20,000 Cash collections on credit sales 100,000 271) What...
Net credit sales $120,000 Average accounts receivable 20,000 Cash collections on credit sales 100,000 271) What is the receivables turnover ratio? A) 5.0. B) 1.2. C) 0.2. D) 6.0. If management can estimate the amount of loss that will occur due to litigation against the company, and the likelihood of the loss is reasonably possible, a contingent liability should be Neither disclosed nor reported as a liability. Disclosed and reported as a liability. Reported as a liability, but not disclosed....
MULTIPLE CHOICE: Choose the best answer and place it on the line alongside each question. -...
MULTIPLE CHOICE: Choose the best answer and place it on the line alongside each question. - 1. According to the matching principle, warranty costs related to items sold should be reported as an According expense in the same accounting period as: the sales revenue is reported as income; B. the warranty repairs are made; the warranty period expires; cash is received from customers. C. Use the following to answer questions 2 and 3. Road Runner Company, which began operations in...
A company regularly purchases materials from a manufacturer on credit. Payments for these purchases occur within...
A company regularly purchases materials from a manufacturer on credit. Payments for these purchases occur within the company’s operating cycle. They do not include interest and are established with an invoice outlining purchase details, credit terms, and shipping charges. Which current liability situation does this best describe? sales tax payable accounts payable unearned revenue income taxes payable A ski company takes out a $400,000 loan from a bank. The bank requires eight equal repayments of the loan principal, paid annually....
QUESTIONS Equipment purchased at the beginning of the year for $200,000 with a residual value of $20,000 is being depreciated over a 5-year period using the double-declining- balance method. Which of the following statements is correct concerning the financial statements at the end of the year? 1. The book value of the equipment is now $80,000. 2. The equipment account now has a balance of $120.000 3. Depreciation expense for the year is $72,000. 4. The accumulated depreciation account balance...
answer following questions.
want to ensure my answers are correct.
record these sales? A) A debit to Sales revenue for $215,000 B) A credit to Accounts receivable for $215,000 e) A dcbit to Sales tax payable for $15.050 A debit to Accounts receivable for $230.050 20) A $20,000, 3-month, 8% note payable was issued on November 1, 2015. What inforest on December 31, 2015? A) $200 P$267 C) $133 D) $800 Issued on November 1, 2015. What is the amount...
13&14)
Question 13 2 pts The debit balance in Cash Short and Over at the end of an accounting period is reported as O an expense on the income statement income on the income statement an asset on the balance sheet a liability on the balance sheet Question 14 2 pts A check drawn by a company in payment of a voucher for $965 was recorded in the journal as $695. What entry is required in the company's accounts? debit...
MULTIPLE CHOICE: Choose the best answer and place it on the line alongside each question. - 1. According to the matching principle, warranty costs related to items sold should be reported as an According expense in the same accounting period as: the sales revenue is reported as income; B. the warranty repairs are made; the warranty period expires; cash is received from customers. C. Use the following to answer questions 2 and 3. Road Runner Company, which began operations in...
Most questions answered within 3 hours.
-
Where is the error in this code sequence?
String s1 = "Hello";
String s2 = "ello";...
asked 10 months ago -
Financial data for Joel de Paris, Inc., for last year
follow:
Joel de Paris, Inc.
Balance...
asked 10 months ago -
Consider this reaction:
Al2(SO4)3 (aq)+ BaCl3
(aq) Al2Cl6 (aq)- +
3BaSO4(s) . What is the...
asked 10 months ago -
Suppose that Savneet is considering increasing her
recent random sample from 20 car rentals to 40...
asked 10 months ago -
Trucks arrive at an unloading terminal at an average rate of 120
per hour.
Trucks arrive...
asked 10 months ago -
Why are methanol and ethanol completely soluble in water while
octanol is not very little soluble....
asked 10 months ago -
A facilities manager at a university reads in a research report
that the mean amount of...
asked 10 months ago -
When the CuSO4 is rehydrated by adding water to the anhydrous
compound, is this an endothermic...
asked 10 months ago -
A ray of sunlight is passing from diamond into crown glass; the
angle of incidence is...
asked 10 months ago -
A block of mass 0.249 kg is placed on top of a light, vertical
spring of...
asked 10 months ago -
how do the kidneys compensate in the presences of acidosis
a) trigger hyperventilate
b) reserve acid...
asked 10 months ago -
Question 501 pts
The rental rate of capital to the firm increases. Which of the
following...
asked 10 months ago