Homework Answers
Answer -
Step - (1) - Information Given-
On January 1, 2019, Jason Company assigned $1000000 of accounts receivable to Easy Finance Corporation as security for a loan of $840000.
Easy Finance Corporation charged a 2% finance charge on the amount of the loan; the interest rate on the loan was 10%.
During the month of January, Jason collected $220000 on assigned accounts receivable.
Jason Company made the first partial payment of the loan on January 31, 2019.
.
Step - (2) -
Journal of Jason Company
| Date | Particulars | Debit ($) | Credit ($) | |
| a. | January 1, 2019 |
Cash [Balancing figure] Finance Charge [$840000*2%] Notes Payable |
823200 16800 - |
- - 840000 |
| b. | January, 2019 |
Cash Accounts Receivable |
220000 - |
- 220000 |
| January 31, 2019 |
Notes Payable Interest Expense [($840000*10%)*1/12] Cash |
220000 7000 - |
- - 227000 |
|
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PLEASE, INCLUDE ALL THE MATHEMATICAL PROCEDURE. THANKS!
Part Three: Problem On January 1, 2019, Jason Company...
Part Three: Problem (8 points) On January 1, 2019, Jason Company assigned $1,000,000 of accounts receivable...
Part Three: Problem (8 points) On January 1, 2019, Jason Company assigned $1,000,000 of accounts receivable to Easy Finance Corporation as security for a loan of $840,000. Easy Finance Corporation charged a 2% finance charge on the amount of the loan; the interest rate on the loan was 10%. During the month of January, Jason collected $220,000 on assigned accounts receivable. Jason Company made the first partial payment of the loan on January 31, 2019. A. Required: Prepare the required...
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PLEASE, INCLUDE ALL THE MATHEMATICAL PROCEDURE. THANKS!
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Please solve.
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Part A:
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PLEASE, INCLUDE ALL THE MATHEMATICAL PROCEDURE. THANKS!
Part Two: Problem On February 1, 2019, Norton Company factored accounts receivables with a carrying amount of $500,000 to Koch Bank. Koch Bank assesses a finance charge of 3% of the receivables and reserve 5% of the receivables. A. Assume the Norton factors the receivable on a without recourse basis. What is the loss on sale to be reported in the income statement of Norton Company for February? B. Assume the Norton factors...
Part Six: Problem. On March 31, 2019, Merle Company had an unadjusted debit balance of $12,350 in its allowance for uncollectible accounts and a $587,400 debit balance in its accounts receivable account. The Company reported net credit sales of $4,500,000 during the first quarter. An analysis of Merle's trade accounts receivable at that date revealed the following: Days Past Due Amount Estimated uncollectible Current S124,000 3% 1-30 days 74.500 7% 31-60 days67,200 12% 61-90 days 45,700 30% Over 90 days...
Finman company designated Jill Holland as pretty cash custodian and
established a pretty cash fund of 200$.
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Please solve.
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Problem S-18 (IAA) During the second year of operations, Fauna Company itself in financial dificulties. The entity decided t contin nue acpounts receivable as a means of obtaining cash to operations On July 1, 2019, the entity sold P1.500,000 of a receivable for cash proceeds of P1.390,000. No bad de allow ance was associated with these accounts. On December 15, 2019, the entity assigned the remainde the accounts receivable, P5.000,000 as of that date. ,s collateral on a P2,500,000, 12%...
Spalding Pointers Corporation expects to begin operations on January 1, 2019; it will operate as a specialty sales company that sells laser pointers over the Internet. Spalding expects sales in January 2019 to total $120,000 and to increase 5 percent per month in February and March. All sales are on account. Spalding expects to collect 70 percent of accounts receivable in the month of sale, 20 percent in the month following the sale, and 10 percent in the second month...
Part A:
On January 1, 2019, Portugal Corporation bought 100% of the
stock of Sweden Corporation for $500,000 (with cash). The Balance
Sheets of the two companies immediately after Portugal acquired
(January 1, 2019) Sweden Corporation showed the following
amounts:
At the date of acquisition, Portugal owed Sweden $40,000. Also,
on the date of acquisition the Book Value of Sweden equaled its
Fair Value. At the end of the first year of combination, Portugal
expects a combined tax rate of...
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