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Problem 1: Briefly describe internal control and how can it be used to protect assets. How can petty cash funds be used for internal control purposes? Why are bank accounts used? What is bank reconciliation, and why should a business use it? Why is it necessary to record journal entries after the bank reconciliation has been prepared?
Assume the bonds are issued at 109.9 on June 1 to yield an effective interest rate of 8 percent. Prepare the journal entries for June 1, 2014, November 30, 2014, and May 31, 2015
The Martin Company reported income before taxes of $370,000 for 2015 and ending inventory at December 31, 2015 of $170,000. Martin uses the periodic inventory system. Merchandise costing $17,500 was shipped to Martin FOB shipping point on December 26..
The increase in volume will be large enough to require increases in fixed selling expenses and in general administrative overhead, but not in fixed manufacturing overhead.
The advertising business has no tangible assets; Carl receives only the name of the business, the client lists and whatever going-concern value there is.
Shane, Inc., has completed its fiscal year and reported Total Assets of $1,000,000 and Total Liabilities of $300,000. Calculate the value of common equity.
When you leave on May 15, you have 1,000 units of foreign currency left which you exchange for 150 AED. What the exchange rates between AED and foreign currency
What are two examples of why a local semi-professional baseball team might have need for an imprest (petty cash) system?
Rubble Company must decide whether to make or buy some of its components.
A charitable foundation, What should the size of the annual donation be, if the money will be invested in an account that delivers a return of 5% p.a.?
YumYum has a service contract with a maintenance company. The contract is for cleaning services at a rate of $3,000 per month. The maintenance company bills YumYum semiannually on October 1 and April 1. The contract commenced on October 1, 2015. What..
You plan to retire in 20 years. If you put $32,000 into this account now. How much will you have to put into your account to meet the $100,000 goal?
In a multiple-step income statement, interest expense usually is not classified as an operating expense because interest charges?
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