Reference no: EM131217483
The Cash account in the general ledger of Lyco Corporation showed a balance of $21,749 at December 31 (but prior to performing a bank reconciliation). The company’s bank statement showed a balance of $22,000 at the same date. The only reconciling items consisted of: (1) a $5,000 deposit in transit, (2) a bank service charge of $200, (3) outstanding checks totaling $9,000, (4) a $3,000 check marked “NSF” from Susque Company, one of Lyco’s customers, and (5) a check written for office supplies in the amount of $1,832, recorded by the company’s bookkeeper as a debit to Office Supplies of $1,283, and a credit to Cash of $1,283.
In addition to the above information, Lyco owned the following financial assets at December 31: (1) a money market account of $60,000, (2) $3,000 of high-grade, 120-day commercial paper, and (3) $5,000 of highly liquid stock investments.
a. Prepare the company’s December 31 bank reconciliation.
b. Determine the amount at which cash and cash equivalents will be reported in the company’s balance sheet dated December 31.
c. Prepare the necessary journal entry to update the accounting records.
|
Complete the npv analysis of the stamping machine proposal
: The CEO of Southwest Manufacturing Company has asked for your analysis of and recommendation related to the proposed acquisition of an additional stamping machine for its principal manufacturing plant. Demand for the company's products has risen to ..
|
|
Costs of performing these random sample tests
: Barksdale Manufacturing Inc. produces its products in batches containing 100 units. Barksdale randomly samples 15 of the units in each batch for quality control. The costs of performing these random sample tests would most likely be which type of qua..
|
|
Company unrealized gain on short-term investments
: Apple Inc. accumulates large amounts of excess cash throughout the year. It typically invests these funds in marketable securities until they are needed. The company’s most recent financial statements revealed a nearly $160 million unrealized gain on..
|
|
Determine the amount at which cash and cash equivalents
: The Cash account in the general ledger of Lyco Corporation showed a balance of $21,749 at December 31 (but prior to performing a bank reconciliation). The company’s bank statement showed a balance of $22,000 at the same date. Prepare the company’s De..
|
|
The variable overhead efficiency variance
: The Maxwell Corporation has a standard costing system in which variable manufacturing overhead is assigned to production on the basis of standard machine-hours. The following data are available for July: The variable overhead efficiency variance for ..
|
|
Using the installment sale method of accounting
: Colton Company sold stud that cost $240,000 for $600,000 on January 1, 2015. The profit to be recognized in the first year (2015) using the installment sale method of accounting is: The profit to be recognized in the second year (2016) using the cost..
|
|
Prepare general journal entry
: On January 15, 2016, Bravo Company billed a customer for $30,000 of services rendered to be collected at a later date. Prepare the general journal entry (without explanation) needed. If no entry is required then write "No Entry Required."
|
|
Based on expected monetary value of present worth
: Your company owns a parcel of land in a currently undeveloped part of the cuntry. the neighboring city grows eastward, you belive there is 50% chance of residential development, a 20% chance of industrial development, and a 30% chance of no devlopmen..
|