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Discuss the appropriate treatment in the financial statements of each of the following.
(a) An amount of $113,000 realized in excess of the cash surrender value of an insurance policy on the life of one of the founders of the company who died during the year.
(b) A profit-sharing bonus to employees computed as a percentage of net income.
(c) Additional depreciation on factory machinery because of an error in computing depreciation for the previous year.
(d) Rent received from subletting a portion of the office space.
(e) A patent infringement suit, brought 2 years ago against the company by another company, was settled this year by a cash payment of $725,000.
(f) A reduction in the Allowance for Doubtful Accounts balance, because the account appears to be considerably in excess of the probable loss from uncollectible receivables.
Both events, by recognizing a portion of the revenue with cash sale of the magazine subscription and a portion of the revenue with the publication of the magazine every month.
in early january burger mania acquired 100 of the common stock of the crispy taco restaurant chain. the purchase price
Using the following data, develop a monthly merchandise budget using the basic stock method (BSM) and the percentage variation method (PVM).
His daughter is currently 3 years old. How much will Lawrence need to invest today, at an interest rate of 8% compounded semiannually?
tyler smith has worked in an upholstery shop for 10 years. last year tylers wages were 20000. lately tyler has been
As of December 31, 2011, it is desired to distribute $488,000 in dividends. Insructions: How much will the preferred and common stockholders receive under the following assumptions:
Do you think transaction processing systems differ significantly between service and manufacturing industries? Are they equally important to both sectors?
You have been hired to work in the IS area of a manufacturing company that is starting to use the Internet to order parts from its suppliers and to offer sales and support to its customers. What types of Internet positions would you expect to see at ..
Why are there two separate adjustments to income related to interest
during 2011 madison company applied overhead using a job-order costing system at a rate of 12 per direct labor hours.
on january 1 2011 the xgx company entered into a lease for equipment for use in its factory from the xgz leasing
During 2011, WMC Corporation discovered that its ending inventories reported on its financial statements were misstated by the following amounts:
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