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Problem
Property taxes in the amount of $355,000 were levied for the current year. It is estimated that $14,000 of the taxes levied will prove to be uncollectible. (Journal entry completed by instructor --- SEE JOURNAL ENTRY SECTION BELOW) - You are required to explain each line of the journal entry and related financial statement impact.
Property Tax Receivable 355,000
Estimated Uncollectible Taxes 14,000
Revenue 341,000
Explain each line of the journal entry and related financial statement impact.
The centralized employee Travel Department of Howard Company has expenses of $47,600. The department has serviced a total of 2,800 travel reservations.
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Kasten Inc. provides paid vacations to its employees. At December 31, 2010, 30 employees have each earned 2 weeks of vacation time. The employees' average salary is $500 per week.
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