Reference no: EM13862743
Question 1:
GAAP and Notes Receivable
Arabian Realty has the following note receivable transactions. Write the journal entry required for each transaction.
Use a 365-day year for interest computations, and round interest amounts to the nearest dollar. Arabian Realty has an October 31 fiscal year-end.
a. Aug 1. Loaned $ 10,000 cash to Candace Smith on a one-year, 7% note
b. Oct 6. Performed service for Putt Pro, receiving a 90-day, 6% note for $ 15,000.
Hint: Note this transaction involves performing a service that results in a note receivable.
c. Oct 16. Received a $ 2,000, six month, 11% note on account from Vernon, Inc.
Hint: Note this transaction involves converting an account receivable to a note receivable.
d. Oct 31. Accrued interest revenue for the year.
Hint: For each note receivable, count how many days the note has been in effect at October 31, and calculate the amount of interest revenue accrued at October 31. Add up the interest accrued on each note to obtain the total interest revenue for the year (assuming these are the only notes receivable outstanding).
e. How much interest revenue did Arabian earn this year?
Question 2:
Algonquin, Inc., reported the following items at December 31, 2012, and 2011:
Balance Sheets (Summarized)
1a. Compute Algonquin's quick (acid-test) ratio. Is this ratio strong or weak?
1b. Compute days' sales in receivables for 2012. Is this ratio strong or weak? Algonquin sells on terms of net 30 days.
2. Recommend two ways for Algonquin to speed up its cash flow from receivables.
Effective paragraphs with support from a variety of sources
: effective paragraphs with support from a variety of sources
|
Ways in which sixth-grade children differ from kindergarten
: Describe at least four ways in which sixth-grade children differ from kindergarten children in their information processing strategies and capabilities
|
Develop a coherently structured paper with an introduction
: Develop a coherently structured paper with an introduction, body, and conclusion.
|
The university is considering level of light on campus
: The university is considering level of light on campus. Tim, Shirley and Cynthia are the only students who work on campus. Tim's Marginal Benefit MB = 60 - 3Q, Shirley's MB = 20 - Q, and Cynthia's MB = 5, where Q is the level of light. If there are n..
|
How much interest revenue did arabian earn this year
: Compute Algonquins quick (acid-test) ratio. Is this ratio strong or weak and how much interest revenue did Arabian earn this year?
|
Profit made on the stock at the end of one year
: There are two stocks in the stock market, stock A and stock B. If bought today, each would cost $10. Market analysts have constructed the following table of joint outcomes, with associated joint probabilities. An outcome is defined as the profit made..
|
Different types of families
: Different Types of Families- Please pick 2 of the topics below and discuss, based on the reading and your personal experience (if applicable), how those topics impact children
|
Define racial profiling
: Based on your review of the resource(s) above, please address the following: Define racial profiling. Explain the connection between stereotypes and racial profiling
|
Should the company follow the controllers recommendations
: Should the company follow the controller's recommendations? Compute the amount of the total overhead allocated to each of the products under activity based costing.
|