Prepare journal entries, Prepare journal entries for the

Prepare journal entries

Reference no: EM132215297

Question - Prepare journal entries for the following:

1. Annual liability insurance premiums are payable on January 1^st of each year. The premium amount paid in January 2017 was $84,000.

2. On March 1^st, the firm purchased Sales Building 4 costing $650,000. Your firm paid forty percent (40%) of the building's cost in cash and issued a 5% 5-year note payable for the balance. The note requires annual interest payments. The expected life of the facility is 20 years, with no salvage value. Your firm uses the straight-line method of depreciation. The book values (October 31, 2017) of other PP&E currently on the books (also with no salvage value) are as follows:

Asset	Historical Cost	Accumulated Depreciation	Remaining Life
Land	$241,500	$-
Sales Building 1	406,000	223,300	9
Sales Building 2	425,500	171,400	12
Sales Building 3	350,075	87,519	15
Administration Building	141,075	42,323	14
Total	$1,567,150	$524,541

3. Administrative and Sales employee wages of $201,550 were earned and paid during fiscal 2018. In addition, during November 2017, the firm paid wages owed from the prior year. Unpaid wages for Fiscal 2018, which will be paid in November 2018, amount to $38,225.

4. On October 25, 2018, the firm sold Sales Building 2 for $260,000. The firm received payment in cash.

Reference no: EM132215297

Questions Cloud

Position ensure they have solid foundation for negotiations : How can an individual in a management position ensure they have a solid foundation for negotiations?

Explain why you think the company would benefit : Assess an organizations business strategy, leadership system, global prospects, code of conduct, and profitable growth opportunities with an ethical emphasis

Analysis on macroenvironmental factors : Help with a strong ANALYSIS on macroenvironmental factors for the company Google in the industry Artificial Intelligence?

Large number of relatively low-value components : The Nuts’n’Bolts hardware store stocks some high-value items and a large number of relatively low-value components.

Prepare journal entries : Prepare journal entries for the following: On October 25, 2018, the firm sold Sales Building 2 for $260,000. The firm received payment in cash

Who are the key individuals involved in the process : Who are the key individuals involved in the process? Describe how decision making and resource allocation are important to managing your strategic planning.

Explain advantages of utilizing these research firms : Using your favorite search engine, locate the websites for two research firms. Explain the advantages of utilizing these research firms.

Determine the commissions paid to specific employees : Design a query that will allow the finance department to determine the commissions paid to specific employees of the sale department for the month of December.

Develop a strong thesis statement for your essay : Write an essay comparing or contrasting the two topics in your selection using EITHER the point-by-point OR the subject-by-subject method.

User Account

All Pages