Prepare journal entries to correct each of these

Assignment Help Accounting Basics

Reference no: EM13568367

In reviewing the books of Bopper Retailers inc., the auditor discovered certain errors that had occured during 2013 and 2014. No errors were corrected during 2013. the errors are summarized below

a. beginning merchandise inventory (january 1, 2013) was understated by 8640

b. merchandise costing 2400 was sold for 4000 to A.J. Taylor on december 29, 2013 but the sale was recorded in 2014. the merchandise was shipped F.O.B. shipping point and was not included in ending inventory. Bopper uses a periodic invetory system.

c. a two-year fire insurance policy was purchased on may 1,2013 for 5760. the entire amount was debited to prepaid insurance. no adjusting entry was made in 2013 or 2014

d. a one year note receivable of 9600 was held by bopper beginning october 1, 2013. payment of the 10 percent note and accrued interest was received upon maturity. no adjusting entry was made on december 31, 2013.

e. equipment with a ten year life was purchased on january 1, 2013, for 39200. no depreciation expense was recorded during 2013 or 2014. assume that the equipment has no salvage value and the bopper uses the straight line method for recording depreciation

prepare journal entries to correct each of these independent situations. assume that the nominal accounts for 2014 have not yet been closed into the income summary account.

Reference no: EM13568367

Questions Cloud

One of my friends gets really aggressive when they get on : one of my friends gets really aggressive when they get on the drink they think everyone is looking at them and is

Discuss and compare the costs of hedging via the forward : discuss and compare the costs of hedging via the forward contract and the options

From the standpoint of the borrower is long-term or : from the standpoint of the borrower is long-term or short-term credit riskier? explain. would it ever make sense to

What is the major difference in the obligation of one with : what is the major difference in the obligation of one with a long position in a futures or forward contract in

Prepare journal entries to correct each of these : in reviewing the books of bopper retailers inc. the auditor discovered certain errors that had occured during 2013 and

In 2013 the barton and barton company changed its method of : in 2013 the barton and barton company changed its method of valuing inventory from the fifo method to the average cost

My assignment states that i have to write a letter to the : my assignment states that i have to write a letter to the dean of south university as t why my gpa was below average

Which of the following is not considered a permanent source : 1 which of the following is not considered a permanent source of financing?a. commercial paperb. preferred stockc.

Labeling theorists are adamant about the labels that : labeling theorists are adamant about the labels that offenders are given throughout the criminal justice system. labels

User Account

All Pages