Reference no: EM133042155
Question - The following data are provided byNorway Company. The end of reporting period is December 31, 2018 and the financial statement are authorized for issue on March 15, 2019.
On December 31, 2018, Norway Company had a receivable of P400,000 from customer that is due 60 days after the end of reporting period. On January 15, 2019, a receiver was appointed for the said customer. The receiver informed Norway that the P400,000 would be paid in full by June 30, 2019.
Norway Company measures its investment in listed shares as held for trading at fair value through profit or loss. On December 31, 2018, these investments were recorded at the market value of P5,000,000. During the period up to February 15, 2019, there was a steady decline in the market value of all the shares in the portfolio, and on February 15, 2019, the market value had fallen to P2,000,000.
Norway Company had reported a contingent liability on December 31, 2018 related to a court case in which Norway Company was the defendant. The case was not heard until the first week of February 2019. On February 11, 2019, the judge determined that Norway Company was liable to pay damages and costs totaling P3,000,000.
On December 31, 2018, Norway Company had a receivable from a large customer in the amount of P3,500,000.
On January 31, 2019, Norway Company was advised in writing by the liquidator of the said customer that the customer was insolvent and that only 10% of the receivable will be paid on April 30, 2019.
Prepare the adjusting entries on December 31, 2020 to reflect the events after the reporting period.
|
Focusing on the longer-term incentives
: As I mentioned earlier, I like to hire very competitive employees. The downside to that strategy is that we have a rentetion problem.
|
|
What will be the amount of us dollars you will have
: If you move your money to the UK for 3-month investment and cover with forward contracts, what will be the amount of U.S. dollars you will have after 3 months
|
|
What rate is the bank charging you
: The First National Bank has agreed to lend you $30,000 today, but you must repay $42,135 in 3 years. What rate is the bank charging you
|
|
Calculate the after-tax cost of debt
: Govan Inc. has a capital structure that consists of $500,000 of common shares, Calculate the after-tax cost of debt
|
|
Prepare the adjusting entries on December
: On December 31, 2018, Norway Company had a receivable from a large customer in the amount of P3,500,000. Prepare the adjusting entries on December
|
|
Transmission mechanism of monetary policy
: The statement is false. With uncertainty about the transmission mechanism of monetary policy ( the parameters in the equations describing the model of the econo
|
|
What amount was the bonus debited or credited
: Vanya will pay the money directly to the other partners. What amount was the bonus debited or credited in partner Blake's capital account
|
|
Determine the amount to be received
: BB pays for P100,000 for various construction tools. FF pays P5,000 for permit to operate the concession or business; Determine the amount to be received
|
|
What is the required adjustment to the allowance
: If the accounts receivable balance at 30 June 2020 was $20 000, what is the required adjustment to the allowance for doubtful debts at 30 June 2020
|