Prepare the journal entries required

Assignment Help Accounting Basics
Reference no: EM133185304

Question - In 2019, Richard Corp signed a contract valued at $1M. It was estimated that $750K would be required to complete the work requested. In 2019, a total of $100K in costs had been accumulated. In 2020, the area in which the work was performed received an unexpected ice storm that knocked out power for two weeks. This caused the total estimated costs to complete the project to increase to $1.2M due to contingencies placed within the contract. An additional $500K costs was accumulated during 2020. Prepare the journal entries required in 2019 and 2020.

Reference no: EM133185304

Questions Cloud

Spoonful of Sugar-Philosophical positions : The line that is drawn between the philosophical positions on individual versus collective rights is different for everyone.
Identify current resources usage in the workplace : What steps will you follow to identify current resources usage in the workplace and Explain how technology and innovation can help organisation to improve
What are black jobs in sweden : What makes Sweden's welfare system different from the U.S. system? What are "black jobs" in Sweden? Does the U.S. have them?
Compute the selling price that will yield : The Aldine Co. furnished you with the following data: Cost to make and sell P40. Compute the selling price that will yield return
Prepare the journal entries required : In 2019, Richard Corp signed a contract valued at $1M. It was estimated that $750K would be required. Prepare the journal entries required
What is amount of casualty loss that reynaldo can claim : Their AGI for 2021 was $35,000. What is the amount of casualty loss that Reynaldo and Sonya can claim on their joint return for 2021
What is the purchase price of the car : You plan to finance the purchase of a new car and are told your annual loan payment would be $8,600 per year. What is the purchase price of the car
Effects of low price-guarantee on price : Explain the effects of low price-guarantee on the price.
Institution of marriage in society : Is it important to have the institution of marriage in society? Explain if it is possible or not for a society to survive without this institution?

Reviews

Write a Review

Accounting Basics Questions & Answers

  Separate set of books-joint venture transactions

Prepare the necessary ledger accounts assuming that a separate set of books are maintained for the joint venture transactions

  What is the correct balance for cash

Service charge for the month- P150; Proceeds of note collected by the bank- P6,400. What is the correct balance for cash after considering the reconciling items

  Describe a data consolidation strategy

Describe a data consolidation strategy and at least two different types of visualization techniques the sales manager can use to analyze the data received from all stores.

  Credit account titles are automatically indented

Wildhorse Company issued its 7%, 25-year mortgage bonds in the principal amount of $2,800,000 on January 2, 2003, at a discount

  Suppose further that snappy decides to make changes in its

snappy tiles is a small distributor of marble tiles. snappy identifies its three major activities and cost pools as

  Calculate the present value for each

Option 1: A payment of $65,000 one year from today; a payment of $85,000 after three years; Calculate the present value for each

  What are the three main purposes of budgeting

What are five basic principles, which, if followed, should improve the probability of preparing a meaningful budget? Why is each important?

  When lifo perpetual inventory costing is used which costs

1. in a perpetual inventory system a. the inventory and cost of goods sold accounts are updated once a period. b.

  Prepare journal entries necessary to record transactions

The company is granted a charter that authorizes issuance of 15,000 shares of $100 par value preferred stock and 40,000 shares of no-par common stock.

  What is the amount of cash received

Martinez returns merchandise worth $1500 to Blue. On January 24, payment is received from Martinez for the balance due. What is the amount of cash received

  Prepare the journal entry to reflect the initial investment

Santana Rey created Business Solutions on October 1, 2019. Prepare the journal entry to reflect the initial $86,000 investment under each of the options

  What is the cost savings for choosing the cheaper option

If the requirement is 4,500 units, is it more cost-effective for the firm to buy or make the components? What is the cost savings for choosing the cheaper?

Free Assignment Quote

Assured A++ Grade

Get guaranteed satisfaction & time on delivery in every assignment order you paid with us! We ensure premium quality solution document along with free turntin report!

All rights reserved! Copyrights ©2019-2020 ExpertsMind IT Educational Pvt Ltd