Prepare the journal entry for cramer

Assignment Help Accounting Basics
Reference no: EM131584626

Question - Sales with Repurchase

Cramer Corp. sells idle machinery to Enyart Company on July 1, 2014, for $40,000. Cramer agrees to repurchase this equipment from Enyart on June 30, 2015, for a price of $42,400 (an imputed interest rate of 6%).

Instructions

(a) Prepare the journal entry for Cramer for the transfer of the asset to Enyart on July 1, 2014.

(b) Prepare any other necessary journal entries for Cramer in 2014.

(c) Prepare the journal entry for Cramer when the machinery is repurchased on June 30, 2015.

Reference no: EM131584626

Questions Cloud

Financial planning or financial analysis areas : Discuss a relevant topic or issue in either the financial planning or financial analysis areas.
Why did the advertisers use the fallacy effectively : Did the advertisers use the fallacy effectively? If you were an advertiser, what would you have done differently to better use the fallacy?
Identify a publicly traded firm : Identify a publicly traded firm, provide a brief financial analysis, and identify the major stakeholders.
What do the vertices represent : What does Mei-Ting's observation tell you about the degrees of the vertices in the graph?
Prepare the journal entry for cramer : Cramer Corp. sells idle machinery to Enyart Company on July 1, 2014, for $40,000. Prepare the journal entry for Cramer for the transfer of the asset to Enyart
Peso-denominated deposits using demand and supply curves : Illustrate the initial situation in the market for peso-denominated deposits using demand and supply curves.
What are the consequences of people not being vaccinated : Are there reasons for people not being vaccinated despite of such elaborate healthcare programs? Explain.
Using equivalent annual annuity method : Mellon Corp is considering two mutually exclusive projects to boost their tourist revenue. which project should be chosen using equivalent annual annuity method
Describe graphical model in the general party case : Generalize the party to having 2n guests, each of whom is friends with at least n other guests. Describe your graphical model in this general party case.

Reviews

Write a Review

Accounting Basics Questions & Answers

  Determine inventory under fifo and lifo

Determine inventory under FIFO and LIFO and then compared the results.

  Prepare two separate lists of questions that enable you

Your team is to prepare two separate lists of questions that enable you to complete a reliable CVP analysis of this situation. One list is to be answered by the school's administration, the other by the owner of the movie theater.

  Investment account-net income

Judd, Inc., owns 35% of Cosby Corporation. During the calendar year 2010, Cosby had net earnings of $300,000 and paid dividends of $30,000. Judd mistakenly recorded these transactions using the fair value method rather than the equity method of ac..

  Crede inc has two divisions division a makes and sells

crede inc. has two divisions. division a makes and sells student desks. division b manufactures and sells reading

  How company identified in your research can use cash flow

Next, evaluate how the company identified in your research can use the cash flow statement to project efficient uses of the cash hoard it has accumulated.

  Calculate the company profit margin and interpret the resuit

Yang Company reported net income of $37,925 and net sales of $390,000 for the current year. Calculate the company's profit margin and interpret the result.

  Twisting in individual wires be maintained in utp cable

What is the problem with leaving abandoned cable in place in a building? It creates a fire hazard because of the extra combustible material.

  Assume that the total overhead cost above consists of

nova companys total overhead cost at various levels of activity are presented belowmonth machine hours overhead

  Search the internet and provide an example of a company

search the internet and provide an example of a company that is using or could use job order costing. what are the

  Journal entries for tax transactions

Prepare journal entries(excluding budgetary and closing entries) to record the following property tax related transactions in which the country engaged in 2007 and 2008.

  Overhead costs at level of activity

Trepid Manufacturing Company prepared a static budget of 40,000 direct labor hours, with estimated overhead costs of $200,000 for variable overhead and $60,000 for fixed overhead. Trepid then prepared a flexible budget at 38,000 labor hours. How m..

  Identify issues that might affect the success

Identify issues that might affect the success of your proposed intervention and explain how you would address these issues.

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