User Account

All Pages

Prepare the necessary year-end adjusting entries as of dec

Assignment Help Financial Accounting
Reference no: EM132493676

The December 31, 2019, trial balance of Highlighter Inc. included the following selected accounts:

Accounts receivable $176,000

Unearned service revenue 24,000

Prepaid insurance 36,000

Equipment 280,000

Accumulated depreciation-equipment 30,000

Salary expense 130,000

Additional data:

  • One-third of the revenue received in advance (unearned service revenue) has been earned by December 31, 2019.
  1. The prepaid insurance represents the annual premium on a policy providing coverage starting September 1, 2019. No insurance expense has been recorded to date.
  2. Since the last payday, employees have earned an additional $2,500 which has not yet been paid or recorded.
  3. The equipment has an estimated life of 10 years and no expected value at the end of its life.
  4. Services performed but un-billed and uncollected at year end amount to $6,500.

Required

Question 1: Prepare the necessary year-end adjusting entries as of December 31, 2019. Show all calculations, if any.

Reference no: EM132493676

Questions Cloud

What is the amount of Liverpools gain on disposal : The fair value of the machinery at the date of sale was $19,000. What is the amount of Liverpool's gain/loss on disposal
Explain the treatment of both of the payments in the books : Explain the treatment of both of these payments in the books and disclosures in the financial statements, as on 31st March 2020
What is the total value assigned to the new piece : The new piece of equipment is expected to have a 10 year life and a salvage value of $15,000. What is the total value assigned to the new piece of equipment
Explain why both nations with high living standards : Explain why both nations with high living standards and nations with low living standards face the problem of scarcity. If you won $1 million in a lottery
Prepare the necessary year-end adjusting entries as of dec : Prepare the necessary year-end adjusting entries as of December 31, 2019. Show all calculations, if any. The December 31, 2019, trial balance of Highlighter Inc
Find the amount of depletion that should be recorded : In 2018, Frederick extracted and sold 125,000 tons of ore. Find the amount of depletion that should be recorded? Round total the nearest whole dollar
Consider a directed graph g : Consider a directed graph G. Does every Depth First Search of G (regardless of the order in which the vertices of G are examined, alphabetical or not)
What is the salerno company current stock price : What is the Salerno company current stock price? The Salerno Company's last dividend was $1.70. Its dividend growth rate is expected to be constant at 25%
How much should be recorded as Goodwill : Accounts Receivable assumed by buyer $135,000. Using this information, how much should be recorded as Goodwill for this transaction

Reviews

Write a Review

Financial Accounting Questions & Answers

  Determining acquisition cost for an asset acquired

Determining Acquisition Cost for an Asset Acquired in Exchange fora Note Payable. Assume that spring. field Foods, Inc. a custom-made refrigeration system by issuing a SI.500,000,10-year non-interest- acquired bearing note payable at a time when the ..

  Tara receives all of stock in black corporation

In return for these transfers, Tara receives all of stock in Black Corporation. Which is correct?

  What is the companys total debt

What is the company's total debt? -  What is the amount of total liabilities and equity that appears on the firm's balance sheet?

  Post the given entries to the accounts receivable t-account

Start with an accounts receivable balance of $435,000 and post the above entries to the Accounts Receivable T-Account.

  What is the after tax cost of this debt

A $1,000 par value bond has 7 years to maturity. The bond pays $60 a year in interest and is selling for $900. Given a 30% tax bracket, what is the after tax cost of this debt?

  Determine dawsons net income for 2014

Presented below is selected information related to the financial instruments of Dawson Company at December 31, 2014.

  Computing financial accounting and managerial accounting

What are the differences and similarities between financial accounting and managerial accounting? Which may be more useful in your current or future job?

  No salvage value

On December 31, 2014, Powers sold an administrative building (depreciation expense goes to operating expense) to Sculley at a gain of $10,000. During 2015, the building was used by Sculley. Depreciation is being computed using the straight-line metho..

  Bing leasing inc agrees to lease equipment to boyd inc on

bing leasing inc. agrees to lease equipment to boyd inc. on 1st january 2012. they agree on the subsequent terms.1 the

  Average number of common shares

When computing diluted earnings per share, the weighted average number of common shares outstanding will increase

  Delivery vehicles and became self-insured for these risks

Alex Rodriguez, a publishing Company, is preparing its Dec. 31, 2008, financial statements and must determine the proper accounting treatment for the following situations. A. Rodriguez sells subscriptions to several magazines for a 1-year, 2-year, or..

  Treated as ordinary income

Bourne Guitars, a corporation, reported a $157,000 net §1231 gain for year 6. Assuming Bourne reported $50,000 of nonrecaptured net §1231 losses during years 1–5, what amount of Bourne’s net §1231 gain for year 6, if any, is treated as ordinary incom..

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!

Submit Assignment

Academics

Major Subjects

Majors

Get In Touch

whatsapp: +1-415-670-9521

Phone: +1-415-670-9521

Email: [email protected]

TERMS & POLICIES

HELP & SUPPORT

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