Record the transaction, Record the transaction: A company

Record the transaction

Assignment Help Financial Management

Reference no: EM131973836

Record the transaction:

1. A company issues common stock for $29,000 cash.

2. A company purchases new equipment for $90,000 cash on August 1, 2018. At the time of purchase, the equipment is expected to be used in operations for four years (48 months) and have no resale or scrap value at the end. The company depreciates the equipment evenly over the 48 months ($1,875/month).

3. A company receives a $800 utility bill for the current month but does not plan to pay the bill until early next month. Record the receipt of the utility bill using (a) accrual-basis accounting and (b) cash-basis accounting.

4. A company pays $1,900 cash to employees for work performed during the month. Record the payment using (a) accrual-basis accounting and (b) cash-basis accounting

5. A company borrows $40,000 with 8% interest on October 1, 2018. This amount plus interest is due on September 30, 2019.

6. A company lends $45,000 with 9% interest on May 1, 2018. This amount plus interest is due on April 30, 2019.

Reference no: EM131973836

Questions Cloud

Statements are about variable life insurance : The following statements are about variable life insurance. Select the answer choice containing the correct statement.

What are the total costs of delivering the style a shades : How many Style C shades can be loaded into a 40-foot container? What are the total costs of delivering the Style A shades to the Port of Shanghai?

Assess outcomes against plans and standards : Develop measures and assess outcomes against plans and standards to improve organizational effectiveness. Identify the essential characteristics of decision.

At what interest rate would this be fair deal : At what interest rate would this be a fair deal?

Record the transaction : Record the transaction: A company issues common stock for $29,000 cash.

To what profitability index does this? correspond : At what cost of expanding would there be no difference between expanding now and? waiting? To what profitability index does this? correspond?

Characteristics of a patent-copyright and trademark : What are the characteristics of a patent, copyright, and trademark? What are the advantages and disadvantages of each?

Develop a brief synthesis and summary of the two articles : Develop a brief synthesis and summary of the two articles. How are the topics of the two articles related? What information was relevant and why?

Identify three traits of successful entrepreneurs : Based on course readings, identify three traits of successful entrepreneurs. How do these traits correlate with being a successful entrepreneur?

User Account

All Pages