Reference no: EM132948211

Questions -

Q1. On a company purchased a insurance policy for $1,800 with coverage starting immediately. If the purchase was recorded in the Prepaid Insurance account, and the company records adjustments only at year-end, the adjusting entry at the end of the first year is?

Q2. PPW Co. leased a portion of its store to Farah Company for eight months beginning on October 1, at a monthly rate of $800. The entire amount of $6,400 was received on October 1. The journal entry made by PPW Co. at year-end on December 31, end of accounting period, is?

Q3. On January 1, Southwest College received $1,200,000 in Unearned Tuition Revenue from its students for the spring semester, which covers four months beginning on January 2. What amount of tuition revenue should the college recognize on January 31, end of the monthly accounting period?

Q4. A company purchased new computers at a cost of $12,000 on September 30. The computers are estimated to have a useful life of 4 years. The company uses the straight-line method of depreciation. How much depreciation expense will be recorded for the computers for the first year ended December 31?

Q5. Alex Company rents space to a tenant for $2,200 per month, and adjusts its entry on a yearly basis. The tenant currently owes two months rent, November and December. Alex company has agreed to receive the November, December, and January rents in full on January 15 of the coming year. The adjusting entry needed by Alex Company on December 31 is?

Q6. On March 31, 2019 Phoenix, Inc. paid Melanie Publishing Company $15,480 for a 3-year advertisement. What is the amount of expense that should be recorded by Phoenix Inc for 2019 assuming a calendar reporting period?

Q7. Tamer Travel took a loan from a bank for $24,000 on August 1. Maturity of the loan is three years and its interest rate is 10%. If no adjusting entries were made till year end, the necessary entry on December 31 is?