Prepare the adjusting journal entries for a&o corp.

Assignment Help Financial Accounting
Reference no: EM13506667

A&O Corp. had the following selected account balances as of 12/31/2012 before adjusting entries were made.

 

Cash

$90,000

Insurance expense

18,000

Accounts receivable

16,000

Supplies

6,400

Equipment

90,000

Accumulated depreciation

28,000

Unearned advertising revenue

5,000

Salaries expense

10,000

Rent expense

18,000

A&O's accountant has provided you the following information:
1. Insurance was paid in advance on 10/1/2012 for a one year period starting 10/1/2012 and the entire amount ($18k) was recorded in the insurance expense account.
2. Supplies remaining on hand at the end of the year were $3,000.
3. Equipment was purchased on 10/1/2012 and it is being depreciated over 10 years by the straight line method. The salvage value of the equipment is $0.
4. A&O has completed 50%advertising services due to clients,whose advance cash payments were recorded above.
5. Rent ($18,000) was paid in advance on 11/30/2012, for 6 months (11/30/2012 to5/31/2013) and A&O recorded the entire amount as rent expense on that date.

Prepare the adjusting journal entries for each of the 5 items above (do not write anyexplanations). Show all supporting computations. Use the answer sheet provided.

Reference no: EM13506667

Questions Cloud

Define what is the concentration of the hcl : If 5.00 mL of HCl require 4.78 mL of 0.9581 M NaOH to just consume the HCl, what is the concentration of the HCl
Calculate the angle of refraction : A ray of light is incident on a plane surface separating two sheets of glass with refractive indexes 1.65 and 1.61. Compute the angle of refraction
Explain a hemispherical bowl of radius r : Two identical beads each have a mass m and charge q. when placed in a hemispherical bowl of radius R with frictionless, nonconducting walls, the beads move, and at equilibrium,
Prepare a multiple step income statement : Prepare a multiple step income statement. The company has 300,000 shares outstanding and a federal tax rate of 30%.
Prepare the adjusting journal entries for a&o corp. : Prepare the adjusting journal entries for each of the 5 items above - Show all supporting computations. Use the answer sheet provided.
Explain hcl disassociates completely : How much 1.0 mol/L HCL would you need to add to 1 L of an imaginary buffer of 0.10 mol/L to change the pH from 6.8 to 6.0. Neglect volumes and remember that HCL disassociates completely
What is the breakeven sales revenue : If the fixed costs are INR 1,30,000 and the sales revenue is INR 2,80,000 and the variable costs are INR 1,40,000, what is the breakeven sales revenue (BESR)?
Evaluate the molar mass of the substance : An element forms a body-centered cubic crystalline substance. the edge length of the unit cell is 287pm and the density of the crystal is 97.92 g/mL. calculate the molar mass of the substance.
Find the minimum time needed before it can come to rest : A jet plane lands with a velocity of +103 m/s and can accelerate at a maximum rate of -5.00 m/s2 as it comes to rest. find the minimum time needed before it can come to rest

Reviews

Write a Review

Financial Accounting Questions & Answers

  Determine the cash payback period for each proposal

Determine the cash payback period for each proposal. Round your answers to two decimal places, if necessary

  Illustrate what is neptune net operating profit margin

The fiscal 2009 balance sheet reports net operating assets of $5,995,633. Illustrate what is Neptune’s 2010 net operating profit margin?

  Different proposals to constrain prescription drug costs

What are the arguments for and against the different proposals to constrain prescription drug costs and Are there measures that the government could take to encourage companies to conduct research and development and still control the costs of phar..

  Calculate the non-controlling interest of demers

Find how much does Bell report as Income from Demers for the year ended 31st December, 2011 and calculate the non-controlling interest of Demers at 31st December, 2011.

  Problem on january 1 a company completed the following

problem on january 1 a company completed the following transactions.borrowed 100000 for six years. interest

  What are sec financials required to adhere to

Is this ethical? Jim is uncertain about the appropriateness of this from a legal and ethical perspective. Give your opinion and explain the ethical implications of making the purchase.

  Case for global accounting standards

"The case for global accounting standards" by Professor Ann Tarca (UWA) and analyse what the key points are of the report. Then prepare a report either supporting or challenging the position of the author.

  Income statement from a typical historic mansions tour

Depreciation of buses is due to obsolescence. Depreciation due to wear and tear is negligible and liability insurance premiums are based on the number of buses in the company's fleet.

  Decision of inclusion of transactions in the cash flow

decision of inclusion of transactions in the cash flow statement.while preparing a cash flow statement you encountered

  Illustrate what will be the effect of the lease on ltt

The office building was acquired by Lakeside at a cost of $1 million and was expected to have a useful life of 15 years with no residual value. Illustrate what will be the effect of the lease on LTT's earnings for the first year (ignore taxes)?

  Calculate the contribution margin

Quiltworks company reported actual sales of $2,000,000, and fixed costs of $450,000. The contribution margin ratio is 30%. Calculate the break even point in dollars

  Evaluate the overhead rate for each cost driver

Evaluate the overhead rate for each cost driver

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