User Account

All Pages

Prepare the journal entries for all the related transaction

Assignment Help Financial Accounting
Reference no: EM13948523

Prepare the journal entries for all the following related transaction (all occurring within the current year). Assume all depletion and amortization for the full year. Also, assume all purchases were made with cash.

A. An exploration company purchased land with a valuable ore deposit

Estimated ore available in the deposit (in tons)      4,700,000

Acquisition price                                               $3,500,000

Residual value of land once ore is fully depleted       $500,000

Ore removed in the current year (in tons)               365,000

B. The exploration company developed a high-speed drill to use in its explorations.

Economic life of the drill (in years)                             5

Costs incurred in the current year to develop the drill      $550,000

Attorney fees incurred to protect the patient             $15,000

C. The exploration company purchased Gosh en Hole Company

Acquisition price              $3,250,600

Book Value of Gosh en Hole Company   $2,415,960

Reference no: EM13948523

Questions Cloud

Summary of the payroll : The summary of the payroll for the monthly pay period ending July 15 indicated
Journalize the entry to record the sale : journalize the entry to record the sale. Refer to the Chart of Accounts for exact wording of account titles.
Appointed auditor for gibbs manufacturing company : As a recently appointed auditor for Gibbs Manufacturing Co., the Manager of the audit, asked you to examine selected accounts before issue the financial statement of 12/31/10, to be audited.
Colicchio corporation acquired two inventory : Colicchio Corporation acquired two inventory items at a lump-sum cost of $60,000. The acquisition included 3,000 units of knife X001, and 3,000 units of knife X002. X001 normally sells for $20 per unit, and X002 for $10 per unit.
Prepare the journal entries for all the related transaction : Prepare the journal entries for all the  related transaction.
Prepare a bank reconciliation : Prepare a bank reconciliation at October 31, 2007, and journal entries. Identify the items above that will require journal entries in the accounting records. Circle the corresponding number.
Summarize the events : Summarize the events of a recent of a well known accounting scandal. Identify how the illegal or unethical act was detected and describe the punishments that resulted.
Amount of gross profit : The acquisition included 3,000 units of knife X001, and 3,000 units of knife X002. X001 normally sells for $20 per unit, and X002 for $10 per unit. If Colicchio sells 1,000 units of X002, what amount of gross profit should it recognize
Deducted in computing the cost : Deducted in computing the cost-to-retail ratio.  Employee discounts.Abnormal shortages.Sales returns.

Reviews

Write a Review

Financial Accounting Questions & Answers

  The may 31 20xx post-closing trial balance for the lampl

the may 31 20xx post-closing trial balance for the lampl accounting firm appears below.during june the firm engaged in

  Determine shadees budgeted cost of closures

Each visor requires a total of $4.00 in direct materials that includes an adjustable closure that the company purchases from a supplier at a cost of $1.50 each. Shadee wants to have 30 closures on hand on May 1, 20 closures on May 31, and 25 closures..

  What is the net present value of the investment of machine

A company is considering the purchase of a new machine that will cost the company $30,000 and will be worth zero at the end of 3 years. Their current tax rate is 20% and they will depreciate the machine $10,000 over the next 3 years. The cost of capi..

  What journal entry is sent from the process receive payment

What journal entry is sent to GL from the process "compare receiving report and purchase order"? What journal entry is sent from the process "receive payment"?

  Create normal costing journal entries

Create normal costing journal entries for each of the subsequent events. You will also need the subsequent information: Overhead was evaluated at $50,000 for the year and direct labor hours

  Common stock shareholders get the cash dividend

If a corporation has dividends in arrears on non-cumulative preferred stock ($15,000 per year), and declares $40,000 of dividends during the current (second) year, how much will be paid to the common shareholders? Common stock shareholders get the ca..

  Determine amount of morley itemized deduction

During the year, Morley, a single taxpayer, had an AGI of $30,000 before considering the following items: Determine amount of Morley itemized deduction

  Interest rate on capital investment

The Red and Blue partnership has been created to operate a law firm. The partners have been attempting to devise a fair system to allocate profits and losses. Red plans to work more billable hours each year than Blue. However, Blue has more experienc..

  Determine the inventory balances at the end of first month

Prepare the March income statement for Gantt Manufacturing company. Determine the inventory balances at the end of the first month of operations.

  Computation of total cash

Computation of total cash received from the selling of merchandise - What was the total cash received from second during July

  Journalize all september entries using allowance method

What amount of uncollectible account expense would Daisy report on its September income statement under each of the two methods? Which amount better matches expense with revenue? Give your reason.

  Why is the capital expenditure budgeting process important

Why is the capital expenditure budgeting process important? What concepts should be considered when evaluating a capital expenditure? What do you feel is the most important factor when considering a capital expenditure proposal?

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