User Account

All Pages

Use the installment sales method of accounting

Assignment Help Financial Accounting
Reference no: EM13504967

Charter Corporation, which began business in 2011, appropriately uses the installment sales method of accounting for its installment sales. The following data were obtained for sales during 2011 and 2012:

 

                                                                                                                        2011                   2012

 

 Installment sales                                                                                               $ 360,000            $ 350,000

Cost of installment sales                                                                                      234,000               245,000

 Cash collections on installment sales during:

                2011                                                                                                 150,000               100,000

                2012                                                                                                        _                  120,000

 

Required:

Prepare summary journal entries for 2011 and 2012 to account for the installment sales and cash collections. The company uses the perpetual inventory system.

 

Reference no: EM13504967

Questions Cloud

Explain what is the molar mass of toluene : What is the molar mass of toluene if 0.85 g of toleune depresses the freezing point of 100 g of benzene by 0.47 degrees C Kf of benzene is 5.12 degrees C/m.
Determine the amount of gross profit or loss to recognize : Determine the amount of gross profit or loss to be recognized in each of the three years using the percentage- of-completion method.
Explain what net torque must be applied to bring it to rest : A disk has a moment of inertia 3.0 x 10-4 kg. m2 and rotates with an angular speedof 3.5 rad/sec. What net torque must be applied to bring it to rest within 3 s
Formulas of computing the variance analysis : Explain the concept behind the formulas of computing the variance analysis of direct materials, direct labor and factory overhead
Use the installment sales method of accounting : Prepare summary journal entries for 2011 and 2012 to account for the installment sales and cash collections. The company uses the perpetual inventory system.
Provide the assertions at risk for each account balance : Identify three account balances which are at risk of misstatement and identify two internal control weaknesses relating to each account balance identified
Identify the appropriate reporting treatment : Indicate whether each situation would be included in the income statement in continuing operations (CO) or below continuing operations (BC), or if it would appear as an adjustment to retained earnings (RE).
Analyze each transaction and classify each as a financing : Prepare a statement of cash flows, using the direct method to present cash flows from operating activities. Assume the cash balance at the beginning of the month was $40.000.
What is the component of the winds velocity to the north : Bill is flying an airplane with air speed 30.0 m/s. going south. Mike is on the ground and sees the plane traveling 25.0 m/s, 15 degrees east of south. What is the component of the wind's velocity to the north

Reviews

Write a Review

Financial Accounting Questions & Answers

  Organize journal entries to record the transactions

Organize journal entries to record the transactions. Purpose adjusting entries on December 31 to record accrued interest (daily interest is evaluated utilizing the 360 day method).

  Accounts associated with costs of plants1 a plant asset

accounts associated with costs of plants1. a plant asset with a five-year estimated useful life and no residual value

  A friend of yours works at a large corporation and listens

a friend of yours works at a large corporation and listens to the stock reports regularly. your friend asks you i

  What total amount of expenses relating to these two items

What total amount of expenses relating to these two items should Philo report in its quarterly income statement for the three months ended June 30?

  Chatter corporation operates in an industry that has a high

chatter corporation operates in an industry that has a high rate of bad debts. before any year-end adjustments the

  Calculate the amount of realized gross profit

State where the balance of Deferred Gross Profit would be reported on the financial statements for 2011. Calculate the amount of realized gross profit to be recognized on the income statement, prepared using the cost-recovery method.

  Illustrate what is the conversion cost per equivalent unit

Fifty-four thousand units were transferred out of the department and the ending inventory consisted of 2,500 units that are 20% complete with respect to conversion. Illustrate what is the conversion cost per equivalent unit?

  Investment analysis and calculation of return on

investment analysis and calculation of return on equity.1.nbspsuppose you borrowed 25000 at a rate of 8 and must repay

  Supported by favorable economic conditions

For advancements in basic science,to translate into improvements in standards of living, they must e supported by favorable economic conditions

  Difference between gaap used in financial statements and

difference between gaap used in financial statements and government regulation.generally accepted accounting principles

  Prepare the bank reconciliation for the avisa company

Prepare the November Bank Reconciliation for the Avisa Company - Included with the bank statement was a debit memorandum in the amount of $25 for bank service charges. It has not been recorded on the company's books.

  Sinking fund payments for issue of debenturescarter

sinking fund payments for issue of debenturescarter manufacturing company has outstanding an issue of 9 percent

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