2 questions, Accounting Basics

Assignment Help:
WHERE DO I START? I have two questions
QUESTION1

On March 31, 2010, our company, Harry Yolo, purchased a 100,000. 8% 10-year bond for 102 from Fish Gimp, due in 6 years & 8 months interet is payable semi-annually on May 1 & Sept 1. Journalize the following entries.

March 1, 2010.....The purchase of the investment. Round to accrued interest to the nearest dollar.
Mat 1, 2010.........The reciept of the semi-annual interest
Nov 1 2010 ..........The reciept of the semi-annual interest
Dec 31 2010..........The accrual of the interest. Round to the nearest dollar
Dec 31 2010..........The amoritization of the premium
Jan 1 2011.............The reversal of the accrued interest
May 1 2011.............The reciept of the semi-annual interest
Nov 1 2011.............The reciept of the semi-annual interest
Dec 31 2011...........The accrual of the interest
Dec 31 2011............The amoritization of the premium for the year
July 1 2014..............The bonds were sold for 101,750. Dont forget to first bring the amoritization up to date.

Question 2

On the basis of the following data for Branch Co. for the year ended December 31, 2011 and the preceding year. Prepare a statement of cash flow using the indirect method of reporting cash flows from operating activities. Assume that equipment costing 110,000 was purchased for cash and equuipment costing 70,000 w/ accumulated depreciation of 42,000 was sold for 20,000: that the stock was issued for cash: and that the only entries in the retaind earnings account were net income 60,600 and cash dividend declared of 18,000
.
............................................................................2011... 2010

Cash.................................................................90,800.....76,700
Trade receivable (net)......................................84,600.....95,600
Inventories... ......................................................106,500... 90,000
Equipment ..........................................................460,000....420,000
Accumulated depreciation................................. (186,500)... (192,700)
.........................................................................$ 529,500... $ 461,000
Accounts payable (merch. credit)........................ 62,800... 60,700
Cash Dividends Payable.........................................3,000....5,000
Common Stock, $10 par..........................................270,000....250,000
Paid in capital in excess of par-common stock..... 81, 000....80,000
retained earnings................................................151,500....108,900
.........................................................................$ 568,300... $ 504,600

Thank You!

Related Discussions:- 2 questions

Cash flow liquidity ratios, Liquidity refers to a company's cash position, ...

Liquidity refers to a company's cash position, availability of resources to meet short-term cash requirements, and overall ability to obtain cash in the normal course of business.

Problems: please show all calculations, Problems: Please show all calculati...

Problems: Please show all calculations. Claudette, Inc., provides warranties for many of its products. The January 1, 2014, balance of the Estimated Warranty Liability account

Define non-operating revenues, Q. Define Non-operating revenues? Non-op...

Q. Define Non-operating revenues? Non-operating revenues or other revenues and non-operating expenses or other expenses are revenues and expenses not related to the sale of pro

What is unbilled training fees, Q. What is Unbilled training fees? A co...

Q. What is Unbilled training fees? A company may possibly perform services for customers in one accounting period while it bills for the services in a different accounting peri

What are the various means of calculating depreciation, 1. Double declining...

1. Double declining method 2. Units of production method 3. Sum of year digit method 4. Straight-line method Depreciation Fund Method Insurance Method Annualy Method

What is prepaid rent explain with example, Q. What is Prepaid rent explain ...

Q. What is Prepaid rent explain with example? Prepaid rent Prepaid rent is another instance of the gradual consumption of a previously recorded asset. Suppose a company pays re

Comparability in accounting information, Q. Comparability in accounting inf...

Q. Comparability in accounting information? When comparability exists reported similarities and differences in financial information are real and not the result of differing ac

Explain what is meant by business, Business is an activity performed with t...

Business is an activity performed with the only intention of earning profit. The activity may differ according to the scope and volume.

You received an email from Carl the operations manager , You received an em...

You received an email from Carl the operations manager from the California Container division. They produce packaging for cell phones. Carl understands that his product is an imp

Can a buyer still avail the 2% discount if he/she partially, can a buyer st...

can a buyer still avail the 2% discount if he/she partially paid the accounts receivable at the 5th day and the full payment is on the 10th day of the given discount period in th

Write Your Message!

Captcha
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