Amsterdam Company Essay Example for Free

Amsterdam familiarity Essay heading 2Presented down the stairs is nurture related to Rembrandt Inc.s stemma. (per unit)SkisBootsParkasHistorical Cost273.79152.7576.37Selling Price312.70208.95106.27Cost to distribute27.3811.533.60 present-day(prenominal) replacement terms292.52151.3173.49Normal profit margin46.1141.7930.62Determine the undermentionedQuestion 3Matlock Company uses a arrant(a) enrolment system. Its beginning stock-take consists of 67 units that make up $40 each. During June, the guild purchased 202 units at $40 each, returned 8 units for credit, and sold 168 units at $67 each. Journalize the June transactions.Question 4Amsterdam Company uses a periodic inventory system. For April, when the company sold 700 units, the following information is available. calculate the April 30 inventory and the April cost of goods sold development the average cost method.Question 5Amsterdam Company uses a periodic inventory system. For April, when the company sold 600 un its, the following information is available. reason the April 30 inventory and the April cost of goods sold using the first in first out method.Question 6(FIFO, LIFO, Average Cost Inventory)Esplanade Company was formed on December 1, 2011. The following information is available from Esplanades inventory marks for Product BAP.PurchasesUnitsUnit CostJanuary 1, 2012(beginning inventory)7628.00January 5, 20121,5249.00January 25, 20121,65110.00February 16, 20121,06111.00 evidence 26, 201276212.00A physical inventory on March 31, 2012, shows 2,032 units on hand. conjure schedules to compute the ending inventory at March 31, 2012, under each of the following inventory methods. Assume Esplanade Company uses the periodic inventory method.Question 7Floyd understructure has the following iv items in its ending inventory. Determine the final lower of cost or market inventory re entertain for each item.Question 8Kumar Inc. uses a perpetual inventory system. At January 1, 2013, inventory w as $320,786 at twain cost and market value. At December 31, 2013, the inventory was $428,714 at cost and $403,231 at market value. manipulate the necessary December 31 innovation underQuestion 9Boyne Inc. had beginning inventory of $15,000 at cost and $25,000 at retail. Net purchases were $150,000 at cost and $212,500 at retail. Net markups were $12,500 net markdowns were $8,750 and gross sales were $196,250. Compute ending inventory at cost using the conventional retail method.Question 10(Gross Profit Method)Astaire Company uses the gross profit method to estimate inventory for calendar monthly reporting purposes. Presented below is information for the month ofMay.Question 11Previn Brothers Inc. purchased come at a price of $30,400. Closing cost were $1,820. An old building was removed at a cost of $14,850. What amount should be recorded as the cost of the land?Question 12Garcia Corporation purchased a truck by issuing an $108,000, 4- yr, zero-interest-bearing spot to Equinox Inc. The market rate of interest for obligations of this nature is 10%. Prepare the journal accession to record the purchase of this truck.Question 13Mo deplete Inc. purchased land, building, and equipment from Laguna Corporation for a cash payment of $352,800. The estimated fair set of the assets are land $67,200, building $246,400, and equipment $89,600. At what amounts should each of the three assets be recorded?Question 14Fielder Company obtained land by issuing 2,000 shares of its $12 par value common stock. The land was recently appraised at $103,700. The common stock is actively traded at $50 per share. Prepare the journal accession to record the acquisition of the land.Question 15Navajo Corporation traded a used truck (cost $23,600, accumulated dispraise $21,240) for a small computer worth $4,366. Navajo also pay $1,180 in the transaction. Prepare the journal entry to record the exchange.Question 16Mehta Company traded a used welding machine (cost $10,080, accumulated derogation $3,360) for office equipment with an estimated fair value of $5,600. Mehta also paid $3,360 cash in the transaction. Prepare the journal entry to record the exchange.Question 17Depreciation is normally computed on the basis of the nearestA). full month and to the nearest dollar.B). day and to the nearest cent.C). day and to the nearest dollar.D). full month and to the nearest cent.Question 18Fernandez Corporation purchased a truck at the beginning of 2012 for $54,180. The truck is estimated to maintain a exempt value of $2,580 and a serviceable keep of 206,400 miles. It was driven 29,670 miles in 2012 and 39,990 miles in 2013. Compute depreciation disbursal for 2012 and 2013.Question 19Lockhard Company purchased machinery on January 1, 2012, for $79,200. The machinery is estimated to have a salvage value of $7,920 after a useful life of 8 years. (a) Compute 2012 depreciation expense using the double-declining balance method. (b) Compute 2012 depreciation expense usi ng the double-declining balance method assuming the machinery was purchased on October 1, 2012.Question 20Jurassic Company owns machinery that cost $1,145,700 and has accumulated depreciation of $458,280. The anticipate future net cash flows from the use of the asset are expected to be $636,500. The fair value of the equipment is $509,200. Prepare the journal entry, if any, to record the impairment exhalation.Question 21Everly Corporation acquires a coal mine at a cost of $501,600. Intangible development be score $125,400. After extraction has occurred, Everly must restore the property (estimated fair value of the obligation is $100,320), after which it can be sold for $200,640. Everly estimates that 5,016 tons of coal can be extracted. If 878 tons are extracted the first year, mug up the journal entry to record depletion.Question 22Francis Corporation purchased an asset at a cost of $58,200 on March 1, 2012. The asset has a useful life of 8 years and a salvage value of $5,820. For tax purposes, the MACRS class life is 5 years. Compute tax depreciation for each year 20122017.Question 23Celine Dion Corporation purchases a patent from Salmon Company on January 1, 2012, for $50,820. The patent has a remaining legal life of 16 years. Celine Dion feels the patent will be useful for 10 years. Prepare Celine Dions journal entries to record the purchase of the patent and 2012 amortization.Question 24Karen Austin Corporation has capitalized software costs of $768,500, and sales of this product the first year totaled $390,630. Karen Austin anticipates earning $911,470 in additional future revenues from this product, which is estimated to have an economic life of 4 years. Compute the amount of software cost amortization for the first year. (a) Compute the amount of software cost amortization for the first year using the percent of revenue approach. (b) Compute the amount of software cost amortization for the first year using the straight-line approach.Question 25Jef f Beck is a farmer who owns land which borders on the right-of-way of the Northern Railroad. On August 10, 2012, delinquent to the admitted negligence of the Railroad, hay on the farm was set on fire and burned. Beck had had a dispute with the Railroad for several years concerning the possession of a small parcel of land. The representative of the Railroad has offered to assign any rights which the Railroad may have in the land to Beck in exchange for a release of his right to reimbursement for the privation he has sustain from the fire. Beck appears inclined to accept the Railroads offer. The Railroads 2012 financial statements should include the following related to the incidentA). recognition of a loss only.B). creation of a liability only.C). disclosure in note form only.D). recognition of a loss and creation of a liability for the value of the land.Question 26Roley Corporation uses a periodic inventory system and the gross method of accounting for purchase discounts. On July 1, Roley purchased $66,000 of inventory, terms 2/10, n/30, confuse shipping point. Roley paid freight costs of $1,210. On July 3, Roley returned damaged goods and received credit of $6,600. On July 10, Roley paid for the goods. Prepare all necessary journal entries for Roley.Question 27Takemoto Corporation borrowed $93,000 on November 1, 2012, by subscribe a $95,093, 3-month, zero-interest-bearing note. Prepare Takemotos November 1, 2012, entry the December 31, 2012, annual adjusting entry and the February 1, 2013, entry. (For multiple debit/credit en tries, list amounts from largest to smallest, e.g. 10, 8, 6. Round all answers to 0 decimal places, e.g. 11,150.)Question 28Whiteside Corporation issues $629,000 of 9% bonds, due in 14 years, with interest payable semiannually. At the time of issue, the annual market rate for such(prenominal) bonds is 10%. Compute the issue price of the bonds.(Use the present value tables in the text.Question 29 atomic number 49 Jones Company enters into a 6-year lease of equipment on January 1, 2012, which requires 6 annual payments of $37,560 each, beginning January 1, 2012. In addition, the lessee guarantees a balance value of $20,870 at lease-end. The equipment has a useful life of 6 years. Assume that for Lost Ark Company, the lessor, collectibility is reasonably predictable, there are no important uncertainties concerning costs, and the carrying amount of the machinery is $191,722. Prepare Lost Arks January 1, 2012, journal entries.Question 30On January 1, 2012, Irwin Animation sold a truck to Peete Finance for $26,050 and immediately leased it back. The truck was carried on Irwins books at $20,800. The term of the lease is 5 years, and title transfers to Irwin at lease-end. The lease requires five equal rental payments of $7,048 at the end of each year. The appropriate rate of interest is 11%, and the truck has a useful life of 5 years with no salvage value. Prepare Irwins 2012 journal entries.