We must first examine the journal entry that a company recorded during the year, before preparing an
Question:
We must first examine the journal entry that a company recorded during the year, before preparing an adjusting entry relating to any prepayment. Why is this not also the case for an adjusting entry for an accrual?
Fantastic news! We've Found the answer you've been seeking!
Step by Step Answer:
Answer rating: 55% (9 reviews)
To ensure that the adjusting entry is properly calculate...View the full answer
Answered By
Muhammad Haroon
More than 3 years experience in teaching undergraduate and graduate level courses which includes Object Oriented Programming, Data Structures, Algorithms, Database Systems, Theory of Automata, Theory of Computation, Database Administration, Web Technologies etc.
5.00+
3+ Reviews
10+ Question Solved
Related Book For
Financial Accounting Tools For Business Decision Making
ISBN: 9781119594574
8th Canadian Edition
Authors: Paul D. Kimmel, Jerry J. Weygandt, Donald E. Kieso, Barbara Trenholm, Wayne Irvine, Christopher D. Burnley
Question Posted:
Students also viewed these Business questions
-
Use the information in RE20-1. Prepare the journal entry that Keller Corporation would make each year, assuming the lease is classified as an operating lease. RE20-1 Next Level Keller Corporation...
-
Use the information in RE20-1. Prepare the journal entry that Keller Corporation would make during the first year of the lease assuming that the lease is classified as an operating lease. RE20-1...
-
Use the information in RE21-1. Prepare the journal entry that Keller Corporation would make each year assuming the lease is classified as an operating lease. In RE21-1, Keller Corporation (the...
-
Pam has a $25,900 basis (including her share of debt) in her 50 percent partnership interest in the Meddoc Partnership before receiving any distributions. This year Meddoc makes a current...
-
Explain the underlying principle for a yield maintenance charge.
-
Of the liability exposures discussed in this chapter, which do you suspect are the most frequently overlooked in programming liability insurance for business firms?
-
Beyond simply increasing revenue, what advantages might a new business benefit from thanks to early international exposure and growth? L01
-
Mark Weinstein has been working on an advanced technology in laser eye surgery. His technology will be available in the near term. He anticipates his first annual cash flow from the technology to be...
-
Alyssa is borrowing $26,000.00 from her grandparents with an interest rate of 10.60%. How much interest on interest will she accummulate in year 6
-
The sensitivity of a performance measure is the rate at which the expected value of the performance measure increases as the manager works harder. Precision, or noise, is the reciprocal of the...
-
Using the T accounts below determine: a. The cost of the supplies used during the period b. The cost paid to purchase new insurance policies during the period c. The amount of interest payable that...
-
(a) How do original transaction entries differ from adjusting journal entries? (b) How do adjusting journal entries differ from closing journal entries?
-
On June 30, 2012, Hayes Jewelers purchased inventory of $5,800 on account from Slater Diamonds, a jewelry importer. Terms were 3/15, net 45. The same day Hayes paid freight charges of $400. Upon...
-
Is there a difference between a Leader and a Manager; if yes, what and what are the differences? What is the message of the video ? https://youtu.be/TQhns5AwAkA
-
Thomas Inc. purchased 90% of Tracy Co. for $990,000 when the book value of Tracy was $1,000,000. There was no premium paid by Thomas. Tracy currently has 100,000 shares outstanding and a book value...
-
Troy Engines, Ltd., manufactures a variety of engines for use in heavy equipment. The company has always produced all of the necessary parts for its engines, including all of the carburetors. An...
-
A Community Hospital has two (2) service departments: Maintenance and Food Services. The hospital has three (3) patient care units, namely: General Medicine, OB, and Surgery. Additional information...
-
The following link is for the United States International Trade Commission database on current tariffs that the United States has in place: https://dataweb.usitc.gov/tariff/database This link is for...
-
Find the probability when (a) k = 2 and = 0.01 for Poisson distribution. (b) p = 0.01 and k = 2 for geometric distribution. (c) Repeat (b) when binomial distribution is used and n = 10.
-
The cash records of Holly Company show the following four situations. 1. The June 30 bank reconciliation indicated that deposits in transit total $720. During July, the general ledger account Cash...
-
On January 9 a company pays $6,200 for salaries, of which $1,100 was reported as Salaries and Wages Payable on December 31. Give the entry to record the payment.
-
For each of the following items before adjustment, indicate the type of adjusting entryprepaid expense, unearned revenue, accrued revenue, and accrued expense that is needed to correct the...
-
One-half of the adjusting entry is given below. Indicate the account title for the other half of the entry. (a) Salaries and Wages Expense is debited. (b) Depreciation Expense is debited. (c)...
-
Break-Even Sales and Sales to Realize Income from Operations For the current year ending October 31, Yentling Company expects fixed costs of $537,600, a unit variable cost of $50, and a unit selling...
-
You buy a stock for $35 per share. One year later you receive a dividend of $3.50 per share and sell the stock for $30 per share. What is your total rate of return on this investment? What is your...
-
Filippucci Company used a budgeted indirect-cost rate for its manufacturing operations, the amount allocated ($200,000) is different from the actual amount incurred ($225,000). Ending balances in the...
Study smarter with the SolutionInn App