1 Warren Company began the accounting period with a $48.000 debit balance in its accounts receivable account. During the accounting period, the company recorded revenue on account amounting to $108,000. The accounts receivable account at the end of the accounting period contained a $24.000 debit balance. Based on this information, what is the amount of cash collected from customers during the period? Multiple Choice 390,000 o $120,000 330.000 $132.000 2 During a company's first year of operations, the asset account Office Supplies, was debited for $4,300 for the purchases of supplies. At year end, a physical count of the supplies on hand revealed that $1,825 of unused supplies were available for future use. How will the related adjusting entry affect the company's financial statements? Swood Multiple Choice Expemes will increase and assets wil decrease by $2.475 Assets and experies will both increase by 56825. sports and we will tioth increase by $2475 The related entry has no effect on net income or the accounting nation 6 Cash 5,800 The following is a random list of the adjusted account balances of Wyoming Company as of the end of the current accounting perlod: 18,100 Accounts Receivable Accounts Payable 4,800 Service Revenue 18,300 25,100 Retained Earnings 17,300 Operating Expenses 12,500 Common Stock 21,100 What is the total of the credit account balances that will be shown on the adjusted trial balance? Land Spoed Multiple Choice $60.500 562,500 501,500 543200 Kincaid Company provided consulting services of $6,000 to a customer who paid $3,100 and promised to pay the remainder next month. Which of the following journal entries correctly records this transaction? 7 Multiple Choice od Credit Debit 6,400 Account Title Consulting Nevenue Cash Accounts Receivable 3,100 Credit Account Title Canh hooants noivable Consulting Havenue Debit 3.100 3.300 6,400 Account Title Cash Consulting Revenue Debit 3,100 Credit 3,100 Credit Mecount Tic Cash Accounts Payable Conting Reven Dit 3.100 3,300 6.100 11 A transaction has been recorded in the general Journal of Manella Company as follows: Account Title Debit Credit Cash 6,000 Unearned Revenue 6.000 Which of the following could be an explanation for this transaction? Sed Multiple Choice Palash to customer where and Received coch invance to work to be performed in remonts Recorded using only for work completed Received for vices completed Darlington Company experienced the following business events during its first month of operations. The company uses the perpetual inventory system 13 1. The company purchased $13,800 of merchandise on account under terms 2/10,n/30 2) The company retumed $2,500 of merchandise to the supplier before payment was made. 3) The liability was paid within the discount period. 4) All of the merchandise purchased was sold for $21.400 cash Skod What effect win the retum of merchandise to the supplier in event (2) have on Darlington's financial statements? Multiple Choice Assets and stockholders equity decrease by $2,450 Assets and te decrease by $2.10. Met des recreme by $2.000 change action Darlington Company experienced the following business events during its first month of operations. The company uses the perpetual Inventory system. 14 The company purchased $13,100 of merchandise on account under terms 2/10, 1/30. 2) The company returned $1,800 of merchandise to the supplier before payment was made 3) The ability was paid within the discount period. 4) All of the merchandise purchased was sold for $20,000 cash. What is the gross margin that results from these four transactions? Multiple Choice $6.900 15100 o 58.920 31.074 15 Darlington Company experienced the following business events during its first month of operations. The company uses the perpetual Inventory system. 1) The company purchased $12,800 of merchandise on account under terma 4/10, 1/30 2) The company returned $1,500 of merchandise to the supplier before payment was made, 3) The liability was paid within the discount period. 4) All of the merchandise purchased was sold for $19,400 cash S2000 What is the net cash flow from operating activities as a result of the four transactions? Mittle Choice $5300 o $8.502 56.000 Assume the perpetual inventory system is used, 17 1) Green Company purchased merchandise inventory that cost $64,100 under terms of 3/10, 1/30 and FOB shipping point 2) Green Company paid freight cost of $2,410 to have the merchandise delivered. 3) Payment was made to the supplier on the inventory within 10 days 4) All of the merchandise was sold to customers for $94 200 cash and delivered under terms FOB destination with freight cost amounting to $1610 SA What is the amount of gross margin that results from these transactions? Multiple Choice O $30,413 o $92,277 $29.60 $4,257 Assume the perpetual inventory system is used 18 1) Green Company purchased merchandise inventory that cost $64,400 under terms of 2/10, 1/30 and FOB shipping point 2) Green Company paid freight cost of $2,440 to have the merchandise delivered. 3) Payment was made to the supplier on the inventory within 10 days. 4) All of the merchandise was sold to customers for $94,800 cash and delivered under terms Foe destination with freight cost amounting to $1640. spoed What is the net cash flow from operating activities that results from these transactions? Multiple Choice $93.512 inbow $27008 info $8432 outflow $30.04 now 28 The inventory records for Radford Company reflected the following: Beginning inventory # May 1 100 units @ $4.25 Pirst purchase May 7 300 units $4.65 Second purchase & May 17 500 units $4.85 Third purchase 4 May 23 100 units $5.05 Sales May 31 900 units @ $8.05 What is the amount of ending inventory assuming the FIFO cost flow method? Sed Multiple Choice $465 . $505 $425 5965 29 The inventory records for Radford Company reflected the following: Beginning inventory 8 May 1 400 units $2.40 First purchase May 7 500 units @ $2.60 Second purchase May 17 700 units $2.70 Third purchase May 23 300 units @ $2.80 Sales May 31 1,500 units $4.30 What is the amount of gross margin assuming the weighted average Inventory cost flow method? (Round your intermediate calculations to two decimal places) Sko Multiple Choice 54.200 52.250 1600 $2.505 31 Tetra Company uses the perpetual inventory system and a FIFO cost flow method On January 1, the company purchased 2.600 units of inventory that cost $5.00 each. On January 12, the company purchased an additional 3.600 units of inventory at a cost of $360 each on January 20, Tetra Company sold 4,600 units of Inventory. Which of the following entries would be required to recognize the cost of goods sold on that date? Sub Multiple Choice Mount Title Inventory Cont of goods sold Debst 20,200 Credit 20,200 Credit Account Title Coat of goods sold Inventory Debit 30.200 20.300 Credit Mit Cost of goods sold Inventory Debit 20,200 30,200 Credit Most Title Inventory cost of goods sold Debit 20.300 20.300 39 Duke Company's unadjusted bank balance at March 31 is $4,510 The bank reconciliation revealed outstanding checks amounting to $670 and deposits in transit of $500. What is the true cash balance? Spord Multiple Choice 54340 O O $4.010 15.010 $4.000 27 The inventory records for Radford Company reflected the following: Beginning inventory May 1 1,900 units $5.40 First purchase. May 7 2,000 units @ $5.60 Second purchase May 17 2,200 units $5.70 Third purchase May 23 1,800 units . $5.80 Sales May 31 6,000 units & $7.30 What is the amount of cost of goods sold assuming the LIFO cont flow method? Multiple Choice $34180 534,000 $33.600 $22.400