1.a

1.b

1.c

1.d

Kash Company is reviewing its December 31, 2020 unadjusted trial balance and determines that a sale in the amount of $15,000 had been incorrectly recorded as a debit to sales and a credit to accounts receivables. The correcting journal entry at December 31, 2020 is: a. Debit accounts receivables and credit sales $30,000 b. Debit accounts receivables and credit retained earnings $30,000 c. Debit retained earnings and credit sales $15,000 d. Debit accounts receivables and credit sales $15,000 Joaquim Consulting Services paid $18,000 on November 1, 2020 for a three-year insurance policy (November 1, 2020 to October 31, 2023) and recorded the entire amount as insurance expense. Joaquim's year end is November 30. Therefore, the adjustment to be recorded on November 30, 2020 would be: a. Debit insurance expense and credit prepaid insurance $500 b. Debit prepaid insurance and credit insurance expense $500 c. Debit insurance expense and credit prepaid insurance $17,500 d. Debit prepaid insurance and credit insurance expense $17,500 On September 1, 2019 Landstar Corporation borrowed $900,000 from TD Canada Trust and signed a six-month $900,000 note payable. The note bears an interest rate of 8% with interest to be paid on the first day of each succeeding month. The principal amount of $900,000 is to be repaid on the note's maturity date. If Landstar has a December 31 year- end, and assuming all interest payments have been made as scheduled under the note, the adjusting entry on December 31, 2020 would be: a. $6,000 b. $18,000 c. $24,000 d. No adjusting entry is required Andalusia Corporation operates a retail store in Juggernaut, Ontario and must determine the correct accrual to be made on December 31, 2020 for the following two items: (1) The store lease calls for fixed rent of $1,000 per month, payable at the beginning of each month, and additional rent equal to 6% of net sales over $200,000 per calendar year, payable on January 31 of the following year. Total net sales for 2020 are $800,000. The corporation owns property that is subject to a city property tax. The city of Juggernaut has a fiscal year which runs from July 1 to June 30. The property tax is assessed at 3% of property on hand as at April 30 and is payable on June 30. Andes Corporation estimates that its property tax will amount to $6,000 for the city's fiscal year ending June 30, 2021. Based upon the above information, on its December 31, 2020 Statement of Financial Position, Andalusia Corporation should report accrued expenses of: a. S36,000 b. $39.000 c. $42,000 d. $48,000