Lawn Express bought a delivery truck on January 1st 2020. The following are the details: Truck cost: $70,000 Residual Value: $10,000 Useful Life years: Estimate Useful Miles: 50,000 If Lawn Express uses the straight-line method of depreciation what is the Book Value at the end of two years on December 31, 20212 5 O A 540.000 538.000 Oc506,000 $42.000 Alpaca Company borrowed $40.000 from Yellow Bank and signed a promissory note on January 1. What entry should Alpaca Company record on January 12 Cash 540,000 Notes Receivable $40,000 Accounts Payable $40,000 . Cash $40.000 Cash $40,000 . Notes Payable $40.000 Notes Payable $40,000 OD. Cash $40,000 On November 1, 2019, Mom's Burgers signed a $400,000. 6%, six-month note payable with the amount borrowed plus accrued interest due six months later on May 1, 2020. Mom's Burgers should record which of the following adjusting entries at December 31, 2019? Interest Expense $4,000 Interest Payable $4.000 Interest Expense $2.000 , Interest Payable $2.000 $4.000 Oc Interest Expense Cash $4,000 $4.000 Interest Payable OD Cash $4,000 On November 1, 2019, Bob's Burgers signed a $300,000, 6%, six-month note payable with the amount borrowed plus accrued interest due six months later on May 1, 2020. The appropriate adjusting entry was recorded on Dec 31. On May 1, 2020 while recording the journal entry for the repayment Bob's Burgers will have the following for interest payable and interest expense: Note Payable $300,000 Interest Expense $6,000 A. Interest Payable $3,000 Cash 5309,000 Note Payable $300,000 Interest Expense $6,000 Interest Payable Cash $3000 $303,000 Note Payable Interest Expense C. Interest Payable Cash $300,000 $7,500 $1,500 $309.000 Note Payable Interest Expense OD Cash 5300.000 59,000 5309,000 What is the current ratio for a company with the following information: Account Amount $70,000 Cash Accounts receivable Inventory Buildings Accounts payable Current portion of long-term debt Long-term debt $82,000 $115,000 $65,000 $71,000 $27,000 $140,000 OA 3.39 B. 2.72 O C 3.76 D. 1.39
