On January 1, 2010, West Co. sold equipment for a $400,000 zero-interest-bearing note due on January 1, 2013. The prevailing rate of interest for a note of this type at January 1, 2010 was 10%. What amount of interest revenue should be included in West's 2011 income statement?

$0

$30,000

$33,000

$40,000

For the year ended December 31, 2010, Dent Co. estimated its allowance for uncollectible accounts using the year-end aging of accounts receivable. The following data are available: Allowance for uncollectible accounts, 1/1/10 $56,000 Provision for uncollectible accounts during 2010 (2% on credit sales of $2,000,000) 40,000 Uncollectible accounts written off, 11/30/10 56,000 Estimated uncollectible accounts per aging, 12/31/10 69,000 After year-end adjustment, the uncollectible accounts expense for 2010 should be $46,000

$62,000

$69,000

$59,000.

Lampard Co.'s inventory balance at December 31, 2007 was $1,500,000 before considering the following transactions: i) Goods were in transit from a vendor to Lampard on December 31, 2007. The invoice price was $70,000, and the goods were shipped f.o.b. shipping point on December 29, 2007. The goods were received on January 4, 2008. ii) Goods shipped to Lampard, f.o.b. destination on December 20, 2007, from a vendor were received on January 2, 2008. The invoice price was $50,000. In its December 31, 2007 balance sheet, Lampard should report inventory of

		$1,620,000.
		$1,570,000.
		$1,550,000.
		$1,500,000.