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Question: 3 Prepare Bank reconciliation report and journalize the necessary adjustments as of March 31s, 2021 for Company A; its bank statement for March shows
Question: 3 Prepare Bank reconciliation report and journalize the necessary adjustments as of March 31s, 2021 for Company A; its bank statement for March shows the following data: $15,650 Balance March 1 Debit memorandum: NSF check Balance March 31 $17,580 Credit memorandum: Collection of note receivable $605 $275 The cash balance per books at March 31st is $16,319. Other relevant data are given below: 1. The NSF check was from a customer, 2. The note collected by the bank was a $600, 3 month, 12% note. The bank charged a $13 collection fee. No interest has been accrued. 3. Outstanding checks at March 31st total $2460. 4. Deposits in transit at March 31total $1802. 5. A check for $552, dated March 10, cleared the bank on March 25, was recorded by the company for a payment on account, for $525. 6. Bank has by mistake credited $300 in Company's account which belongs to another company. Question: 4 The December 31, 2020 balance of Mohammad Com had Accounts Receivable of $400,000 and a credit balance in Allowance for Doubtful Accounts of $32,000. During 2021, the following transactions occurred: (a) sales on account $1,500,000; (b) sales return and allowances $50,000 (C) collection from customers $1,250,000; (d) accounts written off $36,000; (e) previously written off accounts of $6,000 were collected. Instructions: (1) Journalize the 2021 transaction (2) If the company uses percentage --of-sales basis to estimate bad debt expense and anticipates 3% of net sales to be uncollectable, what is the adjusting entry at December 31, 2021. Question: 5 On June 1, 2021, Tesla company purchased a machine for use in its production process. Information concerning the machine is summarized as follows. Tesla's reporting period is from January 1 to December 31. Cost $210,000 Salvage Value $20,000 Useful Life in Years 5 Required a) Prepare depreciation schedule under the declining balance method. The company uses the double declining rate. b) Straight-line method i. Calculate the amount of accumulated depreciation at December 31, 2022. ii. Suppose the machine was sold for $150,000 on January 01, 2023. Prepare the journal entry for the sale of the machine. iii. In 2023, the company determined that the total estimated life should be 8 years with a salvage value of $10,000. Calculate the depreciation expense for 2023
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