Answered step by step
Verified Expert Solution
Link Copied!

Question

1 Approved Answer

Saved Help Save & Exit Submit Check my work E2-2 Identifying Account Titles (LO 2-1, LO 2-2, LO 2-5) The following are independent situations. a.

image text in transcribed
image text in transcribed
image text in transcribed
image text in transcribed
image text in transcribed
image text in transcribed
image text in transcribed
Saved Help Save & Exit Submit Check my work E2-2 Identifying Account Titles (LO 2-1, LO 2-2, LO 2-5) The following are independent situations. a. A company orders and receives 10 personal computers for office use for which it signs a note promising to pay $25,000 within three months. b. A company purchases for $21,000 cash a new delivery truck that has a list (sticker") price of $24,000. c. A women's clothing retailer orders 30 new display stands for $300 each for future delivery. d. A new company is formed and issues 100 shares of stock for $12 per share to investors. e. A company purchases a piece of land for $50,000 cash. An appraiser for the buyer valued the land at $52,500. f. The owner of a local company uses a personal check to buy a $10,000 car for personal use. Answer from the company's point of view. g. A company borrows $2,000 from a local bank and signs a six-month note for the loan. h. A company pays $1,500 owed on its 10-year notes payable (ignore interest). events. Required: 1. Indicate titles of the appropriate accounts, if any, affected in each of the preceding 2-a. At what amount would you record the delivery truck in (b)? 2-b. At what amount would you record the piece of land in (e)? 2-c. What measurement principle are you applying? 3-a. What reasoning did you apply in (@? 3-b. For (1. what accounting concept did you apply? Prey 1 of 11 12 Next > SC Search or type URL Check my wol reynu. 1. Indicate titles of the appropriate accounts, if any, affected in each of the preceding events. 2-a. At what amount would you record the delivery truck in (b)? 2-b. At what amount would you record the piece of land in (e)? 2-c. What measurement principle are you applying? 3-a. What reasoning did you apply in (a? 3-b. For (1. what accounting concept did you apply? Complete this question by entering your answers in the tabs below. Reg 1 Req 2A Reg 2B Reg 2c Req 3A Req 3B Indicate titles of the appropriate accounts, if any, affected in each of the preceding events. Consider what the company gives and receives. Given Received (a) (b) (c) (d) (e) (0) (9) (h) Roq 1 Req 2A > Check my work h. A company pays $1,500 owed on its 10-year notes payable (ignore interest). Required: 1. Indicate titles of the appropriate accounts, if any, affected in each of the preceding events. 2-a. At what amount would you record the delivery truck in (b)? 2-b. At what amount would you record the piece of land in (e)? 2-c. What measurement principle are you applying? 3-a. What reasoning did you apply in (a? 3-b. For (7, what accounting concept did you apply? es Complete this question by entering your answers in the tabs below. Reg 1 Req 2A Req 2B Reg 2C Reg Req 3B At what amount would you record the delivery truck in (b)? Amount Required: 1. Indicate titles of the appropriate accounts, if any, affected in each of the preceding events. 2-a. At what amount would you record the delivery truck in (b)? 2-b. At what amount would you record the of land in (e)? 2-c. What measurement principle are you applying? 3-a. What reasoning did you apply in (a? 3-b. For (7. what accounting concept did you apply? es Complete this question by entering your answers in the tabs below. Reg 1 Req 2A Reg 2% Reg 2c Req Reg 3B At what amount would you record the piece of land in (e)? Amount ( Req 2A Req 2C> Required: 1. Indicate titles of the appropriate accounts, if any, affected in each of the preceding events. 2-a. At what amount would you record the delivery truck in (b)? 2-b. At what amount would you record the piece of land in (e)? 2-c. What measurement principle are you applying? 3-a. What reasoning did you apply in (c)? 3-b. For (). what accounting concept did you apply? Complete this question by entering your answers in the tabs below. Reg 1 Reg 2A Reg 2B Reg 20 Req Reg 3B What measurement principle are you applying? These are applications of the cost principle. These are applications of the market price principle. Prey 1 of 11 12 Next > LICH W Required: 1. Indicate titles of the appropriate accounts, if any, affected in each of the preceding events. 2-a. At what amount would you record the delivery truck in (b)? 2-b. At what amount would you record the piece of land in (e)? 2-c. What measurement principle are you applying? 3-a. What reasoning did you apply in (c? 3-b. For (7. what accounting concept did you apply? es Complete this question by entering your answers in the tabs below. Reg 1 Reg 2A Reg 2B Req 2c Req 3A Req 3B What reasoning did you apply in (c)? The agreement in (c) involves exchange of cash and goods and thus it is a transaction. The agreement in (c) involves no exchange or receipt of cash, goods, or services and thus is not a transaction. Check my work Required: 1. Indicate titles of the appropriate accounts, if any, affected in each of the preceding events. 2-a. At what amount would you record the delivery truck in (b)? 2-b. At what amount would you record the piece of land in (e)? 2-c. What measurement principle are you applying? 3-a. What reasoning did you apply in (c? 3-b. For (1. what accounting concept did you apply? Complete this question by entering your answers in the tabs below. Reg 1 Reg 2A Req 2B Req 2c Req 3A feq 38 For ( what accounting concept did you apply? Because transaction (1) occurs between the company and others, the separate entity assumption implies this transaction does affect the business Because transaction (1) occurs between the owner and others, the separate entity assumption implies this transaction does not affect the business.

Step by Step Solution

There are 3 Steps involved in it

Step: 1

blur-text-image

Get Instant Access to Expert-Tailored Solutions

See step-by-step solutions with expert insights and AI powered tools for academic success

Step: 2

blur-text-image_2

Step: 3

blur-text-image_3

Ace Your Homework with AI

Get the answers you need in no time with our AI-driven, step-by-step assistance

Get Started

Recommended Textbook for

Managerial Accounting Principles Of Accounting II

Authors: Eric W. Noreen, Peter C. Brewer, Ray H. Garrison

6th Edition

0077681258, 978-0077681258

More Books

Students also viewed these Accounting questions

Question

Why is interest in portable benefits in health care increasing?

Answered: 1 week ago