Final Exam Solved Essay

Hahn Company uses the component of gross sales method for recording bad debts write down. For the year, bullion sales are $300,000 and credit penetration sales are $1,200,000. Management estimates that 1% is the sales percentage to use. What adjusting entry will Hahn Company make to record the bad debts expense? 2) utilise the percentage of receivables method for recording bad debts expense, estimated uncollectible accounts are $15,000. If the equilibrize of the Allowance for Doubtful Accounts is $3,000 credit before adjustment, what is the amount of bad debts expense for that period? 3) Intangible assets.Intangible assets are the rights and privileges that result from ownership of lasting assets that 5) The book order of an asset is equal to the 6) Gains on an exchange of be assets that has commercial substance are 7) Ordinary repairs are expenditures to maintain the ope grade efficiency of a plant asset and are referred to as 8) cost incurred to increase the operating e fficiency or useful life of a plant asset are referred to as 9) When an interest-bearing label matures, the residue in the Notes Payable account is 10) The interest charged on a $200,000 note payable, at a rate of 6%, on a 2-month note would be.If a potbelly stove issued $3,000,000 in alliances which pay 10% annual interest, what is the annual net cash cost of this borrowing if the income tax rate is 30%? 12) Hilton Company issued a four-year interest-bearing note payable for $300,000 on January 1, 2011. Each January the company is required to pay $75,000 on the note. How will this note be reported on the declination 31, 2012 balance sheet? 13) A corporation issued $600,000, 10%, 5-year bonds on January 1, 2011 for 648,666, which reflects an effective-interest rate of 8%. Interest is pay semiannually on January 1 and July 1.If the corporation uses the effective-interest method of amortization of bond premium, the amount of bond interest expense to be recognized on July 1, 201 1, is 14) When the effective-interest method of bond discount amortization is used 15) If a corporation has only one class of stock, it is referred to as 16) Capital stock to which the call for has assigned a value per share is called 17) ABC, Inc. has 1,000 shares of 5%, $100 equivalence value, cumulative favourite(a) stock and 50,000 shares of $1 equation value super acid stock outstanding at December 31, 2011. What is the annual dividend on the preferred stock? 18) Manner, Inc.Has 5,000 shares of 5%, $100 par value, noncumulative preferred stock and 20,000 shares of $1 par value common stock outstanding at December 31, 2011. There were no dividends declared in 2010. The board of developors declares and pays a $45,000 dividend in 2011. What is the amount of dividends received by the common stockholders in 2011? 19) When the selling harm of treasury stock is greater than its cost, the company credits the difference to 21) fen Company has other operating expenses of $240,000. There has been an increase in prepaid expenses of $16,000 during the year, and accrued liabilities are $24,000 lower than in the prior period.Using the direct method of reporting cash flows from operating activities, what were Marshs cash payments for operating expenses? 22) Where would the event purchased land for cash appear, if at all, on the mediate statement of cash flows? 23) In performing a vertical analysis, the flooring for cost of goods sold is 24) Blanco, Inc. has the pursuance income statement (in millions) Using vertical analysis, what percentage is assigned to Net Income? 25) Dawson Company issued 500 shares of no-par common stock for $4,500. Which of the following journal entries would be made if the stock has a stated value of $2 per share?Andrews, Inc. paid $45,000 to buy back 9,000 shares of its $1 par value common stock. This stock was sold later at a selling price of $6 per share. The entry to record the sale includes a 27) Which of the following is a fundame ntal factor in having an effective, ethical incarnate culture? 28) Two individuals at a retail store track down the same cash register. You evaluate this situation as 29) The Sarbanes-Oxley Act impose which new penalty for executives? 30) The Sarbanes-Oxley Act requires that all publicly traded companies maintain a system of internal controls. Internal controls can be defined as a plan to