***PLEASE ONLY ANSWER IF YOU ARE SURE, THANKS 34-The proper journal entry to pur

Question

***PLEASE ONLY ANSWER IF YOU ARE SURE, THANKS

34-The proper journal entry to purchase a computer costing $975 on account on January 2 to be utilized within the business would be:

a.   JAN 2  Office Equipment                        975

                        Accounts Payable                  975     

b. JAN 2    Office Supplies                 975

                            Accounts Receivable               975           

c. JAN 2      Office Equipment           975

                        Accounts Receivable             975

            

d. JAN 2       Office Supplies              975

                        Accounts Payable                  975

37- The following units of an inventory item were available for sale during the year:

Beginning Inventory                        10 units at $55

First Purchase                                  25 units at 60

Second Purchase                            30 units at 65

Third Purchase                                 15 units at 70

The firm uses the periodic inventory system. During the year, 60 units of the item were sold.

The value of ending inventory using LIFO is:

a. $1,150        

b. $1,375        

c. $1,350         

d. $1,250

38- The Weber Company purchased a mining site for $1,750,000 on July 1, 2014. The company expects to mine ore for the next 10 years and anticipates that a total of 400,000 tons will be recovered. The estimated residual value of the property is $150,000. During 2014 the company extracted 6,500 tons of ore. The depletion expense for 2014 is

a. $26,000      

b. $17,500      

c. $15,000      

d. $16,000

40- Tanning Company analyzes its receivables to estimate bad debt expense. The accounts receivable balance is $390,000 and credit sales are $1,300,000. An aging of accounts receivable shows that approximately 5% of the outstanding receivables will be uncollectible. What adjusting entry will Tanning Company make if the Allowance for Doubtful Accounts has a credit balance of $2,500 before adjustment?

a. Bad Debt Expense      19500

            Allowance for doubtful accounts       19500

b. Bad Debt Expense                        22000

            Allowance for doubtful accounts        22000

            

c. Bad Debt Expense             65000

            Allowance for doubtful accounts        65000

                        

d. Bad Debt Expense                        17000

            Allowance for doubtful accounts        17000

43- Which of the following measures the relationship between cost of merchandise sold and the amount of inventory carried during the period?

a. Retail method of inventory costing         

b. Fixed asset turnover         

c. Inventory turnover           

d. Gross profit method of inventory costing

45- A voucher is usually supported by

a. a receiving report.

b. a purchase order.  

c. a supplier's invoice.           

d. all of these choices are correct.

46- A building with an appraisal value of $154,000 is made available at an offer price of $172,000. The purchaser acquires the property for $40,000 in cash, a 90-day note payable for $45,000, and a mortgage amounting to $75,000. The cost basis recorded in the buyer's accounting records to recognize this purchase is

a. $160,000    

b. $172,000   

c. $154,000    

d. $120,000

48- A $100 petty cash fund contains $91 in petty cash receipts, and $4.75 in currency and coins. The journal entry to record the replenishment of the fund would include a

a. credit to Cash for $90.      

b. credit to Cash Short and Over for $4.25.            

c. credit to Petty Cash for $95.75.   

d. debit to Cash Short and Over for $4.25.

49- An aging of a company's accounts receivable indicates that estimate of the uncollectible accounts totals $4,000. If Allowance for Doubtful Accounts has a $800 credit balance, the adjustment to record the bad debt expense for the period will require a

a. credit to Allowance for Doubtful Accounts for $4,000.

b. debit to Bad Debt Expense for $3,200.  

c. debit to Allowance for Doubtful Accounts for $4,000.   

d. debit to Allowance for Doubtful Accounts for $3,200.

The proper journal entry to purchase a computer costing $975 on account on January 2 to be utilized within the business would be:

Explanation / Answer

Hi,

Please find the answers as follows:

1) JAN 2 Office Equipment 975

Accounts Payable 975

2) 1150 (10*55 + 10*60)

3) (1750000 - 150000)*6500/400000 = 26000

4) Bad Debt Expense 17000

Allowance for doubtful accounts 17000

5) Inventory turnover

6) All of these choices are correct

7) 160000 (40000 + 45000 + 75000)

8) Debit to Cash Short and Over for $4.25 (100 - 91 - 4.75)

9) Debit to Bad Debt Expense for $3,200 (4000 - 800)

Thanks.

Related Questions

Navigate

• Browse (All)
• Browse #
• Subjects

---

---

Integrity-first tutoring: explanations and feedback only — we do not complete graded work. Learn more.