A review of the ledger of Pharoah Company at December 31, 2020, produces the following data pertaining to the preparation of annual adjusting entries.
1. Prepaid Insurance $9,670. The company has separate insurance policies on its buildings and its motor vehicles. Policy B4564 on the building was purchased on April 1, 2019, for $7,560. The policy has a term of 3 years. Policy A2958 on the vehicles was purchased on January 1, 2020,
for $4,000. This policy has a term of 2 years.
2. Unearned Rent Revenue $522,600. The company began subleasing office space in its new building on November 1. At December 31, the company had the following rental contracts that are paid in full for the entire term of the lease.
Date Term (in months) Monthly Rent Number of Leases
Nov. 1 9 $4,900 6
Dec. 1 6 $8,600 5
3. Notes Payable $128,000. This balance consists of a note for 9 months at an annual interest rate of 9%, dated November 1.
4. Salaries and Wages Payable $0. There are 9 salaried employees. Salaries are paid every Friday for the current week. 6 employees receive a salary of $750 each per week, and 3 employees earn $600 each per week. Assume December 31 is a Tuesday. Employees do not work weekends. All employees worked the last 2 days of December.
Required:
Prepare the adjusting entries at December 31, 2020. (Credit account titles are automatically indented when the amount is entered. Do not indent manually.)
Answers: 3
Other questions on the subject: Business
Business, 21.06.2019 16:30, Elenegoggg
Which economic system could be characterized by the "iron fist", meaning a central authority figure has control over most of the economy? market economy command economy traditional economy free enterprise economy
Answers: 3
Business, 22.06.2019 05:30, AjTruu2880
Laurelton heating & cooling installs and services commercial heating and cooling systems. laurelton uses job costing to calculate the cost of its jobs. overhead is allocated to each job based on the number of direct labor hours spent on that job. at the beginning of the current year, laurelton estimated that its overhead for the coming year would be $ 61 comma 500. it also anticipated using 4 comma 100 direct labor hours for the year. in april comma laurelton started and completed the following two jobs: (click the icon to view the jobs.) laurelton paid a $ 20-per-hour wage rate to the employees who worked on these two jobs. read the requirements requirement 1. what is laurelton's predetermined overhead rate based on direct labor hours? determine the formula to calculate laurelton's predetermined overhead rate based on direct labor hours, then calculate the rate. / = predetermined overhead rate
Answers: 2
Business, 22.06.2019 08:20, XAINEE
Suppose that jim plans to borrow money for an education at texas a& m university. jim will need to borrow $25,000 at the end of each year for the next five years (total=$125,000). jim wishes his parents could pay for his education but they can’t. at least, he qualifies for government loans with a reduced interest rate while he is in school. he has a special arrangement with aggiebank to lend him the money at a subsidized rate of 1% over five years without having to make a payment until the end of the fifth year. however, at the end of the fifth year, jim agrees to pay off the loan by borrowing from longhorn bank. longhorn bank will lend him the money he needs at an annual interest rate of 6%. jim agrees to pay back the longhorn bank with 20 annual payments and the payments will be uniform (equal annual payments including principal and interest). (i) calculate how much money jim has to borrow at the end of 5 years to pay off the loan with aggiebank. a. $121,336 b. $127,525 c. $125,000 d. $102,020 e. none of the above
Answers: 2
You know the right answer?
A review of the ledger of Pharoah Company at December 31, 2020, produces the following data pertaini...
Questions in other subjects:
English, 28.09.2020 14:01
Chemistry, 28.09.2020 14:01
History, 28.09.2020 14:01
Health, 28.09.2020 14:01
Mathematics, 28.09.2020 14:01
