Categories

Site Information

 Loading... Please wait...
  • My Account
  • Gift Certificates
  • Image 1

ACCTG 305 Chapter 5 Homework

$15.00
Quantity:
The Best Essay Writing Service - EssayBox.org

Product Description

Accounting 305

Chapter 5, Homework

 

  1. Dylan Corp leases some unused warehouse space to Carter Corp for $5k/month, payable in advance.  On 8/01/2013 Dylan received $60k rent from Carter for the one year period 8/01/2013 – 7/31/2014.  Required: Determine how much of this $60k rent received by Dylan on 8/01/13 should recognize in its:

a)    income statement for the year ended 12/31/2013 as rent revenue, and 

b)    12/31/2013 balance sheet as unearned rent revenue?

 

  1. Clark Corp began operations on 1/01/14 and has a fiscal year end of 12/31.  Clark rebuilds transmissions and provides a 12 month warranty on all its work.  Clark estimates that warranty performance cost will be approximately 2% of revenue.  During 2015, Clark rebuilds transmissions and charges customers a total of $600,000.   Also during 2014, Clark performs warranty work and in doing so incurs costs totaling $5,600. 

Required:

a)    Determine the amount of warranty expense to appear in the year-end 12/31/14 income statement, and

b)    Determine the amount of estimated warranty liability to appear in the 12/31/14 balance sheet.

 

  1. Assume that on 1/01/2014 Filbeck Corp issues 4 year bonds with a face value of $5 mil and a stated interest rate of 7% with interest payable annually on 12/31 and maturing on 12/31/2017.

Required:

Provide amortization tables similar to those in Exhibit 5.1 assuming that:

a)    the market rate at issuance was 7%,

b)    the market rate at issuance was 6%,

c)    the market rate at issuance was 8%.

 

 

Product Reviews

Write Review

This product hasn't received any reviews yet. Be the first to review this product!

Find Similar Products by Category

Click the button below to add the ACCTG 305 Chapter 5 Homework to your wish list.