The writer is very fast, professional and responded to the review request fast also. Thank you.
Presentation/PPT
27/08/2022
E13-16B (Financial Statement Impact of Liability Transactions) Presented below is a list of possible transactions.
1. Accrued accumulated vacation pay.
2. Recorded sales of product and related warranties (assume sales warranty approach).
3. Recorded estimated liability for premium claims outstanding.
4. Borrowed $200,000 from the bank by signing a 1-year, $220,000, zero-interest-bearing note.
5. Recognized 3 months’ interest expense on the note from item 4 above.
6. Accrued warranty expense (assume expense warranty approach).
7. Issued an $55,000 note payable in payment on account.
8. Recorded accrued interest on a $55,000 note payable.
9. Paid warranty costs that were accrued in item 6 above.
10. Recorded a contingent loss on a lawsuit that the company will probably lose.
11. Recognized warranty revenue (see item 2).
12. Purchased inventory for $120,000 on account (assume perpetual system is used).
13. Paid warranty costs under contracts from item 2.
14. Recorded employer’s payroll taxes.
15. Recorded an asset retirement obligation.
16. Recorded wage expense of $12,000. The cash paid was $9,000; the difference was due to various
amounts withheld.
17. Recorded bonuses due to employees.
18. Recorded cash sales of $26,000, plus 5% sales tax.
Instructions
Set up a table using the format shown below and analyze the effect of the 18 transactions on the financial statement categories indicated.
# Assets Liabilities Owners’ Equity Net Income
1
Use the following code:
I: Increase D: Decrease NE: No net effect
The writer is very fast, professional and responded to the review request fast also. Thank you.
Delivering a high-quality product at a reasonable price is not enough anymore.
That’s why we have developed 5 beneficial guarantees that will make your experience with our service enjoyable, easy, and safe.
You have to be 100% sure of the quality of your product to give a money-back guarantee. This describes us perfectly. Make sure that this guarantee is totally transparent.
Read moreEach paper is composed from scratch, according to your instructions. It is then checked by our plagiarism-detection software. There is no gap where plagiarism could squeeze in.
Read moreThanks to our free revisions, there is no way for you to be unsatisfied. We will work on your paper until you are completely happy with the result.
Read moreYour email is safe, as we store it according to international data protection rules. Your bank details are secure, as we use only reliable payment systems.
Read moreBy sending us your money, you buy the service we provide. Check out our terms and conditions if you prefer business talks to be laid out in official language.
Read more