ACC 305 Week 3 P7-10, P7-14

May 7th, 2015
Studypool Tutor
Price: $5 USD

Tutor description

ACC 305 Week 3 P7-10, P7-14

Word Count: 359
Showing Page: 1/7
P7-10 (Page 388) - Evergreen Company Evergreen Company sells lawn and garden products to wholesalers. The companys fiscal year-end is December 31. During 2011, the following transactions related to receivables occurred:Required:1.Prepare the necessary journal entries for Evergreen for each of the above dates. For transactions involving the sale of merchandise, ignore the entry for the cost of goods sold (round all calculations to the nearest dollar).2.Prepare any necessary adjusting entries at December 31, 2011. Adjusting entries are only recorded at year- end (round all calculations to the nearest dollar).3.Prepare a schedule showing the effect of the journal entries in requirements 1 and 2 on 2011 income before taxes.See Below for answers:Problem 7-10Requirement 1February 28, 2011Note receivable10,000Sales revenue10,000March 31, 2011Note receivable (face amount)8,000Discount ($8,000 x 10%)800Sales revenue (difference)7,200April 3, 2011Accounts receivable7,000Sales revenue7,000April 11, 2011Cash (98% x $7,000)$6,860Sales discounts (2% x $7,000)140Accounts receivable7,000April 17, 2011Sales returns5,000Accounts receivable5,000Inventory3,200Cost of goods sold3,200April 30, 2011Cash (99% x $50,000)49,500Loss on sale of receivables (1% x $50,000)500Accounts receivable50,000To accrue interest on note receivable for four months.June 30, 2011Interest receivable333Interest rev

Review from student

Studypool Student
" Solid work, thanks. "
Ask your homework questions. Receive quality answers!

Type your question here (or upload an image)

1826 tutors are online

Brown University

1271 Tutors

California Institute of Technology

2131 Tutors

Carnegie Mellon University

982 Tutors

Columbia University

1256 Tutors

Dartmouth University

2113 Tutors

Emory University

2279 Tutors

Harvard University

599 Tutors

Massachusetts Institute of Technology

2319 Tutors

New York University

1645 Tutors

Notre Dam University

1911 Tutors

Oklahoma University

2122 Tutors

Pennsylvania State University

932 Tutors

Princeton University

1211 Tutors

Stanford University

983 Tutors

University of California

1282 Tutors

Oxford University

123 Tutors

Yale University

2325 Tutors