chapter 6-8

Which of the following would be subtracted from the balance per company's books?

What journal entry is necessary in the company's general ledger to record outstanding checks?

The cash account in the company's general ledger is a(n)

On a bank reconciliation, the amount of an unrecorded bank service charge should be:

Outstanding checks refer to checks that have been:

Which of the following would be added to the balance per books on a bank reconciliation?

The amount of the outstanding checks is reflected on the bank reconciliation as a(n)

adjusted cash balance

An analysis that explains differences between the checking account balance according to the depositor's records and the balance reported on the bank statement is a(n):

ABC Company made a bank deposit on April 30 that did not appear on the bank statement dated April 30, in preparing the April bank reconciliation, the company should:

Journal entries based on the bank reconciliation are necessary in the company's accounts for

During the month of July, Clanton Industries issued a check in the amount of $845 to a supplier on account. The check did not clear the bank during July. In preparing the July 31 bank reconciliation, the company should:

An analysis that accounts for any differences between the checking account balance according to the company's records and the balance reported by the bank on the bank statement is a(n):

On a bank reconciliation, the amount of an unrecorded bank service charge should be:

Mullis Company sold merchandise on account to a customer for $625, terms n/30. The journal entry to record this sale transaction would be:

On February 1, a customer's account balance of $2,300 was deemed to be uncollectible. What entry should be recorded on February 1 to record the write-off assuming the company uses the allowance method?

The maturity date

The matching principle

Salvage value is:

The relevant factors in computing depreciation do not include:

The formula to compute annual straight-line depreciation is:

The total cost of an asset less its accumulated depreciation is called:

One characteristic of plant assets is that they are:

Martinez owns machinery that cost $87,000 with accumulated depreciation of $40,000. The company sells the machinery for cash of $42,000. The journal entry to record the sale would include:

The journal entry to record depreciation is

54. The formula for depreciable cost

An asset's book value is $18,000 on December 31, Year 5. The asset has been depreciated at an annual rate of $3,000 on the straight-line method. Assuming the asset is sold on December 31, Year 5 for $15,000, the company should record:

A company discarded a computer system originally purchased for $18,000. The accumulated depreciation was $17,200. The company should recognize a(an):

Victory Company purchases office equipment at the beginning of the year at a cost of $15,000. The machine's useful life is estimated to be 7 years with a $1,000 salvage value. The journal entry to record the first year depreciation is:

A company receives a 10%, 120-day note for $1,500. The total interest due on the maturity date is:

Valley Spa purchased $7,800 in plumbing components from Tubman Co. Valley Spa Studios signed a 60-day, 10% promissory note for $7,800. If the note is dishonored, what is the journal entry to record the dishonored note?

Christian utilizes the allowance method to account for accounts to be uncollectible. Its year-end unadjusted trial balance shows Accounts Receivable of $204,500, allowance for doubtful accounts of $775 (credit) and sales of $925,000. If uncollectible accounts are estimated to be 0.5% of sales, what is the amount of the bad debts expense adjusting entry?

All sales are made on credit. Based on past experience, the company estimates that 0.6% of credit sales will not be collected. What number should be debited to Bad Debts Expense when the year-end adjusting entry is recorded?

On August 9, Massey Company receives a $8,500, 90-day, 8% note from customer Pay Sums as payment on account. What entry should be made on the date of maturity assuming the maker pays in full?

All sales are made on credit. Based on past experience, the company estimates 0.6% of credit sales to be uncollectible. What adjusting entry should the company make at the end of the current year to record its estimated bad debts expense?