Chapter 10

# Chapter 10 - Chapter 10 EXERCISE 10-1(1520 minutes Land...

This preview shows pages 1–3. Sign up to view the full content.

Chapter 10 EXERCISE 10-1 (15–20 minutes) Item Land Land Improvements Building Other Accounts (a) (\$275,000) Notes Payable (b) \$275,000 (c) \$ 10,000 (d) 7,000 (e) 6,000 (f) (1,000) (g) 25,000 (h) 250,000 (i) 9,000 (j) \$ 4,000 (k) 11,000 (l) (5,000) (m) 13,000 (n) 19,000 (o) 14,000 (p) 3,000 EXERCISE 10-3 (10–15 minutes) 1. Truck #1. ............................................................... 13,900 Cash. ........................................................... 13,900 2. Truck #2. ............................................................... 18,364* Discount on Notes Payable. ............................... 1,636 Cash. ........................................................... 2,000 Notes Payable. ........................................... 18,000 *PV of \$18,000 @ 10% for 1 year = \$18,000 X .90909 = \$16,364 \$16,364 + \$2,000 = \$18,364 3. Truck #3. ............................................................... 15,200 Cost of Goods Sold. ............................................ 12,000

This preview has intentionally blurred sections. Sign up to view the full version.

View Full Document
.................................................... 12,000 Sales. ........................................................... 15,200 [Note to instructor : The selling (retail) price of the computer system appears to be a better gauge of the fair value of the consideration given than is the list price of the truck as a gauge of the fair value of the consideration received (truck). Vehicles are very often sold at a price below the list price.] 4. Truck #4. ............................................................... 13,000 Common Stock. .......................................... 10,000
This is the end of the preview. Sign up to access the rest of the document.

## This note was uploaded on 03/10/2010 for the course ACCTG 100B taught by Professor Tu during the Fall '09 term at Golden Gate.

### Page1 / 7

Chapter 10 - Chapter 10 EXERCISE 10-1(1520 minutes Land...

This preview shows document pages 1 - 3. Sign up to view the full document.

View Full Document
Ask a homework question - tutors are online