Interest Expense usually appears on the income statement as a nonoperating expense. True
Notes payable due within one year are usually shown in the Current Liabilities section of the balance sheet
The entry to record the collection of th
1. Find the due date of each of the following notes
A note dated June 12, 2013, due in 120 days: October 10, 2013
A note dated November 1, 2013, due two years from that date: November 1,
A note date
Capital Assets assets that will be used by the business for a time frame longer than a year.
Long term assets have a life greater than one year and are reported below current assets on the balance sheet.
Property, Plant and Equipment buildings, equipment
Inventory costing methods and will compute inventory cost by applying four commonly used methods.
Compare the different methods.
o Assigning an appropriate value to inventory is very important because the valuation affects both the
Chapter 20: Corporations
Section 1: Forming a Corporation
1 Explain the characteristics of a corporation:
An artificial person in the eyes of the law
Separate legal entity, owns assets and is responsible for paying corporate liabilities
One to millions
Chapter 22: Long-Term Bonds
Section 1: Financing Through Bonds
Companies can raise capital by selling company stock.
Another popular way for a company to raise needed funds is to borrow money (notes payable, mortgage loan
and by issuing bonds).
Section 1: Accounting for Corporate Earnings
1. Estimate the federal corporate income tax and prepare related journal entries
Corporate Income Tax
o Recall that a disadvantage of the corporate form of business is that corporations must pay inc
Notes Receivable and Notes Payable
Negotiable Instrument a financial document containing a promise or order to pay, that meets all the Uniform
Commercial Code (UCC) requirements to be transferrable to another party.
UCC Requirements for Negotiability
1. Which inventory method results in the lowest cost of goods sold and highest net income in a period
of rising prices? First in, first out
2. A seller of recreational vehicles (RVs) wants to keep track of the actual cost of each item sold. Which
Print Assignment: Ch 1 HW F2F :false
1 of 5
Match each word or phrase with the best description of it.
An expression about whether financial statements conform with
Worlds Best Consulting
Fan Company A Management
October 21, 2014
Depreciation Method Recommendation
Fan Company A
Recommended Depreciation Me
I have computed the value of your ending inventory using the following methods:
Due to different account methods, (Accrual vs Cash) and different reporting guidelines between the IRS and
GAAP, it is very important to reconcile Book income and taxable income. Missing the step of reconciling the Boo
A1. The recommended filing status is Married Filing Jointly. Married filing separately has higher tax rates and less
exclusions, deductions and credits. We will go in my detail in the next section.
A2a. All of the following items