Ex. 18-52 Permanent and reversible differences
Explain whether each of the following independent situations should be treated as a reversible
difference or a permanent difference.
1. For accounting purposes, Aye Corp. reports revenue from instalment sales
balance sheet (report form) at December 31. 5. Journalize and post the closing entries at
December 31. Denote each closing amount as Clo. and each account balance as Balance. 6.
Prepare a post-closing trial balance.
P4-39 Completing the accounting cycle f
Buster was driving behind an armored truck when suddenly the rear door
flew open a
based on which company offers more. Details of each job offer are below. annual
salary; employer provided day-care facility (employer cost per dependent is $150
? (Be sure to give the concepts that help you decide.) 11. Gretchen, 22, is a single individual
with no dependents. She recently graduated from college and has received job offers from two
firms. Gretchen likes both companies equally well and has decided
$20,000 Receivables (net of allowance for doubtful accounts) 60,000 Merchandise
inventory 190,000 Total current
assets. $270,000 Accounts payable (including
accrued operating expenses 150,000 Working capital $120,000 The bank loan
officer ask Marley to pr
following their incurrence. Merchandise inventory at the end of each
month should be sufficient to cover the following months sales.
Instructions a. Prepare a monthly cash budget showing estimated cash
receipts and cash payments for July, August, and Sept
Assume that AMI does not owe any alternative minimum tax. ? If any information
is missing, use reasonable assumptions to fill in the gaps. ? Your work should be
submitted as a PDF file using the tax software of your choosing, provided it is
attached as a