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Pachacha [2.7K]
1 year ago
8

Journalize the following transactions of Trapper Jon’s Productions. Assume 360 days in a year. If an amount box does not require

an entry, leave it blank.
June 23 Received a $48,000, 90-day, 8% note dated June 23 from Radon Express Co. on account.
Sept. 21 The note is dishonored by Radon Express Co.
Oct. 21 Received the amount due on the dishonored note plus interest for 30 days at 10% on the total amount charged to Radon Express Co. on September 21.

June 23
Notes Receivable __________
Accounts Receivable-Radon Express Co. _______

Sept. 21
Accounts Receivable-Radon Express Co. _________
Notes Receivable ________
Interest Revenue _________

Oct. 21
Cash ________
Accounts Recelvable-Radon Express Co. _____
Interest Revenue ________
Business
1 answer:
amid [387]1 year ago
7 0

Answer:

June 23 Received a $48,000, 90-day, 8% note dated June 23 from Radon Express Co. on account.

  • Dr Notes receivable 48,000
  •     Cr Accounts receivable 48,000

Sept. 21 The note is dishonored by Radon Express Co.

  • Dr Accounts receivable 48,960
  •     Cr Notes receivable 48,000
  •     Cr Interest revenue 960

When a customer defaults on a note, the company is allowed to convert the note back to accounts receivable and charge any accrued interests. Depending on the client, the company can give them more time (by switching back the note into accounts receivable) or the company can write off the note and try to sell it to a collection company.

Oct. 21 Received the amount due on the dishonored note plus interest for 30 days at 10% on the total amount charged to Radon Express Co. on September 21.

  • Dr Cash 49,368
  •     Cr Accounts receivable 48,960
  •     Cr Interest revenue 408
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$75,260

Explanation:

Calculation for What should Pharoah Company report as other comprehensive income and as a separate component of stockholders' equity

Using this formula

Comprehensive income/separate component of stockholders' equity=Fair value-(Sales of bonds-July 1, 2021 Amortized premiums-December 31, 2021 Amortized premiums)

Let plug in the formula

Comprehensive income/separate component of stockholders' equity=$2,780,000 - ($2,724,740 - $9,820 - $10,180)

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Therefore What should Pharoah Company report as other comprehensive income and as a separate component of stockholders' equity is $75,260

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1 year ago
Morris is a software engineer for a manufacturer. He wrote a program for the accounting department. During the testing phase, he
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Answer:

The principle of the Software Engineering Code of Ethics that Morris has violated is:

the Product principle.

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The Product principle requires that Morris' program (product and related modifications) should meet the highest professional standards.  Staying within budget and rationalizing an error as minor are not requirements of the Software Engineering Code of Ethics that Morris subscribed to.

Other requirements of the code include acting in the best interest of the public, client, and employer; maintaining high product standards; integrity and independence in professional judgment; using an ethical approach; maintaining professional integrity and independence; being fair and supportive to colleagues; and ensuring participation in lifelong learning.

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Guided competency development are formal developments,they defined by the organization as beneficial skills for a wide variety of positions within the company, they are properly fashioned and planned,they do not occur spontaneously and are not driven by peer to peer Interaction.

PARTB

YES, BOTH TYPES OF LEARNING AND ASSOCIATED TRAINING METHODS ARE NECESSARY.

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Guided competency development is a formal approach to development which is guided by the needs of the Organisation,they don't occurs spontaneously and are not peer to peer interaction, it is necessary.

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2 years ago
On January 2, 20X4, West Co. issued 9% bonds in the amount of $500,000, which mature on January 2, 20X24. The bonds were issued
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$470,425

Explanation:

The computation of the amount reported as bond payable is shown below:

<u>Particulars  Interest at 4.5% Interest at 5%  Amortized  UnAmortized  CV</u>

<u>                                                                             discount     discount </u>

Starting value                                                                        $30,500  $469,500    

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  ($500,000 × 4.5%)            ($469500 × 5%)

The six months rate would be the half of the rates given in the question

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