Intermediate Accounting 16th Edition Kieso Solutions
Manual
,Intermediate Accounting 16Th Edition Kieso
Solutions Manual
Download full test bank and solution manual at
Intermediate Accounting 16Th Edition Kieso Solutions Manual
Product ID: 15758
Category: Test Bank and Solution Manual
File format : PDF, AWZ, .MOBI, .EPUB, .FB2. etc
Author: N/A
Pages: 606
Year: 2009
Language: English
Edition: N/A
Included Materials: N/A
File Size: 5 MB
Distributor: Test Bank Bell
Device: Desktop, Phone, Tablet, Android, IOS
,EXERCISE 7-2 (Continued)
3. Cash balance is $599,800 computed as follows:
Checking account balance $590,000
Certified check from customer 9,800
$599,800
The postdated check of $11,000 should be reported as an account
receivable. Cash restricted due to compensating balance should be
described in a note indicating the type of arrangement and amount.
Postage stamps on hand are reported as part of supplies or prepaid
expenses.
4. Cash balance is $85,000 computed as follows:
Checking account balance $37,000
Money market mutual fund 48,000
$85,000
The NSF check received from customer should be reported as an
account receivable.
5. Cash balance is $700,900 computed as follows:
Checking account balance $700,000
Cash advance received from customer 900
$700,900
Cash restricted for future plant expansion of $500,000 should be
reported as a noncurrent asset. Short-term Treasury bills of $180,000
should be reported as a temporary investment. Cash advance received
from customer of $900 should also be reported as a liability; cash
advance of $7,000 to company executive should be reported as a
receivable; refundable deposit of $26,000 paid to federal government
should be reported as a receivable.
LO: 1, Bloom: AN, Difficulty: Moderate, Time: 10-15, AACSB: Analytic , AICPA BB: None, AICPA FC: Reporting, AICPA PC: None
Copyright © 2016 John Wiley & Sons, Inc. Kieso, Intermediate Accounting, 16/e, Solutions Manual (For Instructor Use Only) 7-19
, EXERCISE 7-3 (10–15 minutes)
Current assets
Accounts receivable
Customers accounts (of which
accounts in the amount of
$40,000 have been pledged as
security for a bank loan) $79,000
Installment accounts collectible
due in 2018 23,000
Installment accounts collectible
due after December 31, 2018* 34,000 $136,000
Other** ($2,640 + $1,500) 4,140 $140,140
Non-trade receivables
Advance to subsidiary company 81,000
*This classification assumes that these receivables are collectible within
the operating cycle of the business.
**These items could be separately classified, if considered material.
LO: 2, Bloom: AN, Difficulty: Simple, Time: 10-15, AACSB: Analytic, AICPA BB: None, AICPA FC: Reporting, AICPA PC: None
EXERCISE 7-4 (10–15 minutes)
Computation of cost of goods sold:
Merchandise purchased $320,000
Less: Ending inventory 90,000
Cost of goods sold $230,000
7-20 Copyright © 2016 John Wiley & Sons, Inc. Kieso, Intermediate Accounting, 16/e, Solutions Manual (For Instructor Use Only)
Manual
,Intermediate Accounting 16Th Edition Kieso
Solutions Manual
Download full test bank and solution manual at
Intermediate Accounting 16Th Edition Kieso Solutions Manual
Product ID: 15758
Category: Test Bank and Solution Manual
File format : PDF, AWZ, .MOBI, .EPUB, .FB2. etc
Author: N/A
Pages: 606
Year: 2009
Language: English
Edition: N/A
Included Materials: N/A
File Size: 5 MB
Distributor: Test Bank Bell
Device: Desktop, Phone, Tablet, Android, IOS
,EXERCISE 7-2 (Continued)
3. Cash balance is $599,800 computed as follows:
Checking account balance $590,000
Certified check from customer 9,800
$599,800
The postdated check of $11,000 should be reported as an account
receivable. Cash restricted due to compensating balance should be
described in a note indicating the type of arrangement and amount.
Postage stamps on hand are reported as part of supplies or prepaid
expenses.
4. Cash balance is $85,000 computed as follows:
Checking account balance $37,000
Money market mutual fund 48,000
$85,000
The NSF check received from customer should be reported as an
account receivable.
5. Cash balance is $700,900 computed as follows:
Checking account balance $700,000
Cash advance received from customer 900
$700,900
Cash restricted for future plant expansion of $500,000 should be
reported as a noncurrent asset. Short-term Treasury bills of $180,000
should be reported as a temporary investment. Cash advance received
from customer of $900 should also be reported as a liability; cash
advance of $7,000 to company executive should be reported as a
receivable; refundable deposit of $26,000 paid to federal government
should be reported as a receivable.
LO: 1, Bloom: AN, Difficulty: Moderate, Time: 10-15, AACSB: Analytic , AICPA BB: None, AICPA FC: Reporting, AICPA PC: None
Copyright © 2016 John Wiley & Sons, Inc. Kieso, Intermediate Accounting, 16/e, Solutions Manual (For Instructor Use Only) 7-19
, EXERCISE 7-3 (10–15 minutes)
Current assets
Accounts receivable
Customers accounts (of which
accounts in the amount of
$40,000 have been pledged as
security for a bank loan) $79,000
Installment accounts collectible
due in 2018 23,000
Installment accounts collectible
due after December 31, 2018* 34,000 $136,000
Other** ($2,640 + $1,500) 4,140 $140,140
Non-trade receivables
Advance to subsidiary company 81,000
*This classification assumes that these receivables are collectible within
the operating cycle of the business.
**These items could be separately classified, if considered material.
LO: 2, Bloom: AN, Difficulty: Simple, Time: 10-15, AACSB: Analytic, AICPA BB: None, AICPA FC: Reporting, AICPA PC: None
EXERCISE 7-4 (10–15 minutes)
Computation of cost of goods sold:
Merchandise purchased $320,000
Less: Ending inventory 90,000
Cost of goods sold $230,000
7-20 Copyright © 2016 John Wiley & Sons, Inc. Kieso, Intermediate Accounting, 16/e, Solutions Manual (For Instructor Use Only)
