Wages and salaries payable are classified as a
current liability.
non-current liability.
non-current asset.
current asset.
_________is the average time it takes from thepurchase of inventory to the
collection of cash from customers.
Your answer
Closing entries are only made at the end of the annual accounting period.
True
False
The correct order of presentation in a classified statement of financial position
for the following current assets is
accounts receivable, cash, prepaid insurance, inventories.
cash, inventories, accounts receivable, prepaid insurance.
prepaid insurance, inventories, accounts receivable, cash,
inventories, cash, accounts receivable, prepaid insurance.
Patents and copyrights are
current assets.
intangible assets.
long-term investments.
property, plant, and equipment.
All of the following are property, plant, and equipment except
supplies.
machinery.
land.
buildings.
Answer the following questions
The following items (in thousands) are taken from the financial statements of Melissa Company for
the year ending December 31, 2022:
What is the net income for the company for the year ending Dec31,2022?
a. $532,000
b. $168,000
c. $112,000
d. $48,000
Explanation:
Net income = Revenue – Expenses
Revenue 532,000
Less: Expenses
Advertising expense 84,000
Depreciation expense 48,000
Insurance expense 12,000
Salaries and wages expense 128,000
Supplies expense 24,000
Rent expense 68,000
Net income 168,000
What are total current assets at December 31, 2022?
a. $104,000
b. $128,000
c. $144,000
d. $872,000
Explanation:
Current assets = Cash + account receivable +prepaid insurance + supplies =
60,000+44,000+24,000+16,000= 144,000
What are total current liabilities at December 31, 2022?
a. $72,000
b. $280,000
c. $352,000
d. $0
Explanation:
current liabilities = A/p + N/p = 72,000 + 280,000 = 352,000
The income statement for the month of June, 2022 of Taylor Enterprises contains the following
information: The entry to close the expense accounts includes a
a. debit to Income Summary for $7,800.
b. credit to Rent Expense for $3,000.
c. credit to Income Summary for $8,200.
d. debit to Salaries and Wages Expense for $2,000.
Explanation:
Income summary 8,200
@ Expenses 8,200
You should write all the expenses accounts
Grand Hotel had the following partial listing of accounts and balances at year-end: Cash, $7,000;
Accounts Receivable, $6,000; Accounts Payable, $15,000; Equipment, $23,000; Inventories, $5,000;
Supplies, $1,000; Investment in Real Estate, $75,000; Unearned Revenue, $13,000; and Prepaid Rent,
$4,000. How much are total current assets for grand Hotel?
$149,000
$98,000
$23,000
$121,000
Explanation:
Current assets = Cash + A/R + Inventories + Supplies + prepaid rent = 7,000+6,000 +5,000+1,000+4,000 =
23,000
On December 31, X Company correctly made an adjusting entry to recognize $2,000 of accrued
salaries and wages payable. On January 8 of the next year, total salaries and wages of $3,400 were
paid. Assuming the correct reversing entry was made on January 1, the entry on January 8 will result
in a credit to Cash $3,400 and the following debit(s)
Salaries and Wages Payable $1,400, and Salaries and Wages Expense $2,000.
Salaries and Wages Payable $2,000 and Salaries and Wages Expense $1,400.
Salaries and Wages Expense $3,400.
Salaries and Wages Payable $3,400.
Explanation:
Salaries and wages expense 3,400
Cash 3,400
Assignment 1
Answer:
The adjusting entries that were made:
Account Receivable $2,600
Service Revenue $2,600
Supplies Expense $1,400
Supplies $1,400
Prepaid Insurance $1,500
Insurance Expense $1,500
Depreciation Expense $900
Accumulated-Dep $900
Salary Expense $1,100
Salary Payable $1,100
Unearned Rent Revenue $1,100
Rent Revenue $1,100
