Questions
22108 Accounting and Accountability - Spring 2025 1. PRACTICE Final Exam - 22108 - Autumn 2023
Multiple dropdown selections
SneakElite made sales of $15000 to JD Sports. The inventory is worth $8000. JD Sports will pay in 45 days. Select the flows and accounts that would be used to record the Sales part of this transaction. Please select a drop-down selection for every box. Assets = Liabilities + Equity [ Select ] Expenses Cash Unearned Revenue Accounts Payable Equipment Revenue Dividends No account required Bank loan Accounts Receivable Share Equity [ Select ] Cash Bank loan Share Equity Dividends Equipment Unearned Revenue Expenses Accounts Receivable Accounts Payable No account required Revenue [ Select ] Equipment Unearned Revenue Cash Accounts Payable Share Equity No account required Accounts Receivable Dividends Bank loan Revenue Expenses [ Select ] + $15,000 - $15,000 $0 - $8,000 + $8,000 [ Select ] - $15,000 $0 + $15,000 + $8,000 - $8,000 + $15,000
View Explanation
Verified Answer
Please login to view
Step-by-Step Analysis
We start by identifying what is happening in the Sales part of the transaction: SneakElite records a sale of 15,000 to JD Sports on account, since payment is due in 45 days. This means an asset (Accounts Receivable) increases and revenue (income) increases, with the corresponding double-entry having a debit to AR and a credit to Revenue.
Option by option analysis:
- First dropdown (Assets = Liabilities + Equity): Accounts Receivable. This is cor......Login to view full explanationLog in for full answers
We've collected over 50,000 authentic exam questions and detailed explanations from around the globe. Log in now and get instant access to the answers!
Similar Questions
Which of the following is not part of the FASB criteria for revenue recognition?
In the financial statement audit, who is responsible for using accurate revenue recognition accounting estimates to prepare the financial statements of publicly traded companies (issuers)?
Question1(c) On 1 July 2019, XYZ Ltd received $100,000 in cash from customer ABC for an order of 100,000 units of its product. By the end of the financial year (assume the financial year starts on 1 July 2019 and ends on 30 June 2020), XYZ Ltd had delivered 35,000 units of product to ABC (selling price per unit is $1). The rest of the cash received in in advance from ABC relates to goods that will be provided in the next financial year. XYZ sets its selling price by employing a 100% mark up on the cost of inventory.Which of the following statements is true for transactions between XYZ and ABC for the financial year ended 30 June 2020? XYZ’s COGS was $35,000 XYZ’s inventory decreased by $35,000 The closing balance of unearned revenue relating to ABC was $35,000 XYZ generated sales revenue of $65,000 from ABC XYZ’s COGS was $17,500 ResetMaximum marks: 1 Flag question undefined
In 2021, Estelle's Star Makers agreed to build a movie theater for $200,000. Expected costs for the theater follow: 2022, $10,000; 2023, $40,000; and 2024, $30,000. Assume that Estelle completed the theater on time and on budget, that Estelle's performance obligation for the theater is fulfilled over time, and that the costs incurred provide a close approximation of the value conveyed to the customer.Answer the following question(s) by filling in the blanks. Do not include any symbols besides decimals in your answers (do not input commas).Compute revenues and expenses for each year 2022 through 2024. Year 2022 2023 2024 Revenue [R2022] [R2023] [R2024] Expense [E2022] [E2023] [E2024] [R2022] =
More Practical Tools for Students Powered by AI Study Helper
Making Your Study Simpler
Join us and instantly unlock extensive past papers & exclusive solutions to get a head start on your studies!