York s outstanding stock consists of 80,000 shares of noncumulative 7.5% preferred stock with a $5 par value and also 200,000 shares of common stock with a $1 par value. During its first four years of operation, the corporation declared and paid the following total cash dividends: 2015 total cash dividends . . . . […]
Yoshi Corp. uses the gross method to record sales made on credit. On June 1, the company made sales of $45,000 with terms 1/15, n/45. On June 12, Yoshi received full payment for the June I sale. Prepare the required journal entries for Yoshi Corp.
Yosko expects to produce 1,950 units in January and 2,114 units in February. The company budgets $85 per unit for direct materials. Indirect materials are insignifi cant and not considered for budgeting purposes. The balance in the Raw Materials Inventory account (all direct materials) on January 1 is $50,000. Yosko desires the ending balance in […]
You, a CA, have recently accepted a job at the accounting firm of Cat, Scan, & Partners, as a manager, and have been assigned the audit of Vision Clothing Inc. (VCI). The partner in charge had been at VCI the previous week and had met with the controller to discuss the year-end audit. The partner […]
You are a bank manager. The owner of a small business has come to see you about a loan. He presents you with the financial statements of his business. The accounts receivable are reported at the amount customers have promised to pay. The owner says he writes off bad debts once he decides the amount […]
You are a college student and have just been hired to work part-time in the accounting department of Candy s Cleaning Services. The person you are replacing had difficulty preparing the bank reconciliation for April 30, which is shown below. In comparing the bank reconciliation to the Cash account in the General Ledger, you notice […]
You are a financial analyst charged with evaluating the asset efficiency of companies in the airline industry. The financial statements for Air Canada include the following note: U) INTEREST CAPITALIZED Borrowing costs are expensed as incurred, except for interest attributable to the acquisition, construction, or production of an asset that necessarily takes a substantial period […]
You are a first-year university student and excited about moving away from home to go to university. You have saved $6,000 from your summer employment and your parents have agreed to match that $6,000. In addition, you have received a $9,000 student loan. All of this money is intended to last you for the academic […]
You are a new member of the audit committee and board of directors of Easy Mix Cement Inc. Easy Mix was a private company using ASPE until last year, when it became a publicly traded company using IFRS. You are about to attend your first meeting of the audit committee, at which the year-end financial […]
You are a public accountant in the public accounting firm of Lind and Hemming. One of your larger clients is Yukon Corp., a company incorporated under the Canada Business Corporations Act, which has a December 31 year end. Yukon’s 2011 audit was completed in January 2012; the auditor s report was dated January 28, 2012. […]
