Problem 1 The accounts receivable of FRANCO COMPANY were stated at P1‚467‚000 in a balance sheet submitted to a banker for credit. You are called upon to audit the report and‚ upon analysis‚ the asset was found to consist of the following items: Due from customers on open account P 1‚125‚000 Acknowledged claim for damages 22‚500 Due from consignee at billed price – cost price being P22‚500 30‚000 Investment in and advances to affiliated company 150‚000
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Topic: RECEIVABLES I. DEFINITION These represent amounts collectible from customers and others‚ most frequently arising from sales of merchandise‚ claims for money lent‚ or the performance of service. They may be interest bearing‚ collateralized‚ or billed. II. COMPOSITION A. Trade 1. Accounts Receivable 2. Notes Receivable B. Non-Trade 1. Advances to Officers and Employees‚ Affiliates and Others 2. Claims against Suppliers and Insurance
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from another company. Subtract $15‚000. The information in the fourth bullet point was handled correctly. No adjustment. $215‚000 - $44‚000 - $15‚000 = $156‚000. 4- A company has net sales of $900‚000 and average accounts receivable of $300‚000‚ What is its accounts receivable turnover for the period?
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Question 19. Dr Accounts Receivable Cr Dr Allowance for Uncollectibles Cr Jan 1. 82‚900 c. 4‚400 c. 4‚400 Jan 1. 8‚700 a. 240‚000 d. 231‚200 b. 4‚800 Dec 31. 87‚300 Dec 31. 9‚100 Dr Bad Debt Expense . Dr Sales Cr b. 4‚800 . a. 240‚000 Dec 31. 4‚800 Dec 31. 240‚000 Dr Cash Cr d.
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RECEIVABLE MANAGEMENT OF INDIAN AUTOMAKERS IN A REVIVED SCENARIO *P.Nageswari ‚** E.Bennet‚ *** Dr.M. Selvam Abstract January 2010 marks a milestone in the automotive journey of the country with Maruthi Suzuki‚ Tata Motors‚ Mahindra & Mahindra and General Motors India reporting their highest ever monthly sales. A firm’s profitability is determined partly by way of its working capital management. An efficient management of working capital will yield significant results and its neglect can be highly
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THEME: ACCOUNTS PAYABLE By John W. Day‚ MBA ACCOUNTING TERM: Accounts Payable An account payable is normally an unsecured‚ non-interest bearing current liability‚ owed by the company to a vendor for the purchase of trade goods or services. FEATURE ARTICLE: Accounts Payable Accounting If you are a small business owner or manager and you are having trouble keeping track of all those outstanding bills that have to be paid each month‚ perhaps you need to set up an accounts payable system. Some small
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What was the Kanthal president‚ Ridderstrale‚ attempting to accomplish with the Account Management System? Are these sensible goals? Why or why not? The motivation for Carl-Erik Ridderstrale‚ president of Kanthal‚ to develop an Account Management System was to find a process of determining the profitability of individual customer orders. An accurate account measurement system was needed in order to achieve a strategy for increasing growth and profitability without adding a significant amount of sales
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1. What was the Kanthal president‚ Ridderstråle‚ attempting to accomplish with the Account Management System? Are these sensible goals? Ridderstrale had the objective to find hidden profits and losses contained in their current accounting system. The old system did not fully disclose how their costs were applied to the sales accounts. The goals are very sensible as they will allow them to move forward with the proper information. 2. Why did Ridderstråle feel that the previous cost system
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Q1. Management accounting is a field of accounting‚ it analyses and provide cost information to internal user (Ex: employee‚ management) for the purpose of PLANNING‚ CONTROLLING‚ and DECISION MAKING. P.S. CIMA (Chartered Institute of Management Accountants) defines Management accounting as “Management Accounting is the process of identification‚ measurement‚ accumulation‚ analysis‚ preparation‚ interpretation‚ and communication of information that used by management to plan‚ evaluate‚ and control
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(Accounts Receivable‚ Inventory‚ Long-lived Assets‚ Bonds) 1. GNC has the following information regarding the inventory of its Super Mega‚ a multivitamins. Assume GNC uses periodic inventory system each quarter and FIFO. a. On July 1‚ GNC had 200 bottles of Super Mega in stock. Each bottle costs $3. b. On July 15‚ GNC purchased 5‚000 bottles of Super Mega for $25‚000 from a supplier‚ paid $10‚000 in cash and the rest was on credit. c. On August 15‚ GNC purchased another 1‚000 bottles of Super
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