Financial Accounting Exam Newest 2026
Questions and Correct Detailed Answers
Already Graded A+
A plant asset with a cost of 180,000 and accumulated depreciation of $171,000 is
sold for $21,000 what is the amount of gain or loss... - CORRECT ANSWER-
$12,000 gain
Company purchased factory equipment on April 1st 2025 for $72,000 its
estimated it will have a $9,000 salvage value at the end of its 10 year useful life,
using straight line method, the amount to be recorded as depreciation expense at
December 31st 2025 is... - CORRECT ANSWER-$4,725
Victory Company purchases equipment at the beginning of the year at a cost of
$15,000 equipment is depreciated using the straight-line method and has a useful
life estimated ... years with a $1000 salvage value, the journal entry to record the
first year depreciation - CORRECT ANSWER-Debit depreciation expense
$2,000; Credit accumulated depreciation $2,000
, Obligations due after one year (or the company's operating cycle if longer) are
reported as - CORRECT ANSWER-Long-term liabilities
A company interest expense is $9,000 its income before interest expense and
income taxes is 38,250. its net income is $11,850. the company's times interest
earned ratio equals: - CORRECT ANSWER-4.250
On November 1st Alan Company signed a 120 day 9% note payable with a face
value of $16,200 what is the adjusting entry for the accrued interest at December
31st on the note - CORRECT ANSWER-Debit interest expense , $243; credit
interest payable $243
A bond is issued at par value when - CORRECT ANSWER-the market rate of
interest is the same as the contract rate of interest
if a company has advance ticket sales totaling $2,000,000 for the upcoming
football season, the journal entry to record the receipt of cash would consist of a -
CORRECT ANSWER-Debit cash, Credit unearned revenue
On January 1st, forward company issues bonds that have a $30,000 par value,
mature in 6 years and pay 8% interest per year. Interest payments are paid to
bondholders semiannually on June 30 and December 31st. How much interest
Questions and Correct Detailed Answers
Already Graded A+
A plant asset with a cost of 180,000 and accumulated depreciation of $171,000 is
sold for $21,000 what is the amount of gain or loss... - CORRECT ANSWER-
$12,000 gain
Company purchased factory equipment on April 1st 2025 for $72,000 its
estimated it will have a $9,000 salvage value at the end of its 10 year useful life,
using straight line method, the amount to be recorded as depreciation expense at
December 31st 2025 is... - CORRECT ANSWER-$4,725
Victory Company purchases equipment at the beginning of the year at a cost of
$15,000 equipment is depreciated using the straight-line method and has a useful
life estimated ... years with a $1000 salvage value, the journal entry to record the
first year depreciation - CORRECT ANSWER-Debit depreciation expense
$2,000; Credit accumulated depreciation $2,000
, Obligations due after one year (or the company's operating cycle if longer) are
reported as - CORRECT ANSWER-Long-term liabilities
A company interest expense is $9,000 its income before interest expense and
income taxes is 38,250. its net income is $11,850. the company's times interest
earned ratio equals: - CORRECT ANSWER-4.250
On November 1st Alan Company signed a 120 day 9% note payable with a face
value of $16,200 what is the adjusting entry for the accrued interest at December
31st on the note - CORRECT ANSWER-Debit interest expense , $243; credit
interest payable $243
A bond is issued at par value when - CORRECT ANSWER-the market rate of
interest is the same as the contract rate of interest
if a company has advance ticket sales totaling $2,000,000 for the upcoming
football season, the journal entry to record the receipt of cash would consist of a -
CORRECT ANSWER-Debit cash, Credit unearned revenue
On January 1st, forward company issues bonds that have a $30,000 par value,
mature in 6 years and pay 8% interest per year. Interest payments are paid to
bondholders semiannually on June 30 and December 31st. How much interest
