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1. The following information is available for Unique Globe as of May 31 2011:a. Cash on the books as of May 31 amounted to $43784.16. Cash on the bank statement for the same date was $53451.46.b. A deposit of $5220.94 representing cash receipts of May 31 did not appear on the bank statement.c. Outstanding checks totaled $3936.80.d. A check for $1920.00 returned with the statement was recorded incorrectly in the check register as $1380.00. The check was for a cash purchase of merchandise.e. The bank service charge for May amounted to $30.f. The bank collected $12200.00 for Unique Globe on a note. The face value of the note was $12000.00.g. An NSF check for $178.56 from a customer Eve Lay was returned with the statement.h. The bank mistakenly charged to the company account a check for $750.00 drawn by another company.i. The bank reported that it had credited the account for $250.00 in interest on the average balance for May.Requireda. Prepare a bank reconciliation for Unique Globe Inc. as of May 31 2011.b. Why is a bank reconciliation considered an important control over cash?2. Prince s Pipe Co. purchases equipment with a list price of $22000. Regarding the purchase Prince: Received a 2% discount off the list price Paid shipping costs of $800 Paid $1750 to install the equipment $1 200 of which was for a unique stand for the equipment Paid $2800 to insure the equipment $300 for delivery transit and $2500 for a two-year policy to cover operations Paid $600 to have the manufacturer train employees on safety featuresRequired:Determine the acquisition cost of the equipment.3. Development Industries purchased a depreciable asset for $50000 on January 1 2010. The asset has a ve-year useful life and a $10000 estimated salvage value. The company will use the straight-line method of depreciation for book purposes. However Development will use the double-declining-balance method for tax purposes. Assume a tax rate of 30%.Requireda. Prepare depreciation schedules using the straight-line and double-declining-balance methods of depreciation for the useful life of the asset.b. Under the straight-line method of depreciation what is the gain or loss if the equipment is sold (1) at the end of 2012 for $30000 or (2) at the end of 2013 for $16000?

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