Intermediate Accounting: Reporting And Analysis
3rd Edition
ISBN: 9781337788281
Author: James M. Wahlen, Jefferson P. Jones, Donald Pagach
Publisher: Cengage Learning
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Chapter 21, Problem 21E
(Appendix 21.1) Visual Inspection The following changes in account balances were taken from Walson Company’s adjusted
In addition, the following information was obtained from the company’s records:
- Land was sold, at cost, for $1,900.
- Dividends of $4,000 were declared and paid.
- Equipment was purchased for $10,400.
- Common stock was issued for $9,000.
- Beginning cash balance was $17,000.
Required:
Using visual inspection and the direct method, prepare Walson’s 2019 statement of cash flows. (A separate schedule reconciling net income to cash provided by operating activities is not necessary.)
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The following is a portion of the current assets section of the balance sheets of Avanti's, Inc., at December 31, 2020 and 2019:
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Required:a. If $11,849 of accounts receivable were written off during 2020, what was the amount of bad debts expense recognized for the year? (Hint: Use a T-account model of the Allowance account, plug in the three amounts that you know, and solve for the unknown.)
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Yes
No
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Yes
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The following is a portion of the current assets section of the balance sheets of Avanti's, Inc., at December 31, 2020 and 2019:
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debts of $9,344 and $16,814, respectively
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Hint. Use a T-account model of the Allowance account, plug in the three amounts that you know, and solve for the unknown.)
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You have been engaged in your second annual examination of the financial
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Collection on sale on account
Cash sales
740,000
100,000
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and due October 1, 2021, discounted at 18%
30,000
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December 31, 2018
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200,000
220,000
180,000
40,000
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Chapter 21 Solutions
Intermediate Accounting: Reporting And Analysis
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