Principles Of Accounting Principles
ACC 551 Midterm Exam Solution
Follow the link below http://www.tutorialsguider.com/downloads/acc-551-midterm-exam-solution/ ACC 551 Midterm Exam Solution
1. Question :(TCO C) Under current accounting practice, intangible assets are classified as
2. Question :(TCO C) Which of the following intangible assets should not be amortized? 3. Question :(TCO C) The intangible asset goodwill may be
4. Question :(TCO C) ELO Corporation purchased a patent for $90,000 on
September 1, 2008. It had a useful life of ten years. On January 1, 2010, ELO spent $22,000 to successfully defend the patent in a lawsuit. ELO feels that as of that date, the remaining useful life is five years. What amount should be reported for patent amortization expense for 2010? …show more content…
Question : (TCO C) During 2011, Bond Company purchased the net assets of May Corporation for $1,000,000. On the date of the transaction, May had$300,000 of liabilities. The fair value of May's assets when acquired were as follows:
How should the $500,000 difference between the fair value of the net assets acquired ($1,500,000) and the cost ($1,000,000) be accounted for by Bond?
6. Question : (TCO D) Which of the following is a condition for accruing a liability for the cost of compensation for future absences?
7. Question : (TCO D) Under what conditions is an employer required to accrue a liability for sick …show more content…
Question : (TCO D) Vargas Company has 35 employees who work eight-hour days and are paid hourly. On January 1, 2009, the company began a program of granting its employees ten days of paid vacation each year. Vacation days earned in 2009 may first be taken on January 1, 2010.
Information relative to these employees is as follows:
Vargas has chosen to accrue the liability for compensated absences at the current rates of pay in effect when the compensated time is earned.
What is the amount of the accrued liability for compensated absences that should be reported at December 31, 2011?
11. Question : (TCO D) Reich, Inc. issued bonds with a maturity amount of $200,000 and a maturity ten years from date of issue. If the bonds were issued at a premium, this indicates that
12. Question : (TCO D) The printing costs and legal fees associated with the issuance of bonds should
13. Question : (TCO D) Feller Company issues $20,000,000 of ten-year, 9% bonds on March 1, 2010 at 97 plus accrued interest. The bonds are dated January 1, 2010, and pay interest on June 30 and December 31. What is the total cash received on the issue
Follow the link below http://www.tutorialsguider.com/downloads/acc-551-midterm-exam-solution/ ACC 551 Midterm Exam Solution
1. Question :(TCO C) Under current accounting practice, intangible assets are classified as
2. Question :(TCO C) Which of the following intangible assets should not be amortized? 3. Question :(TCO C) The intangible asset goodwill may be
4. Question :(TCO C) ELO Corporation purchased a patent for $90,000 on
September 1, 2008. It had a useful life of ten years. On January 1, 2010, ELO spent $22,000 to successfully defend the patent in a lawsuit. ELO feels that as of that date, the remaining useful life is five years. What amount should be reported for patent amortization expense for 2010? …show more content…
Question : (TCO C) During 2011, Bond Company purchased the net assets of May Corporation for $1,000,000. On the date of the transaction, May had$300,000 of liabilities. The fair value of May's assets when acquired were as follows:
How should the $500,000 difference between the fair value of the net assets acquired ($1,500,000) and the cost ($1,000,000) be accounted for by Bond?
6. Question : (TCO D) Which of the following is a condition for accruing a liability for the cost of compensation for future absences?
7. Question : (TCO D) Under what conditions is an employer required to accrue a liability for sick …show more content…
Question : (TCO D) Vargas Company has 35 employees who work eight-hour days and are paid hourly. On January 1, 2009, the company began a program of granting its employees ten days of paid vacation each year. Vacation days earned in 2009 may first be taken on January 1, 2010.
Information relative to these employees is as follows:
Vargas has chosen to accrue the liability for compensated absences at the current rates of pay in effect when the compensated time is earned.
What is the amount of the accrued liability for compensated absences that should be reported at December 31, 2011?
11. Question : (TCO D) Reich, Inc. issued bonds with a maturity amount of $200,000 and a maturity ten years from date of issue. If the bonds were issued at a premium, this indicates that
12. Question : (TCO D) The printing costs and legal fees associated with the issuance of bonds should
13. Question : (TCO D) Feller Company issues $20,000,000 of ten-year, 9% bonds on March 1, 2010 at 97 plus accrued interest. The bonds are dated January 1, 2010, and pay interest on June 30 and December 31. What is the total cash received on the issue