Your examination of Sullivan Companys records provides the following information for the December 31, year-end...
70.2K
Verified Solution
Link Copied!
Question
Accounting
Your examination of Sullivan Companys records provides the following information for the December 31, year-end adjustments:
| 1. | Bad debts are to be recorded at 2% of sales. Sales made on credit totaled $20,000 for the year. |
| 2. | Salaries at year-end that have accumulated but have not been paid total $1,400. |
| 3. | Annual straight-line depreciation for the companys equipment is based on a cost of $29,000, an estimated life of 8 years, and an estimated residual value of $1,000. |
| 4. | Prepaid insurance in the amount of $800 has expired. |
| 5. | Interest that has been earned but not collected totals $500. |
| 6. | The company has satisfied performance obligations entitling it to rent in the amount of $1,000. |
| 7. | Interest on a note payable that has accumulated but has not been paid totals $600. |
| 8. | The income tax rate is 30% on current income and is payable in the first quarter of the next yea |
Get Answers to Unlimited Questions
Join us to gain access to millions of questions and expert answers. Enjoy exclusive benefits tailored just for you!
Membership Benefits:
- Unlimited Question Access with detailed Answers
- Zin AI - 3 Million Words
- 10 Dall-E 3 Images
- 20 Plot Generations
- Conversation with Dialogue Memory
- No Ads, Ever!
- Access to Our Best AI Platform: Flex AI - Your personal assistant for all your inquiries!
Other questions asked by students
StudyZin's Question Purchase
1 Answer
$0.99
(Save $1 )
One time Pay
- No Ads
- Answer to 1 Question
- Get free Zin AI - 50 Thousand Words per Month
Best
Unlimited
$4.99*
(Save $5 )
Billed Monthly
- No Ads
- Answers to Unlimited Questions
- Get free Zin AI - 3 Million Words per Month
*First month only
Free
$0
- Get this answer for free!
- Sign up now to unlock the answer instantly
You can see the logs in the Dashboard.