Question 1

Identify the general ledger accounts that would be debited and credited when making a payment on account, such as a telephone bill.

Accepted Answer

Debit to A

Question 2

Does the amount of an obligation need to be known in order for a liability to exist? Explain.

Accepted Answer

The amount of an obligation does not nee

Question 3

On June 30, Hanson Company purchased a building for $600,000. The company made a cash payment of $200,000 and signed a twenty-year, 8% mortgage note payable for the remainder. Payments of $40,000 are made every June 30 and December 31. The building has a useful life of twenty years and a residual value of $100,000. Hanson uses the straight-line depreciation method and prepares its adjusting entries on an annual basis. Journalize the June 30 transactions, any annual adjusting entries for December 31, and the mortgage payment on December 31.

Accepted Answer

@#IMG-DLM& 
Calculation:
$600,

Question 4

Accounts payable would be an example of a(n) __________.

Accepted Answer

The answer of Accounts payable would be an example of...

Question 5

Bonds that are backed by collateral are __________ bonds.

Accepted Answer

The answer of Bonds that are backed by collateral are...

Question 6

Is a high debt ratio a bad thing? Explain.

Accepted Answer

A high debt ratio is not necessarily a b

Question 7

The amount that a borrower must pay back to the bondholders on the maturity date is the __________.

Accepted Answer

principal,

Question 8

A liability, such as warranties payable, would be an example of a(n) __________.

Accepted Answer

The answer of A liability, such as warranties payable, would...

Question 9

Jewell Company has current assets of $56,000; long-term assets of $135,000; current liabilities of $44,000; and long-term liabilities of $90,000. Jewell Company's debt ratio is:

Accepted Answer

A)  127.3%. 
B)  78.6%. 
C)  239.3%. 
D)  70.2%. 
E)  20.7%. 
A)  127.3%. 
B)  78.6%. 
C)  239.3%. 
D)  70.2%. 
E)  20.7%.

Question 10

Mackey Company has a 5-year mortgage for $100,000. In the first year of the mortgage, Mackey will report this liability as a:

Accepted Answer

A)  current liability of $100,000. 
B)  long-term liability of $100,000. 
C)  current liability of $80,000 and a long-term liability of $20,000. 
D)  current liability of $20,000 and a long-term liability of $80,000. 
E)  current liability of $80,000 and a long-term debt of $20,000. 
A)  current liability of $100,000. 
B)  long-term liability of $100,000. 
C)  current liability of $80,000 and a long-term liability of $20,000. 
D)  current liability of $20,000 and a long-term liability of $80,000. 
E)  current liability of $80,000 and a long-term debt of $20,000.

Identify the general ledger accounts that would be debited and credited when making a payment on account, such as a telephone bill.

Does the amount of an obligation need to be known in order for a liability to exist? Explain.

Accounts payable would be an example of a(n) __________.

Bonds that are backed by collateral are __________ bonds.

Is a high debt ratio a bad thing? Explain.

The amount that a borrower must pay back to the bondholders on the maturity date is the __________.

A liability, such as warranties payable, would be an example of a(n) __________.

Jewell Company has current assets of $56,000; long-term assets of $135,000; current liabilities of $44,000; and long-term liabilities of $90,000. Jewell Company's debt ratio is:

Mackey Company has a 5-year mortgage for $100,000. In the first year of the mortgage, Mackey will report this liability as a:

Business, Accounting, and You

Analyzing and Recording Business Transactions

Adjusting and Closing Entries

Ethics, Internal Control, and Cash

Accounting for a Merchandising Business

Inventory

Sales and Receivables

Long-Term Assets

Corporations: Share Capital and Retained Earnings

The Cash Flow Statement

Financial Statement Analysis

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Exam 9: Current Liabilities and Long-Term Debt

Identify the general ledger accounts that would be debited and credited when making a payment on account, such as a telephone bill.

Does the amount of an obligation need to be known in order for a liability to exist? Explain.

Accounts payable would be an example of a(n) __________.

Bonds that are backed by collateral are __________ bonds.

Is a high debt ratio a bad thing? Explain.

The amount that a borrower must pay back to the bondholders on the maturity date is the __________.

A liability, such as warranties payable, would be an example of a(n) __________.

Jewell Company has current assets of $56,000; long-term assets of $135,000; current liabilities of $44,000; and long-term liabilities of $90,000. Jewell Company's debt ratio is:

Mackey Company has a 5-year mortgage for $100,000. In the first year of the mortgage, Mackey will report this liability as a:

Business, Accounting, and You

Analyzing and Recording Business Transactions

Adjusting and Closing Entries

Ethics, Internal Control, and Cash

Accounting for a Merchandising Business

Inventory

Sales and Receivables

Long-Term Assets

Corporations: Share Capital and Retained Earnings

The Cash Flow Statement

Financial Statement Analysis

Filters