会计学：企业决策的基础exercises.docxVIP

SOLUTIONS TO EXERCISES Ex. 4 —Adjust ing En tryRevenueExpenses = Ex. 4 — Adjust ing En try Revenue Expenses = Net =In come a NE I D b NE I D c I NE I d NE I D e NE I D f I NE I In come Stateme nt Assets = =Liabilities Owners + Equity D NE D NE I D I NE I NE I D D NE D NE D I Bala nee Sheet Ex 4 - a. Book value b. Materiality c. Matchi ng prin ciple d. Un recorded reve nue e. Adjust ing en tries f. Unearned reve nue g. Prepaid expe nses h. None (This is an example of depreciati on expe nse. ”) Ex. 4 — a. Rent Expense 240,000 Prepaid Rent 240,000 To record ren t expe nse for May ($1,200,000 5 mon ths = $240,000 per mon th). Unearned Ticket Reve nue 148,800 Ticket Reve nue 148,800 To record earning porti on of seas on ticket reve nue relati ng to May home games. Ex. 4 — a. ⑴ Interest Expense 375 Interest Payable 375 $50,000 x 9% annual rate x 1/12 = $375. (2) Acco unts Receivable 10,000 Con sult ing Fees Earned 10,000 To record ten days of un billed con sult ing fees at $1,000 per day. b. $2,250 ($50,000 x 9% x 6/12 = $2,250) $15,000 ($25,000 - $10,000 earned in December, 2002) Ex. 4 — a. The balanee of TWA Advanee Ticket Sales account represents unearned reve nue — that is, amounts collected from customers prior to ren deri ng the related services (air travel). As TWA has an obligati on to ren der these services, the Advaneed Ticket Sales account appears among the liabilities in TWA balanee sheet. b. TWA no rmally reduces the bala nee of this liability acco unt by ren deri ng services to customers — that is, by providi ng flights for which the customers have purchased tickets. On some occasions, however, TWA reduces the balanee of this liability by mak ing cash refunds to customers. TOC \o 1-5 \h \z Ex. 4 — a. 1.lnterest Expense 1,200 In terest Payable 1,200 To record in terest accrued on bank loa n duri ng December. Depreciati on Expe nse: Office Buildi ng 1,100 Accumulated Depreciati on: Office Buildi ng 1,100 To record depreciation on office bu