In 2021, the taxpayer became ineligible to use the cash method of accounting. At the beginning of
Question:
In 2021, the taxpayer became ineligible to use the cash method of accounting. At the beginning of the year, accounts receivable totaled $240,000, accounts payable for merchandise totaled $80,000, and inventory on hand totaled $320,000. What is the amount of the adjustment due to the change in accounting method?
Fantastic news! We've Found the answer you've been seeking!
Step by Step Answer:
Answer rating: 50% (12 reviews)
Calculations and thorough explanation The amount of the adjustment due to the change in accountin...View the full answer
Answered By
Labindao Antoque
I graduated in 2018 with a Bachelor of Science degree in Psychology from Dalubhasaan ng Lungsod ng San Pablo. I tutored students in classes and out of classes. I use a variety of strategies to tutor students that include: lecture, discussions about the subject matter, problem solving examples using the principles of the subject matter being discussed in class , homework assignments that are directed towards reinforcing what we learn in class , and detailed practice problems help students to master a concept. I also do thorough research on Internet resources or textbooks so that I know what students need to learn in order to master what is being taught in class .
0.00
0 Reviews
10+ Question Solved
Related Book For
South-Western Federal Taxation 2022 Individual Income Taxes
ISBN: 9780357519073
45th Edition
Authors: James C. Young, Annette Nellen, William A. Raabe, Mark Persellin, William H. Hoffman
Question Posted:
Students also viewed these Business questions
-
In 2013, the taxpayer became ineligible to use the cash method of accounting. At the beginning of the year, accounts receivable totaled $240,000, accounts payable for merchandise totaled $80,000, and...
-
Jen and Berry's sells ice-creams from its factory-shop in Petone. There is a managing director (Maynard Dibble), a marketing manager (Mary Salman) and a production manager (Peter Pritchard). Maynard...
-
Q1. The following transactions occurred during Year 2, the second year of business for Nancy Nanny Child Care. Record each transaction in proper journal entry format below using debits and credits....
-
Consider an increasing marginal-cost depletable resource with no effective substitute. (a) Describe, in general terms, how the marginal user cost for this resource in the earlier time periods would...
-
Touchie MacFeelie publishes comic books. The only inputs he needs are old jokes and cartoonists. His production function is Q = .1J1/2L3/4, where J is the number of old jokes used, L the number of...
-
Consider a substance X with a Hvap = 20.3 kJ/mol and Hfus = 9.0 kJ/mol. The melting point, freezing point, and heat capacities of both the solid and liquid X are identical to those of water. a. If...
-
Contractors Ltd was formed on 1 January 19X6 and the following purchases and sales of machinery were made during the first 3 years of operations. Each machine was estimated to last 10 years and to...
-
Jims Outfitters, Inc., makes custom fancy shirts for cowboys. The shirts could be flawed in various ways, including flaws in the weave or color of the fabric, loose buttons or decorations, wrong...
-
On September 30, 2021, the Wildcat Corporation issued 8% stated rate bonds with a face amount of $280 million. The bonds mature on September 30, 2041 (20 years). The market rate of interest for...
-
During two recent years Perez Construction, Inc., disposed of the following plant and equipment: Required: 1. Determine the cash flow from the sale of property for each year that would be reported in...
-
Osprey Corporation, an accrual basis taxpayer, reported taxable income for 2021 and paid $40,000 on its estimated state income tax for the year. During 2021, the company received a $4,000 refund upon...
-
In December 2021, Nell, Inc., an accrual basis taxpayer, paid $12,000 for insurance premiums for the 2022 calendar year. How much of the premiums can Nell, Inc., deduct in 2021?
-
How does materials requirement planning support the purchasing process in an ERP environment? What are some of the issues and complications that arise in materials requirement planning?
-
Consider the motion of a small object of mass m inside a paraboloid (cf. Figure 5.2). The paraboloid is described by the equation x + y = az. Assume that there is no friction. The object is subject...
-
Market Entry Plan Analyze below market segmentation and Country selection PESTEL analysis in terms of product Smart Eco-Cooker and Country Germany. Choose a market entry plan for Smart Eco-Cooker in...
-
Joe sold stock in the following amounts during the current tax year ( 2 0 2 2 ) . Purchase: 4 5 , 0 0 0 Sale: 2 5 , 0 0 0 Purchase: 1 / 1 / 2 0 2 2 Sale: 7 / 1 / 2 0 2 2 Purchase: 4 0 , 0 0 0 Sale:...
-
Korkdam Breweries Limited (KBL), a major beer manufacturer takes prides in its excellent performance. Tracking performance from plant to the warehouse, the Managing Director; Jack Singaro was pleased...
-
find at least two recent articles that describes new or developing technology that will have significant influence on supply chain management within the next 5-6 years. You will need to add your...
-
Following is the unadjusted trial balance for Alonzo Institute as of December 31, 2017. The Institute provides one-on-one training to individuals who pay tuition directly to the business and offers...
-
Stephen Schor, an accountant in New York City, advised his client, Andre Romanelli, Inc., to open an account at J. P. Morgan Chase Bank, N.A., to obtain a favorable interest rate on a line of credit....
-
The word recursive is used to describe an equation that has an impact on a simultaneous system without any feedback from the system to the equation. Which of the equations in the following systems...
-
As an exercise to gain familiarity with the 2SLS program on your computer, take the data provided for the simple Keynesian model in Section 14.3, and: a. Estimate the investment function with OLS. b....
-
Simultaneous equations make sense in cross-sectional as well as time-series applications. For example, James Ragan examined the effects of unemployment insurance (hereafter UI) eligibility standards...
-
. Assignment 2 (Total marks is 60 Marks) Case 1 (20 Marks) Super Tools Pty Ltd has five activity cost pools and two products. It expects to produce 200,000 units of its automobile scissors jack and...
-
eBook Problem Walk-Through Pricing Stock Issues in an IPO Zang Industries has hired the investment banking firm of Eric, Schwartz, & Mann (ESM) to help it go public. Zang and ESM agree that Zang's...
-
Delta Company, a U.S. MNC, is contemplating making a foreigncapital expenditure in South Africa. The initial cost of theproject is ZAR13,600. The annual cash flows over the five-yeareconomic life o 2...
Study smarter with the SolutionInn App