Pharoah Corp is a publicly traded corporation and signs a purchase contract with Sunland Corporation. Under...
Fantastic news! We've Found the answer you've been seeking!
Question:
Transcribed Image Text:
Pharoah Corp is a publicly traded corporation and signs a purchase contract with Sunland Corporation. Under the terms of the contract, Pharoah agrees to take delivery of the inventory and pay a price of $510,000 to Sunland Company. By September 30, 2023, Pharoah's year end, the fair value of the goods decreases by 15%. Pharoah does NOT expect to recover this additional cost and the value of the inventory does NOT recover prior to Pharoah taking delivery of the goods on October 31, 2023. (a) Record the journal entry, if one is necessary on the contract signing date. (Credit account titles are automatically indented when the amount is entered. Do not indent manually. If no entry is required, select "No Entry" for the account titles and enter O for the amounts. List debit entry before credit entry.) Account Titles Acc Debit Credit Pharoah Corp is a publicly traded corporation and signs a purchase contract with Sunland Corporation. Under the terms of the contract, Pharoah agrees to take delivery of the inventory and pay a price of $510,000 to Sunland Company. By September 30, 2023, Pharoah's year end, the fair value of the goods decreases by 15%. Pharoah does NOT expect to recover this additional cost and the value of the inventory does NOT recover prior to Pharoah taking delivery of the goods on October 31, 2023. (a) Record the journal entry, if one is necessary on the contract signing date. (Credit account titles are automatically indented when the amount is entered. Do not indent manually. If no entry is required, select "No Entry" for the account titles and enter O for the amounts. List debit entry before credit entry.) Account Titles Acc Debit Credit
Expert Answer:
Answer rating: 100% (QA)
The detailed answer for the above question is provid... View the full answer
Related Book For
Intermediate Accounting
ISBN: 978-0470161012
9th Canadian Edition, Volume 2
Authors: Donald E. Kieso, Jerry J. Weygandt, Terry D. Warfield.
Posted Date:
Students also viewed these accounting questions
-
2. a) Find the linearization L(x) of f(x) = 10-x2 at a = -1. [3 marks] - [2x16m el.b916ibni as anoitorul griwollot grli sisin (0)'\ bait.Jx+al++ (x)+(XS) 200 = (I+x) b) Use L(x) to approximate...
-
Managing Scope Changes Case Study Scope changes on a project can occur regardless of how well the project is planned or executed. Scope changes can be the result of something that was omitted during...
-
A 160-day note has a Face Value of $11,000 and a rate of 9.5%. A partial payment of $2,100 is made after 30 days. A second partial payment of $3,000 is made 15 days after the first one. Find the...
-
Starting on January 1, 2024, you put $125 every month into an account with an APR of 4.10%. Your last payment is on December 1, 2032. On January 1 of that year, the balance in the account, rounded to...
-
Prove that the complex conjugate of the sum of two complex numbers a1 + b1i and a2 + b2i is the sum of their complex conjugates.
-
Stevens Manufacturing Company obtained authorization to issue 10-year bonds with a face value of $5 million. The bonds are dated June 1, 2015, and have a contract rate of interest of 6 percent. They...
-
What is a carried working interest? Payout?
-
Nintendo Company reports the following income statement accounts for the year ended March 31, 2011. (Japanese yen in millions.) Net sales . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . ....
-
Cost Accounting Standards Board has exclusive authority to: A) Approve all government contracts between private parties and the federal government. B) Require that a government contract be paid based...
-
Assume that all individuals have identical preferences but some individuals are wealthier than others. Assume there is a single public good and a single private good. a. Show diagrammatically how you...
-
Material: Steel, Diameter: 2.5 in. 5 ft. 1 7 ft. 7 ft. 600 lb 900 lb 7 ft.
-
How would you integrate aspects of supervision and teambuilding into the process of leading a task group? What might that look like? What resources, including technology, could you use to ensure the...
-
a) The Economist (2012) article suggests that the Consumer Financial Protection Bureau (CFPB) "will be able to initiate investigations tied to anything 'abusive,' a term that has yet to be defined."...
-
4- Consider the following functions. Formulate the problem as a MOOP. f(x) = 5-x f(x) = 4-x/2 3 2 1 Find the place of the rectangle in such a way that its distance from the first curve is maximized...
-
A rod is rigidly constrained at x-0 and has a spring constraint at x-L as shown in the figure. The bar is made from steel, which is 2 meters long and has a cross sectional area of 10 cm. What are the...
-
HSBC's farewell to Japanese retail banking case study What problem do you see in HSBC's effort to penetrate the Japanese market in 2007?
-
Prepare an owner's equity statement for August 31, 2022. (List items that increase owner's equity first.) ORIOLE & CO. Owner's Equity Statement For the Month Ended August 31, 2022 Owner's Capital,...
-
Name some of the various types of financial intermediaries described in the chapter and indicate the primary reason(s) each was created.
-
The following are selected transactions of Pendlebury Department Store Ltd. for the current year ending December 31. 1. On February 2, the company purchased goods having cash discount terms of 2/10,...
-
Many business organizations have been concerned with providing for employee retirement since the late 1800s. During recent decades, a marked increase in this concern has resulted in the establishment...
-
Cringle Inc. (CI) has just had a planning meeting with its auditors. There were several concerns that had been raised during the meeting regarding the draft financial statements for the December 31,...
-
According to the survey mentioned in this chapter, what are the most important factors companies consider in establishing transfer prices? What might cause this survey to provide less-than-accurate...
-
Istanbul Company is a manufacturer of computers. Its controller resigned in October 2002. An inexperienced assistant accountant has prepared the following income statement for the month of October...
-
Ever heart Manufacturing Company uses a simple manufacturing accounting sys- tem. At the end ol its fiscal year on August 31, 2002, the adjusted trial balance contains the following accounts....
Study smarter with the SolutionInn App