50.1K

Verified Solution

Link Copied!

QUESTION 1 The term "Retained Earnings" is best explained by which of the following statements? Money set aside for the redemption of bonds. Cash retained in a separate bank account designated for emergency uses O The difference between total revenue and total expenses in an accounting period. O A measure of capital generated through earnings. QUESTION 2 The party that issues a promissory note is known as the: Oborrower and maker blender borrower maker QUESTION 3 Rosewood Company made a loan of $16,000 to one of the company's employees on April 1, Year 1. The one y revenue that Rosewood would report during the years ending December 31, Year 1 and Year 2, respectively, w $240 and $720 $0 and $960 O $720 and $240. $960 and $0 QUESTION 4 On January 1, Year 2, Kincaid Company's Accounts Receivable and the Allowance for Doubtful Accounts carried to Kincaid reported $169,000 of credit sales Kincaid wrote off $1.450 of receivables as uncollectible in Year 2 Cash estimates that it will be unable to collect one percent (19%) of credit sales. The amount of uncollectible accounts expense recognized in the Year 2 income statement will be: $1,911 $2,240 $668 $1,690 's employees on April 1, Year 1. The one-year note carried a 6% rate of interest. The amount of interest ber 31, Year 1 and Year 2, respectively, would be and the Allowance for Doubtful Accounts carried balances of $66,800 and $2,000, respectively. During the year 50 of receivables as uncollectible in Year 2. Cash collections of receivables amounted to $191,100. Kincaid dit sales the Year 2 income statement will be

Answer & Explanation Solved by verified expert

See Answer