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On July 10, 2020, Waterway Ltd. sold GPS systems to retailers on account for a selling price of $780,000 (cost $624,000).

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  On July 10, 2020, Waterway Ltd. sold GPS systems to retailers on account for a selling price of $780,000 (cost $624,000). Waterway grants the right to return systems that do not sell in three months following delivery. Past experience indicates that the normal return rate is 15%. By October 11, 2020, retailers returned systems to Waterway and were granted credits of $74,000. The company follows IFRS. Prepare Waterway’s journal entries to record the sale on July 10, 2020.  Prepare Waterway’s journal entries to record the $74,000 of actual returns on October 10, 2020. ( Hint:  Use Accounts Payable for the amount returned.) Answer.
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LexCorp, an accrual basis corporation, has taxable income of $150,000 in the current year. Included in its determination of taxable income are the following transactions. ∙ It incurred a $65,000 capital loss from the sale of stock. It had no capital gains. It received $30,000 in dividends from Metallo, Inc. It owns 65%. ∙ It paid Federal income tax of $40,000. ∙ It incurred $18,000 in meal and entertainment expenses. ∙ LexCorp uses the LIFO method when accounting for inventory. This year, the company’s LIFO recapture amount increased by $4,000. ∙ It paid $5,000 in key man insurance premiums; cash surrender value increased by $1,500 . ​ What is LexCorp's’s current E & P for the year?
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Balance Sheet - Assets

Balance Sheet - Assets Marilyn moves on to explain the balance sheet, a financial statement that reports the amount of a company's (A)assets, (B) liabilities, and (C) stockholders' (or owner's) equity at a specific point in time. Because the balance sheet reflects a specific point in time rather than a period of time, Marilyn likes to refer to the balance sheet as a "snapshot" of a company's financial position at a given moment. For example, if a balance sheet is dated December 31, the amounts shown on the balance sheet are the balances in the accounts after all transactions pertaining to December 31 have been recorded. (A) Assets Assets are things that a company owns and are sometimes referred to as the resources of the company. Joe readily understands this—off the top of his head he names things such as the company's vehicle, its cash in the bank, all of the supplies he has on hand, and the dolly he uses to help move the heavier...
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