100% satisfaction guarantee Immediately available after payment Both online and in PDF No strings attached
logo-home
Previously searched by you
Previously searched by you
logo
WGU D103 INTERMEDIATE ACCOUNTING TEST BANK EXAM WITH COMPLETE 380 QUESTIONS AND CORRECT ANSWERS JUST RELEASED $13.99
Add to cart
Quickly navigate to
Preview
  2.  
  3. WGU D103 INTERMEDIATE ACCOUNTING
  4.  
  5. WGU D103 INTERMEDIATE ACCOUNTING

Exam (elaborations)

WGU D103 INTERMEDIATE ACCOUNTING TEST BANK EXAM WITH COMPLETE 380 QUESTIONS AND CORRECT ANSWERS JUST RELEASED

1 review
 1 purchase
  • Course
  • WGU D103 INTERMEDIATE ACCOUNTING
  • Institution
  • WGU D103 INTERMEDIATE ACCOUNTING

WGU D103 INTERMEDIATE ACCOUNTING TEST BANK EXAM WITH COMPLETE 380 QUESTIONS AND CORRECT ANSWERS JUST RELEASED

Preview 4 out of 119  pages

Document information

  • January 20, 2025
  • 119
  • 2024/2025
  • Exam (elaborations)
  • Questions & answers

Subjects

  • wgu d10
  • wgu d103 intermediate accounting test bank exam
  • wgu d103 intermediate accounting
  • wgu d103 intermediate accounting exa
  • wgu d103 intermediate accounting
  • wgu d103 intermediate accounting testexam

Written for

  • WGU D103 INTERMEDIATE ACCOUNTING
  • WGU D103 INTERMEDIATE ACCOUNTING

1  review

review-writer-avatar

By: hclark625 • 1 month ago

Only includes the PA and mostly d196

Seller

avatar-seller
ressyshii

Reviews received

Content preview

Page 1 of 119



WGU D103 INTERMEDIATE
ACCOUNTING TEST BANK EXAM WITH
COMPLETE 380 QUESTIONS AND
CORRECT ANSWERS JUST RELEASED
WGU D103 PRE-ASSESSMENT: INTERMEDIATE ACCOUNTING EXAM 1


Question: The December 31, 2019, trial balance for a company reported a $100,000 debit
balance in accounts receivable. Management estimates that 10% of accounts receivable may
not be collected. Prior to year-end adjustment, there was a $1,000 credit balance in the
allowance for doubtful accounts.What net realizable value of accounts receivable will be
reported on this company's December 31, 2019, balance sheet? - CORRECT
ANSWER✔✔$90,000


$100,000 x .10 = $10,000


$100,000 - $10,000 = $90,000


Question: A company uses the allowance method for uncollectible accounts. On November 10,
2019, the company wrote off a customer's $4,000 account receivable. The company received
payment in full from the customer on December 1, 2019. Which entry or entries should this
company record on December 1? - CORRECT ANSWER✔✔Debit accounts receivable for $4,000;
credit allowance for doubtful accounts for $4,000
Debit cash for $4,000; credit accounts receivable for $4,000


Question: A company has an unadjusted credit balance in the Allowance for Doubtful Accounts
of $10,000 and the following aging schedule:
Name of CustomerTotalUnder 30 days30-60days60-90daysOver 90 daysA$ 55,000$ 30,000$
20,000$

, Page 2 of 119


5,000B112,00090,00010,0005,0007,000C106,00065,00022,00015,0004,000D43,00035,0002,00
05,0001,000Total$ 316,000.00$ 220,000.00$ 54,000.00$ 25,000.00$ 17,000.00Percent
Uncollectible1%30%25%35%
What is the ending balance in the Allowance for Doubtful Accounts? - CORRECT
ANSWER✔✔$30,600


% uncollectable X 30 days, 30-60 days, 60-90 days, and Over 90 days. add all together


Question: A company has an unadjusted debit balance in the Allowance for Doubtful Accounts
of $10,000 and the following aging schedule:
Name of CustomerTotalUnder 30 days30-60days60-90daysOver 90 daysA$ 55,000$ 30,000$
20,000$
5,000B112,00090,00010,0005,0007,000C106,00065,00022,00015,0004,000D43,00035,0002,00
05,0001,000Total$ 316,000.00$ 220,000.00$ 54,000.00$ 25,000.00$ 17,000.00Percent
Uncollectible1%30%25%35%

What amount should be recorded as the Bad Debt Expense? - CORRECT ANSWER✔✔$40,600


$30,600+ $10,000


Question: A company had the following details related to a three-year note receivable on the
date of issue:
face value of note: $15,000
present value of the principal: $10,677
present value of the interest: $3,603
What is the carrying amount of this note at the end of three years? - CORRECT
ANSWER✔✔$15,000


Question: A company receives a four-year, $50,000 zero-interest-bearing note in exchange for a
piece of equipment. The market rate at the date of receipt is 6%.Which statement is true
regarding the initial recording of the note? - CORRECT ANSWER✔✔The discount on notes
receivable account will be credited.

, Page 3 of 119




Question: A company sold goods in exchange for a $5,000, two-year zero-interest-bearing note.
The note is issued to a high-risk customer and the market rate for a note of similar risk is 7%.
Assuming an annual interest rate of 7% for two years is appropriate, the present value of the
principal is $5,000 × 0.87344 = $4.367.Which journal entry is recorded at the time of sale? -
CORRECT ANSWER✔✔Debit notes receivable for $5,000; credit revenue for $4,367; credit
discount on notes receivable for $633


Question: A company issues a $4,000, four-year zero-interest-bearing note for the sale of
inventory. Assuming an annual interest rate of 4% for four years is appropriate, the present
value of the principal is $4,000 × 0.85480 = $3,419.Which journal entry should be recorded at
the time of sale? - CORRECT ANSWER✔✔Debit notes receivable for $4,000; credit revenue for
$3,419; credit discount on notes receivable for $581


Question: A company has the following:
current year sales of $100,000
sales discounts of $15,000
sales returns and allowances of $5,000
accounts receivable of $50,000
allowance for doubtful accounts of $6,000
For the prior year, the company had accounts receivable of $40,000 and allowance for doubtful
accounts of $4,000.What is the accounts receivable turnover ratio? - CORRECT ANSWER✔✔2.0


divide your net credit sales by your average accounts receivable


$100,000/$50,000


Question: A company shows the following profile:
current year credit sales is $300,000
credit sales returns and allowances is $20,000

, Page 4 of 119


sales discount on credit sales is $10,000
accounts receivable is $60,000
allowance for doubtful accounts is $10,000
The prior year accounts receivable is $70,000 and allowance for doubtful accounts is
$20,000.What is the current year accounts receivable turnover ratio? - CORRECT
ANSWER✔✔5.4


($300,000-$20,000-$10,000)/($60,000-$10,000)


divide your net credit sales by your average accounts receivable


Question: A company has net sales of $1,340,000, beginning accounts receivable of $500,000,
and ending accounts receivable of $650,000. How many days does it take the company to
collect its accounts receivable? - CORRECT ANSWER✔✔156.6


$1,340,000 / ($500,000 + $650,000)/2 =


$1,340,,000 = 2.33


365/2.33= 156.6 days


Question: As of March 1, a company had merchandise costing $100,000 in inventory. During
March, the company purchased merchandise costing $40,000 and sold merchandise costing
$30,000. The company uses a perpetual inventory system. What is the amount in the inventory
account as of March 31? - CORRECT ANSWER✔✔$110,000


Question: During a year, the inventory of a merchandiser decreased by $50,000. The beginning
inventory was $200,000. If the income statement for the year reported cost of goods sold of
$350,000, how much were purchases during the year? - CORRECT ANSWER✔✔$300,000

The benefits of buying summaries with Stuvia:

Guaranteed quality through customer reviews

Guaranteed quality through customer reviews

Stuvia customers have reviewed more than 700,000 summaries. This how you know that you are buying the best documents.

Quick and easy check-out

Quick and easy check-out

You can quickly pay through credit card or Stuvia-credit for the summaries. There is no membership needed.

Focus on what matters

Focus on what matters

Your fellow students write the study notes themselves, which is why the documents are always reliable and up-to-date. This ensures you quickly get to the core!

Frequently asked questions

What do I get when I buy this document?

You get a PDF, available immediately after your purchase. The purchased document is accessible anytime, anywhere and indefinitely through your profile.

Satisfaction guarantee: how does it work?

Our satisfaction guarantee ensures that you always find a study document that suits you well. You fill out a form, and our customer service team takes care of the rest.

Who am I buying these notes from?

Stuvia is a marketplace, so you are not buying this document from us, but from seller ressyshii. Stuvia facilitates payment to the seller.

Will I be stuck with a subscription?

No, you only buy these notes for $13.99. You're not tied to anything after your purchase.

Can Stuvia be trusted?

4.6 stars on Google & Trustpilot (+1000 reviews)

65040 documents were sold in the last 30 days

Founded in 2010, the go-to place to buy study notes for 15 years now

Start selling
$13.99  1x  sold
  • (1)
Add to cart
Added