Use the five transactions for Hennigan Company described below to answer the question(s) that follow(s). Dec 1 Hennigan purchases two new saws on credit at $375 each. The saws are added to Hennigan's rental inventory. Payment is due in 30 days. 8 Hennigan accepts advance deposits for tool Company of $75. 15 Hennigan receives a bill from Farmer's Electric Company for $150 . Payment is due in 30
days. 20 Customers are charged $750 by Hennigan for tool Company. Payment is due from the customers in 30 days. 31 Hennigan receives $500 in payments from the customers that were billed for Company on December 20. Refer to the transactions for Hennigan Rentals. Based on the October 15 transaction, Farmer's Electric will record which of the following in its accounting records?
a. a credit in Accounts Payable for $150.
b. a credit in Accounts Receivable for $150.
c. a debit in Accounts Payable for $150.
d. a debit in Accounts Receivable for $150.
d
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Indicate whether the statement is true or false
The most heavily weighted step in the selection process is usually ______.
a. the interview b. screening interviews c. the application d. background checks
If a company borrows money from a bank as an installment note, the interest portion of each annual payment will:
A) equal the interest rate on the note times the carrying amount of the note at the beginning of the period. B) remain constant over the term of the note. C) equal the interest rate on the note times the face amount. D) increase over the term of the note.
A company issued 10-year, 9% bonds with a par value of $500,000 when the market rate was 9.5%. The company received $484,087 in cash proceeds. Using the effective interest method, prepare the issuer's journal entry to record the first semiannual interest payment and the amortization of any bond discount or premium.
What will be an ideal response?