Clayton makes a $25,000, 90-day, 7% cash loan to Citrus Co. The amount of interest that Clayton will collect on the loan is: (Use 360 days a year.)

Paradise Lodging had the following accounts and balances as of December 31:   Account Debit   Credit Cash $ 20,000         Accounts Receivable   2,000         Salaries Expense   500         Accounts Payable       $ 4,000   Lodging Revenue         7,000   Utilities Expense   500         Prepaid Insurance   1,400         Supplies   1,500         Common Stock         10,000   Retained Earnings         4,900   Totals $ 25,900   $ 25,900    Using the information in the table, calculate the total assets reported on Bologna’s balance sheet for the period.

Miami Mining acquires a granite quarry at a cost of $590,000, which is estimated to contain 200,000 tons of granite and is expected to take 6 years to remove. Compute the depletion expense for the first year assuming 38,000 tons were removed and sold.

Use the following information for Cheeks Corp. to determine the amount of equity to report.    Cash $ 70,000 Buildings   125,000 Land   205,000 Liabilities   130,000

A company’s month-end adjusting entry for Insurance Expense is $1,000. If this entry is not made then expenses are understated by $1,000 and net income is overstated by $1,000.

On December 31, Bregler Company’s Prepaid Insurance account had a balance before adjustment of $6,000. The insurance was purchased on July 1 of the same year for one year of insurance coverage, with coverage beginning on that date. The adjusting entry needed on December 31 is:

Rayford Inc.  purchases a machine at the beginning of the year at a cost of $60,000. The machine is depreciated using the double-declining-balance method. The machine’s useful life is estimated to be 4 years with a $5,000 salvage value. Depreciation expense in year 4 is:

On July 1, Silver Spurs Hotel borrowed $250,000 cash by signing a 10-year, 8% installment note requiring equal payments each June 30 of $37,258. What amount of interest expense will be included in the first annual payment?

Kegler’s Services, Inc. provides services to clients. On May 1, a client prepaid Kegler’s Services $60,000 for 6-months services in advance. Kegler’s Services’ general journal entry to record this transaction will include a:

Clayton makes a $25,000, 90-day, 7% cash loan to Citrus Co. The amount of interest that Clayton will collect on the loan is: (Use 360 days a year.)