13 ) Sawyer Company self-insures its property for fire and storm damage . If the company were to obtain insurance on the property , it would cost them $ 1,500,000 per year . The company estimates that on average it will incur losses of $ 1,200,000 per year . During 2014 , $ 525,000 worth of losses were sustained . How much total expense and / or loss should be recognized by Sawyer Company for 2014 ?
14 ) Greeson Corp . signed a three-month , zero-interest-bearing note on November 1 , 2014 for the purchase of $ 250,000 of inventory . The face value of the note was $ 253,900 . Greeson used a " Discount on Note Payable " account to initially record the note . Assuming that the discount will be amortized equally over the 3-month period and that there was no adjusting entry made for November , the adjusting entry made at December 31 , 2012 will include a
15 ) Presented below is information available for Marley Company . |
Current Assets |
Cash |
$ |
4,000 |
Short-term investments |
65,000 |
Accounts receivable |
61,000 |
Inventories |
110,000 |
Prepaid expenses |
30,000 |
Total current assets |
$ |
270,000 |