( c ) Equipment was purchased at the beginning of the year for $ 45,000 . The equipment ’ s useful life is 5 years , and the residual value is $ 5,000 . Record the depreciation for this year . ( d ) The weekly payroll is $ 25,000 . Employees are owed for 3 days of a 5-day work week . ( e ) Beginning unearned service revenue is $ 7,500 , and ending unearned service revenue is $ 3,500 . ( f ) The business has interest expense of $ 750 that is due in January . ( 30 points )
Q-7 ( TCO G ) Please review the following 6 ratios for Langley Company and XYZ Inc . for the year ended 2014 , and address the 2 questions below . Instructions : This is a 2-part question . ( 1 ) Explain the meaning of each of the Langley Company ratios above . ( 18 points ) ( 2 ) State which company performed better for each ratio . ( 18 points ) ( Points : 36 )
Question 7 – Set 2
( TCO F ) This is a 2-part question . Part 1 ) Journalize the adjusting entries below at year-end December 31 , XXXX . Please share your supporting calculations for the adjusting entries requiring computations . Beginning prepaid insurance , $ 500 . Payments for insurance during the period are $ 900 . Ending prepaid insurance is $ 600 . ( b ) Interest revenue of $ 1,500 has been earned but not yet received . ( c ) Accrued Service Revenue of $ 12,000 ( d ) The weekly payroll is $ 20,000 . Employees are owed for 4 days of a 5-day work week . The unadjusted balance of the Supplies account is $ 1,200 . The total cost of supplies remaining is $ 300 .