| Cash Accounts receivable__________________________ __________________________
1/1 Bal. 0 1/1 Bal. 0
1/1 100,000 2,400 1/4 1/10 12,000 6,000 1/26
1/15 30,000 6,000 1/20
1/22 10,000 15,000 1/24
1/26 6,000 1,000 1/28
4,000 1/30
_______________ _______________
1/31 Bal. 117,600 1/31 Bal. 6,000
Inventory Prepaid insurance
__________________________ __________________________
1/1 Bal. 0 1/1 Bal. 0
1/2 35,000 7,000 1/10 1/4 2,400
6,000 1/22
_______________ _______________
1/31 Bal. 22,000 1/31 Bal. 2,400
Prepaid rent Accounts payable
__________________________ __________________________
1/1 Bal. 0 0 1/1 Bal.
1/30 2,000 1/24 15,000 35,000 1/2
_______________ _______________
Bal. 2,000 20,000 1/31 Bal.
Note payable Common stock
__________________________ __________________________
0 1/1 Bal. 0 1/1 Bal.
30,000 1/15 100,000 1/1
_______________ _______________
30,000 1/31 Bal. 100,000 1/31 Bal.
Problem 2-1 (continued)
InCOME STATEMENT Accounts
Sales revenue Cost of goods sold
__________________________ __________________________
0 1/1 Bal. 1/1 Bal. 0
12,000 1/10 1/10 7,000
10,000 1/22 1/22 6,000
_______________ _______________
22,000 1/31 Bal. 1/31 Bal. 13,000
Wages expense Rent expense
__________________________ __________________________
1/1 Bal. 0 1/1 Bal. 0
1/20 6,000 1/30 2,000
_______________ _______________
1/31 Bal. 6,000 1/31 Bal. 2,000
Utilities expense
__________________________
1/1 Bal. 0
1/28 1,000
_______________
1/31 Bal. 1,000
Problem 2-1 (concluded)
Requirement 3
|
|
|
|
| Account Title
| Debits
| | Credits
|
| Cash
| 117,600
|
|
|
| Accounts receivable
| 6,000
|
|
|
| Inventory
| 22,000
|
|
|
| Prepaid insurance
| 2,400
|
|
|
| Prepaid rent
| 2,000
|
|
|
| Accounts payable
|
|
| 20,000
|
| Note payable
|
|
| 30,000
|
| Common stock
|
|
| 100,000
|
| Sales revenue
|
|
| 22,000
|
| Cost of goods sold
| 13,000
|
|
|
| Wages expense
| 6,000
|
|
|
| Utilities expense
| 1,000
|
|
|
| Rent expense
| 2,000
|
| ______
|
| Totals
| 172,000
|
| 172,000
|
|
|
|
|
|
|
Requirement 2
|
| Debit
| Credit
| Jan. 1
| Cash .................................................
| 3,500
|
|
| Sales revenue ................................
|
| 3,500
|
|
|
|
| Jan. 1
| Cost of goods sold ...........................
| 2,000
|
|
| Inventory ......................................
|
| 2,000
|
|
|
|
| Jan. 2
| Equipment ........................................
| 5,500
|
|
| Accounts payable .........................
|
| 5,500
|
|
|
|
| Jan. 4
| Advertising expense .........................
|
|
|
| Accounts payable .........................
|
|
|
|
|
|
| Jan. 8
| Accounts receivable ..........................
| 5,000
|
|
| Sales revenue ................................
|
| 5,000
|
|
|
|
| Jan. 8
| Cost of goods sold ...........................
| 2,800
|
|
| Inventory ......................................
|
| 2,800
|
|
|
|
| Jan. 10
| Inventory ..........................................
| 9,500
|
|
| Accounts payable .........................
|
| 9,500
|
|
|
|
| Jan. 13
| Equipment ........................................
|
|
|
| Cash .............................................
|
|
|
|
|
|
| Jan. 16
| Accounts payable .............................
| 5,500
|
|
| Cash .............................................
|
| 5,500
|
|
|
|
| Jan. 18
| Cash .................................................
| 4,000
|
|
| Accounts receivable ......................
|
| 4,000
|
|
|
|
| Jan. 20
| Rent expense ....................................
|
|
|
| Cash ..............................................
|
|
|
|
|
|
| Jan. 30
| Wage expense ...................................
| 3,000
|
|
| Cash .............................................
|
| 3,000
|
|
|
|
| Jan. 31
| Retained earnings .............................
| 1,000
|
|
| Cash .............................................
|
| 1,000
| Problem 2-2 (continued)
Requirements 1 and 3 balance sheet Accounts
Cash Accounts receivable
__________________________ __________________________
1/1 Bal. 5,000 1/1 Bal. 2,000
1/1 3,500 800 1/13 1/8 5,000 4,000 1/18
1/18 4,000 5,500 1/16
800 1/20
3,000 1/30
1,000 1/31
_______________ _______________
1/31 Bal. 1,400 1/31 Bal. 3,000
Inventory Equipment
__________________________ __________________________
1/1 Bal. 5,000 1/1 Bal. 11,000
1/10 9,500 2,000 1/1 1/2 5,500
2,800 1/8 1/13 800
_______________ _______________
1/31 Bal. 9,700 1/31 Bal. 17,300
Accumulated depreciation Accounts payable
__________________________ __________________________
3,500 1/1 Bal. 3,000 1/1 Bal.
1/16 5,500 5,500 1/2
150 1/4
9,500 1/10
_______________ _______________
3,500 1/31 Bal. 12,650 1/31 Bal.
Common stock Retained earnings
__________________________ __________________________
10,000 1/1 Bal. 6,500 1/1 Bal.
1/31 1,000
_______________ _______________
10,000 1/31 Bal. 5,500 1/31 Bal.
Problem 2-2 (continued)
InCOME STATEMENT Accounts
Sales revenue Cost of goods sold
__________________________ __________________________
0 1/1 Bal. 1/1 Bal. 0
3,500 1/1 1/1 2,000
5,000 1/8 1/8 2,800
_______________ _______________
8,500 1/31 Bal. 1/31 Bal. 4,800
Rent expense Wage expense
__________________________ __________________________
1/1 Bal. 0 1/1 Bal. 0
1/20 800 1/30 3,000
_______________ _______________
1/31 Bal. 800 1/31 Bal. 3,000
Advertising expense
__________________________
1/1 Bal. 0
1/4 150
_______________
1/31 Bal. 150
Problem 2-2 (concluded)
Requirement 4
|
|
|
|
| Account Title
| Debits
| | Credits
|
| Cash
| 1,400
|
|
|
| Accounts receivable
| 3,000
|
|
|
| Inventory
| 9,700
|
|
|
| Equipment
| 17,300
|
|
|
| Accumulated depreciation
|
|
| 3,500
|
| Accounts payable
|
|
| 12,650
|
| Common stock
|
|
| 10,000
|
| Retained earnings
|
|
| 5,500
|
| Sales revenue
|
|
| 8,500
|
| Cost of goods sold
| 4,800
|
|
|
| Wage expense
| 3,000
|
|
|
| Rent expense
|
|
|
|
| Advertising expense
| 150
|
| ______
|
| Totals
| 40,150
|
| 40,150
|
|
|
|
|
|
|
|
|
|
|
| 1. Depreciation expense........................................... 10,000
Accumulated depreciation................................ 10,000
2. Bad debt expense ($5,500 - 3,000)............................ 2,500
Allowance for uncollectible accounts................ 2,500
3. Wage expense....................................................... 1,500
Wages payable.................................................. 1,500
4. Interest expense ($50,000 x 12% x 3/12)..................... 1,500
Interest payable................................................ 1,500
5. Interest receivable ($20,000 x 8% x 10/12).................. 1,333
Interest revenue................................................ 1,333
6. Prepaid insurance ($6,000 x 15/24)........................... 3,750
Insurance expense............................................. 3,750
7. Supplies expense ($1,500 - 800)............................... 700
Supplies............................................................ 700
8. Sales revenue........................................................ 2,000
Unearned revenue............................................. 2,000
9. Rent expense........................................................ 1,000
Prepaid rent ..................................................... 1,000
Problem 2-4
Requirements 1 and 2
Balance sheet Accounts
Date: 2015-12-11; view: 1176
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