ZuoTi.Pro
Question

Please write a clear answers and l account Recovered method was used). Paid cash for land. that was previously written off (assume direct write direct write-off id cash for other operating expenses. m 7-26B Comprekensive accounting cycle problem (ases percent of revee erms problem allowance method) rial balance was prepared for Village Cycle Sales and Service on December 31, Year . LO 7-1,7-5,7-6 her the closing entries were posted: Account Title Debit Credit Cash Accounts Receivable Allowance for Doubtful Accounts Inventory Accounts Payable Common Stock Retained Earnings $46,200 21,300 ible. 1350 85,600 28,000 80,000 s, using a e, and NA not affect $153.100 $153.100 Totals Village Cycle had the following transactions in Year 2 1. Purchased merchandise on account for $260,000. 2. Sold merchandise that cost $243,000 on account for $340,.000. 3. Performed $80,000 of services for cash. h Flow FACash Flow Statement is excluded412 Chapter 7 se cost $41,250. The handi Gr 4. Sold merchandise for $60,000 to credit card customers. The merchandise cost $41.2 card company charges a 5 percent fee. 5. Collected $348,000 cash from accounts receivable. 6. Paid S265,000 cash on accounts payable. 7. Paid S115,000 cash for selling and administrative expenses. 8. Collected cash for the full amount due from the credit card company (see item 4) 9. Loaned $50,000 to Lee Supply. The note had a 9 percent interest rate and a one-year term to maturitny 10. Wrote off $830 of accounts as uncollectible. 11. Made the following adjusting entries: (a) Recorded three months interest on the note at December 31, Year 2 (see item 9). (b) Estimated uncollectible accounts expense to be 5 percent of sales on account. Required Prepare general journal entries for these transactions, and post the entries to T-accounts. Also, prepare an income statement, a statement of changes in stockholders equity, a balance sheet, and a statement of cash flows for Year 2 ANALYZE, THINK, COMMUNICATE ATC 7-1 Business Applications Case Required Obtain the Ta Understanding real-world annual reports arget Corporations annual report at http://investors.target.com using the instructions in Appendix B, and use it to answer the following questions: e who has shopped at Target knows that many of its customers use a credit card to pay for is even a Target brand credit card. However, Target did not report any accounts receivables or credit card reo

You have to answer from 1 to 11b

business   accounting   
0 0
Add a comment Improve this question Transcribed image text
Next > < Previous
Sort answers by oldest

Homework Answers

Answer #1

Journal in in Date Particulars Debit Credit Inventory Accounts Payable To record Inventory purchased on account) 2,60,000 2,60,000 Accounts Receivable Sales To record sales made on account) 3,40,000 3,40,000 Cost of Goods sold Inventory To record cost of goods sold) 2,43,000 2,43,000 Cash Services income To record receipt of cash from services) 80,000 80,000 4Accounts Receivable (60000-3000) 57,000 3,000 Bank Charges (60000*5%) Sales To record sales made credit card customers) 60,000 Cost of Goods sold Inventory To record cost of goods sold) 41,250 41,250 Cash Accounts Receivable To record receipt of cash from customer on account) 5 3,48,000 3,48,000 Accounts Payable Cash To record payment to creditors on account) 6 2,65,000 2,65,000Ledgers Cash (in $) (in $) Balance Date Item Debit Credit Debit 46,200 Credit Balance b/d Service Income Accounts Receivable Accounts Receivable Accounts Payable Selling and Administrative expenses Loan to Lee Supply 80,000 3,48,000 57,000 1,26,200 4,74,200 5,31,200 2,66,200 1,51,200 1,01,200 2,65,000 1,15,000 50,000 Balance c/d 1,01,200 Accounts Receivable (in $) (in $) Balance Debit 21,300 Date Item Debit Credit Credit Balance b/d 3,40,000 57,000 Sales Sales Cash Cash Allowance to Doubtful Accounts 3,48,000 57,000 830 3,61,300 4,18,300 70,300 13,300 12,470 Balance c/d 12,470Allowance to Doubtful Accounts (in $) (in $) Balance Date Item Debit Credit Debit Credit Balance b/d 1,350 Accounts Receivable 830 520 1,700 2,220 2,220 (in $) Credit Uncollectible Account expenses Balance c/d Inventory (in $) Balance Debit Credit Debit 85,600 Date Item Balance b/d Accounts Payable Cost of Goods sold Cost of Goods sold 2,60,000 2,43,000 41,250 3,45,600 1,02,600 61,350 Balance c/d 61,350 Interest Receivable (in $) (in $) Balance Date Item Debit Credit Debit Credit Balance b/d Interest Receivable 1,125 1,125 Balance c/d 1,125Loan to Lee Su (in $) (in $) Balance Date Item Debit Credit Debit Credit Balance b/d Cash 50,000 50,000 Balance c/d 50,000 Accounts Pavable (in $) (in $) Balance Date Item Debit Credit Debit Credit 28,000 Balance b/d 2,60,000 2,88,000 Inventory Cash 2,65,000 23,000 23,000 (in $) Credit Balance c/d Common Stock (in $) Balance Date Item Debit Credit Debit Balance b/d 80,000 Balance c/d 80,000 Retained Earnin (in $) (in $) Balance Credit Debit Credit 43,750 Date Item Debit Balance b/d Balance c/d 43,750Sales (in $) (in $) Balance Date Item Debit Credit Debit Credit Balance b/d Accounts Receivable Accounts Receivable Bank Charges 3,40,000 57,000 3,000 3,40,000 3,97,000 4,00,000 Balance c/d 4,00,000 (in S) (in $) Service Income Balance Date Item Debit Credit Debit Credit Balance b/d Cash 80,000 80,000 80,000 (in $) Credit Balance c/d Interest Income (in $) Balance Date Item Debit Credit Debit Balance b/d Cash 1,125 1,125 Balance c/d 1,125Cost of Goods sold (in $) (in $) Balance Date Item Debit Credit Debit Credit Balance b/d Invento Invento Balance c/d 2,43,000 41,250 2,43,000 2,84,250 2,84,250 Selling and Administrative expenses (in $) (in $) Balance Date Item Debit Credit Debit Credit Balance b/d 1,15,000 1,15,000 (in $) Debit Cash 1,15,000 Balance c/d Bank Charges (in $) Balance Date Item Debit Credit Credit Balance b/d Sales 3,000 3,000 Balance c/d 3,000 Uncollectible Account expenses (in $) (in $) Balance Date Item Debit Credit Debit Credit Balance b/d Allowance to Doubtful Accounts 1,700 1,700 Balance c/d 1,700Income Statement (Single-Step) for the year 2 Particulars Sales Service Income Interest Income 4,00,000 80,000 1,125 Total Revenue 4,81,125 (-) Expenses Cost of goods sold Selling and Administrative Expenses Bank Charges Uncollectible Accounts expenses 2,84,250 1,15,000 3,000 1,700 Total Expenses 4,03,950 Net Income 77,175 Statement of Owners Equit Particulars Common Stock Retained Earning:s Total Opening Balance 80,000 43,750 1,23,750 (+) Increase (Net Profit for the year) (-) Deductions 77,175 77,175 Closing Balance 80,000 1,20,925 2,00,925Balance Sheet as at end of Year 2 Particulars Assets Cash Accounts Receivable (-) Allowance to Doubtful Accounts Inventory Interest Receivable Loan to Lee Supply 1,01,200 12,470 2,220 10,250 61,350 1,125 50,000 2,23,925 Total Assets Liabilities Accounts Payable Total Liabilities 23,000 23,000 Owners Equity 2,00,925 Total Liabilities and Owners Equity 2,23,925

0 0
Add a comment
Know the answer?
Add Answer to:
Please write a clear answers and Cash Flow Statement is excluded You have to answer from...
Your Answer:

Post as a guest

Your Name:

What's your source?

Earn Coins

Coins can be redeemed for fabulous gifts.

Log In

Sign Up

Not the answer you're looking for? Ask your own homework help question. Our experts will answer your question WITHIN MINUTES for Free.
Similar Homework Help Questions

  • Please write a clear answer and Use Microsoft Excel to simplify entries You have to answer...

    Please write a clear answer and Use Microsoft Excel to simplify entries You have to answer from letter A to Letter N ent, statement of changes in stockhoilder' equity, balance shece, and sactions and post them to T-sccounts tment of cash flows for Year 1, 25A Effect of transactions on the elements of financial statements Required hof the following independent transactions as asset source (AS, asset use (AU), asset or claims exchange (CE). Also explain bow each event affects assets,...

  • The following trial balance was prepared for Tile, Etc., Inc. on December 31, 2017, after the...

    The following trial balance was prepared for Tile, Etc., Inc. on December 31, 2017, after the closing entries were posted: Account Title Cash $ 160,000 Accounts receivable 135,000 Allowance for doubtful accounts $ 23,000 Inventory 445,000 Accounts payable 105,000 Common stock 500,000 Retained earnings 112,000 Tile, Etc. had the following transactions in 2018: Purchased merchandise on account for $630,000. Sold merchandise that cost $470,000 for $990,000 on account. Sold for $295,000 cash merchandise that had cost $180,000. Sold merchandise for...

  • The following trial balance was prepared for Tile, Etc., Inc. on December 31, 2017, after the...

    The following trial balance was prepared for Tile, Etc., Inc. on December 31, 2017, after the closing entries were posted: Account Title Cash $ 160,000 Accounts receivable 135,000 Allowance for doubtful accounts $ 23,000 Inventory 445,000 Accounts payable 105,000 Common stock 500,000 Retained earnings 112,000 Tile, Etc. had the following transactions in 2018: Purchased merchandise on account for $630,000. Sold merchandise that cost $470,000 for $990,000 on account. Sold for $295,000 cash merchandise that had cost $180,000. Sold merchandise for...

  • The following trial balance was prepared for Tile, Etc., Inc. on December 31, 2017, after the...

    The following trial balance was prepared for Tile, Etc., Inc. on December 31, 2017, after the closing entries were posted: Account Title Cash $ 110,000 Accounts receivable 125,000 Allowance for doubtful accounts $ 18,000 Inventory 425,000 Accounts payable 95,000 Common stock 450,000 Retained earnings 97,000 Tile, Etc. had the following transactions in 2018: Purchased merchandise on account for $580,000. Sold merchandise that cost $420,000 for $890,000 on account. Sold for $245,000 cash merchandise that had cost $160,000. Sold merchandise for...

  • Solutions to problems in photos? ESSAY. Write your answer in the space provided or on a...

    Solutions to problems in photos? ESSAY. Write your answer in the space provided or on a separate sheet of paper. 22) Prepare the adjusting journal entry of Bad Debts Expense from the following information using the income statement approach. Net Sales for the year Balance in the allowance account Estimated percentage of sales uncollectible Estimated uncollectible accounts-aging $300,000 500 credit 1% $2,000 23) Prepare the adjusting journal entry for Bad Debts Expense from the following information using the balanoe sheet...

  • Exercise 7-10A Accounting for uncollectible accounts: percent of revenue allowance versus direct write-off method LO 7-1,...

    Exercise 7-10A Accounting for uncollectible accounts: percent of revenue allowance versus direct write-off method LO 7-1, 7-4 Joey’s Bike Shop sells new and used bicycle parts. Although a majority of its sales are cash sales, it makes a significant amount of credit sales. During Year 1, its first year of operations, Joey’s Bike Shop experienced the following: Sales on account $ 270,400 Cash sales 660,200 Collections of accounts receivable 256,880 Uncollectible accounts charged off during the year 1,292 Required: a....

  • only final answers plz releme for uncollectible accounts The difference between total accounts A. Net accounts...

    only final answers plz releme for uncollectible accounts The difference between total accounts A. Net accounts receivable (net realizable value B. Allowance for collectible accounts. C. Net income D. Net revenue. 4. At the end of the year before adjustment account balance of $218.000 and the allowance for collectible accounts had a $600 credit hal a u nts receivable determines that the allowance for uncollectible accounts should be 3 of accounts receivable. The adjusting entry would include a credit to...

  • Saved Help S Exercise 7-10A Accounting for uncollectible accounts: percent of revenue allowance versus direct write-...

    Saved Help S Exercise 7-10A Accounting for uncollectible accounts: percent of revenue allowance versus direct write- off method LO 7-1, 7-4 Joey's Bike Shop sells new and used bicycle parts. Although a majority of its sales are cash sales, it makes a significant amount of credit sales. During Year 1, its first year of operations, Joey's Bike Shop experienced the following: Sales on account Cash sales Collections of Bccounts receivable Uncollectible accounts charged off during the year $282,700 650.900 268,565...

  • Thanks for helping with this Accounting problem. Please answer all three requirements ... thank you Raintree...

    Thanks for helping with this Accounting problem. Please answer all three requirements ... thank you Raintree Cosmetic Company sells its products to customers on a credit basis. An adjusting entry for bad debt expense is recorded only at December 31, the company's fiscal year-end. The 2020 balance sheet disclosed the following: Current assetst Receivables, net of allowance for uncollectible accounts of $43,000 $ 497,000 During 2021, credit sales were $1,815,000, cash collections from customers $1,895,000, and $52,000 in accounts receivable...

  • Please help in finding and/or coming to the correct formulas/numbers to plug in beginning from Requirement...

    Please help in finding and/or coming to the correct formulas/numbers to plug in beginning from Requirement Part 2(b) to Requirement 3. Everything that has a number of 22,222 needs to be replaced. The following information will be useful. Raintree Cosmetic Company sells its products to customers on a credit basis. An adjusting entry for bad debt expense is recorded only at December 31, the company’s fiscal year-end. The 2020 balance sheet disclosed the following: Current assets: Receivables, net of allowance...

ADVERTISEMENT
Free Homework Help App
Download From Google Play
Scan Your Homework
to Get Instant Free Answers
Need Online Homework Help?
Ask a Question
Get Answers For Free
Most questions answered within 3 hours.
ADVERTISEMENT
ADVERTISEMENT
ADVERTISEMENT