Question

do the following for From the ledger balances and additional data given, do the follow Cross Lumber for the year ended December 31, 201X. 1. Prepare the worksheet. 2. Prepare the income statement, statement of owner's equity, and balance sheet. 3. Journalize and post adjusting and closing entries. (Be sure to put beginning balances in the ledger first.) 4. Prepare a post-closing trial balance. 5. Journalize the reversing entry for wages accrued. Account Balances of Cross Lumber $ 110 1,300 1.280 4,300 267 209 3,300 530 1,200 5,761 2,700 Acct. No. Cash 111 Accounts Receivable 112 Merchandise Inventory 113 Lumber Supplies 114 Prepaid Insurance 121 Lumber Equipment 122 Acc. Dep., Lumber Equipment 220 Accounts Payable 221 Wages Payable 330 J. Cross, Capital 331 J. Cross, Withdrawals 332 Income Summary 440 Sales Sales Returns and Allowances 550 Purchases 551 Purchases Discount Purchases Returns and Allowances 660 Wages Expense 661 Advertising Expense Rent Expense Dep. Exp., Lumber Equipment 664 Lumber Supplies Expense 665 Insurance Expense 441 23,200 230 14,500 325 340 552 2,120 370 062 663 $4,700 Additional Data a./b. Merchandise inventory, December 31 C. Lumber supplies on hand, December 31 d. Insurance expired e. Depreciation for the year f. Accrued wages on December 31 120 210 135

posting for the remaining parts. first four already done on previous question

Answer 1

1.

Cross Lumber Worksheet
	Trial Balance		Adjustments		Adjusted Trial Balance		Income Statement		Balance Sheet
Accounts	Debit	Credit	Debit	Credit	Debit	Credit	Debit	Credit	Debit	Credit
Cash	1,300				1,300				1,300
Accounts Receivable	1,280				1,280				1,280
Merchandise Inventory	4,300				4,300		4,300(a)	4,700(b)	4,700
Lumber Supplies	267			192 (c)	75				75
Prepaid Insurance	209			120(d)	89				89
Lumber Equipment	3,300				3,300				3,300
Accumulated Depreciation: Lumber Equipment		530		210 (e)		740				740
Accounts Payable		1,200				1,200				1,200
Wages Payable		-		135 (f)		135				135
J. Cross, Capital		5,761				5,761				8,669
J. Cross, Withdrawals	2,700				2,700
Income Summary
Sales		23,200						23,200
Sales Returns and Allowances	230						230
Purchases	14,500						14,500
Purchase Discount		325						325
Purchase Returns and Allowances		340						340
Wages Expense	2,120		135 (f)		2,255		2,255
Advertising Expense	370						370
Rent Expense	780						780
Dep. Exp., Lumber Equipment	-		210 (e)				210
Lumber Supplies Expense	-		192 (c)		192		192
Insurance Expense	-		120 (d)		120		120
Totals			657	657			22,957	28,565	10,744	10,744

2. a.

Cross Lumber Income Statement For the year ended...
Net Sales		$ 22,970
Cost of Goods Sold		13.435
Gross Profit		9,535
Operating Expenses
Advertising Expense	370
Wages Expense	2,255
Rent Expense	780
Depreciation Expense	210
Lumber Supplies Expense	192
Insurance Expense	120
Total Operating Expenses		3,927
Net Income		5,608

b.

Cross Lumber Statement of Owner's Equity For the year ended Decemer 31 20IX
J. Cross, Capital, Beginning	$ 5,761
Net Income	5,608
J. Cross, Withdrawals	(2,700)
J. Cross, Capital, Ending	$ 8,669

c.

Cross Lumber Balance Sheet December 31, 20IX
Assets			Liabilities
Cash	1,300		Accounts Payable	1,200
Accounts Receivable	1,280		Wages Payable	135
Merchandise Inventory	4,700		Total Current Liabilities		1,335
Lumber Supplies	75		Owner's Equity
Prepaid Insurance	89		J. Cross, Capital		8,669
Total Current Assets		7,444
Lumber Equipment, net		2,560
Total Assets		10,004	Total Liabilities and Owner's Equity		10,004