1 | c. | To record unearned fees earned during the year | ||||
d. | To record supplies used | |||||
e. | To record prepaid insurance expired during the year | |||||
f. | To record depreciation on building | |||||
g. | To record depreciation on equipment | |||||
h. | To record interest revenue earned but not received during the year | |||||
i. | To record wages accrued during the year | |||||
2 | Date | Acount titles and explanation | Debit | Credit | ||
Dec 31. | Sales | 195180 | ||||
Interest income | 174 | |||||
Purchase returns and allowances | 832 | |||||
Purchase discounts | 1248 | |||||
Miscellaneous expense | 200 | |||||
Course fee income | 900 | |||||
Income summary | 198534 | |||||
(To close temporary accounts ) | ||||||
Dec 31. | Income summary | 141674 | ||||
Sales returns and allowances | 840 | |||||
Sales discounts | 1880 | |||||
Purchases | 87140 | |||||
Freight-in | 2460 | |||||
Wages expense | 47020 | |||||
Taxes expense | 1960 | |||||
Interest expense | 374 | |||||
(To close temporary accounts ) | ||||||
Dec 31. | Income summary | 54760 | ||||
Retained earnings | 54760 | |||||
(To close income summary ) | ||||||
Dec 31. | Retained earnings | 36900 | ||||
Dividends | 36900 | |||||
(To close dividend) | ||||||
3 | Net income or Net (loss): | |||||
$ | $ | |||||
Net sales | (Note:1) | 192460 | ||||
Interest income | 174 | |||||
Course fee income | 900 | |||||
Miscellaneous | 200 | |||||
Total revenues | 193734 | |||||
Less: Expenses | ||||||
Cost of goods sold | (Note:2) | 89620 | ||||
Wages expense | 47020 | |||||
Taxes expense | 1960 | |||||
Interest expense | 374 | |||||
Supplies expense | 925 | |||||
Insurance expense | 380 | |||||
Depreciation expense-Building | 5000 | |||||
Depreciation expense-Equipment | 4000 | |||||
Total expenses | 149279 | |||||
Net income | 44455 | |||||
Note:1 | ||||||
Net sales | ||||||
$ | $ | |||||
Sales | 195180 | |||||
Less: | ||||||
Sales returns and allowances | 840 | |||||
Sales discounts | 1880 | 2720 | ||||
Net sales | 192460 | |||||
Note:2 | ||||||
Cost of goods sold=Beginning inventory+Net cost of purchases-Ending inventory | ||||||
Net cost of purchases=Net purchases+Transportation-in (Freight-in) | ||||||
Net purchases=Purchases-Purchases returns and allowances-Purchase discounts=87140-832-1248=$ 85060 | ||||||
Net cost of purchases=85060+2460=$ 87520 | ||||||
Cost of goods sold=67000+87520-64900=$ 89620 | ||||||
4 | Total assets: | |||||
$ | ||||||
Cash | 19154 | |||||
Notes receivable | 4000 | |||||
Accounts receivable | 29446 | |||||
Merchandise inventory | 64900 | |||||
Supplies | 515 | |||||
Prepaid insurance | 580 | |||||
Land | 12000 | |||||
Building | 90000 | |||||
Accumulated depreciation-Building | -37000 | |||||
Equipment | 33600 | |||||
Accumulated depreciation-Equipment | -20400 | |||||
Interest receivable | 54 | |||||
Total | 196849 | |||||
Total liabilities: | ||||||
$ | ||||||
Notes payable | 3000 | |||||
Accounts payable | 36200 | |||||
Unearned course fees | 300 | |||||
Mortgage payable | 8000 | |||||
Wages payable | 1220 | |||||
Total | 48720 | |||||
Total equity: | ||||||
$ | ||||||
Capital stock | 50000 | |||||
Retained earnings | (Note:3) | 98129 | ||||
Total | 148129 | |||||
Note:3 | Retained earnings | |||||
$ | ||||||
Beginning balance | 90574 | |||||
Add: Net income | 44455 | |||||
135029 | ||||||
Less: Dividend | 36900 | |||||
Ending balance | 98129 | |||||
please help me with this Accounting Extra Credit Problem Adjusting Entries, Closing Entries, Reversing Entries, and...
Accounting Extra Credit Problem Adjusting Entries, Closing Entries, Reversing Entries, and Effectspn Individual Accounts, Income Statement, and Balance Sheet Note: Miracle Garden Supply uses a seriedis inventory system The workbook includes a partial worksheet consisting of: (1) An Unadjusted Trial Balance (2) Year-end Adjustments (3) An Adjusted Trial Balance The year-end adjusting journal entries (AJES) have already been recorded; each AJE is identified by a lower case letter in parenthesis (for example, (a), (b)(c) (d), etc.). When the requirement asks...
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