Question

i Data Table -X1 Credit Vinson Company Post-Closing Trial Balance December 31, 2018 Account Debit Cash 18,000 Accounts Receivable 22,800 Raw Materials Inventory 13,000 Finished Goods Inventory 25,200 Equipment 145,000 Accumulated Depreciation $ 65,000 Print Done

Answer 1

1			Budgeted income statement
					$	$
	Sales					308500
	Less: Cost of goods sold					71600
	Gross profit					236900
	Less:selling and administrative expenses
	Salaries expense				13000
	Rent expense				5500
	Insurance expense				1300
	Depreciation expense				500
	Supplies expense				6170	26470
	Income before tax					210430
	Less: Income tax expense					40000
	Net income					170430
2
			Budgeted balance sheet
						$
	Assets
	Current assets:
	Cash			(Note:1)		116480
	Accounts receivable			(Note:2)		69000
	Raw materials inventory			(Note:3)		13000
	Finished goods inventory			(Note:4)		9050
	Total			A		207530
	Property,plant and equipment:
	Equipment			(145000+41000)	186000
	Less: Accumulated depreciation			(65000+1500+500)	67000
	Equipment (net)			B		119000
	Total assets			A+B		326530
	Laibilities and stockholder's equity
	Current labilities
	Accounts payable		(Note:5)	C		14400
	Stockholder's equity:
	Common stock					100000
	Retained earnings			(41700+170430)		212130
	Total stockholder's equity			D		312130
	Total laibilities and stockholder's equity (C+D)					326530
	Note:1-Cash balance
					$	$
	Beginning balance					18000
	Add:
	Cash receipts from customers					262300
						280300
	Less:
	Direct material purchase paid-(36000*60%)				21600
	Direct labor				14000
	Manufacturing overhead:
	Variable manufacturing overhead				2900
	Insurance and property taxes				1050
	Selling and administrative expense:
	Salaries expense				13000
	Rent expense				5500
	Insurance expense				1300
	Supplies expense				6170
	Income tax expense				40000
	Accounts payable-Beginning balance				17300
	Payment for capital expenditures				41000	163820
	Ending balance					116480
	Note:2- Accounts receivable balance
					$
	Beginning balance				22800
	Add: Sales on account				308500
					331300
	Less: Cash receipt from customers				262300
	Ending balance				69000
	Note:3-Raw materials inventory balance
					$
	Beginning balance				13000
	Add: raw materials purchased				36000
					49000
	Less: Materials used				36000
	Ending balance				13000
	Note:4-Finished goods inventory balance
					$	$
	Beginning balance					25200
	Add: Total manufacturing cost
	Direct materials used				36000
	Direct labor cost				14000
	Budgeted manufacturing overhead:
	Variable manufacturing overhead				2900
	Depreciation				1500
	Insurance and property taxes				1050	55450
						80650
	Less: Cost of goods sold					71600
	Ending balance					9050
	Note:5-Accounts payable
					$	$
	Beginning balance					17300
	Add: Direct material purchase-36000*40%					14400
						31700
	Less: beginning balance paid					17300
	Ending balance					14400