Question

Note: Problems 1-4 relate to the trial balance below. Note: Problems 5 and 6 are independent (use information provided for each of these problems only). Marcel Sports Acct 311 - Quix 3 of 6 - Trial Balance s Det 140,000 475,000 s 28, 225 50,000 17.000 365,000 1,305,000 265,000 1,500,000 550,000 1,325,000 Accounts Receivable Allowance for Doubtful Accounts Notes Receivable Supplies Inventory 1/1/17 Equipment Accumulated Depercialion - Equipment Buildir Accumulated Depercialion - Building Land Accounts Payable Salaries and Wax Payable Noles Payable More Payable Common stock, Par Valueso.05 APIC Roland Earnings Dividends Sales Revenue Sales Discounts Sales Returns and Allowance Purch Purch Discounts Freight in Selling Expenses Administrative Expres Rent Revenue Income Tan Expen Gain on Sale of Land 365,00 65,000 1,250,00 1,325,000 125,000 475,000 424,000 $ 230,000 3,565,000 155,000 175,000 1,750,225 60,000 S s s 65,000 355,000 455.000 55,000 s 285,000 s 8,727,225 175.000 8,727.225 s Physical Inventory 31-Dec 559,100 S Ya $ 1,561,125 Problem 1 - Calculate Net Sales Problem 2 - Calculate Cost of Goods Sold. Nate: Correct answer $1,561,125. Problem 3 - Calculate Shares outstanding. Problem 4 - Prepare the Income Statement 1

Answer 1

calculation of NEL SOLES :- Soles Revennet, 3.568000 Meni Sare Returul Allowance :- (1) 17 sooo sales Disconti. Cissooo) Ner soteste.. 3235000 2 2 colutation of co Gis)- ing Inventory e 36 Sooo nabir ploocha = 1750225 freight onward 6 Sovo repi Purchase Discount 6oooo) clo cast long goods solda 1 561125 Note: freigur award is freated prot of ponchose amount sing Inventory &59100)

s 0.05 3 Calculation of shares outstanding & Common stock vare : 125000 par vauwe perthore so Torol number of shares tstanding 125000 10.05 = 25ooooo shares.

Marcell Sports Inc. Income Statement For the Years Ending 31 December 2017 $ Revenue Gross sales (Less sales returns and allowances) (Less Sales Discount) Net Sales 3,565,000.00 (175,000) (150,000) 3,240,000.00 $ Cost of Goods Sold Opening Inventory Add :- Purchases Add :- Frieght Inward Less :- Purchase Discount Less :- Closing Inventory Cost of Goods Sold A A A A 365,000.00 1,750,225.00 65,000.00 (60,000.00) (559,100.00 1,561,125.00 $ Gross Profit (Loss) $ 1,678,875.00 Expenses Administration Expenses Dividend Paid Selling Expenses Total Operating Expenses $ $ $ $ 455,000.00 230,000.00 355,000.00 1,040,000.00 638,875 Operating Income (Loss) Non-operating revenues, expenses, gains, losses Gain on Sale of Land Rent Revenue Income Before Taxes (Less income tax expense) Income From Continuing Operations ിക ക ക ക 175,000.00 55,000.00 868,875.00 (285,000.00 583,875.00 Below-the-Line Items Income from discontinued operations Extraordinary items Cumulative effect of accounting changes Net Income $ 583,875.00