Question

Question 13 Janeek Inc. experienced the following events in 2018, its first year of operation: 1. Performed counseling services for $13,850 cash. 2. Purchased $1,810 of supplies on account. 3. A physical count on December 31, 2018, found that there was $250 of supplies on hand. Based on this information, the balance in Supplies Expense as of 12/31/18 is $ Question 14 Hadley Dress Shops experienced the following events during its third accounting period. (1) Sold merchandise that cost $6,755 for $17,745 cash. (2) Paid $3,753 of operating expenses. (3) Paid a $2,160 cash dividend. Based on this information, the amount of the gross margin is Question 15 During the year, Evan's Baseball Camps (EBC) experienced the following transactions: 1. EBC acquired $38,310 cash by issuing common stock. 2. EBC received $65,775 cash for providing services to customers.. 3. EBC paid $31,131 cash for salaries expense. 4. EBC paid a $9,487 cash dividend to the owners. What amount of retained earnings will EBC report on the December 31 balance sheet? $_

Answer 1

Answer to Q#13 (First question in the list): Supplies purchased on account Less: Balance in supplies as per physical count Supplies Expense as of 12/31/18 $1,810 $250 $1,560 NOTE: Supplies is a current asset to be reported on firm's balance sheet when it is purchased initially. At the end of reporting period, physical count of available supplies on hand shall be conducted. The difference between supplies asset initially recorded and the physical count balance shall be recorded as supplies expense for the reporting period concerned.