A. Identify the nature of each account using the letter A for assets, L for liabilities, SE for shareholders' equity, R for revenue, E for expenses, and NA for not applicable. Accounts Amount A, L, SE, R, E or NA 1 Salaries expense $ 43,000 2 Common stock 47,500 3 Accounts receivable 55,500 4 Dividends paid 19,000 5 Sales revenue 267,000 6 Inventory 7 Wages payable 8 Equipment 9 Cost of goods sold 51,500 14,000 175,000 104,000 10 Rent expense 19,000 11 Income tax expense 30,500 12 Cash 62,500 13 Retained earnings 56,500 B. Calculate net income for the period. C. How much has been earned by the company's operations but not distributed to shareholders?
A. Identify the nature of each account using the letter A for assets, L for liabilities, SE for shareholders' equity, R for revenue, E for expenses, and NA for not applicable. Accounts Amount A, L, SE, R, E or NA 1 Salaries expense $ 43,000 2 Common stock 47,500 3 Accounts receivable 55,500 4 Dividends paid 19,000 5 Sales revenue 267,000 6 Inventory 7 Wages payable 8 Equipment 9 Cost of goods sold 51,500 14,000 175,000 104,000 10 Rent expense 19,000 11 Income tax expense 30,500 12 Cash 62,500 13 Retained earnings 56,500 B. Calculate net income for the period. C. How much has been earned by the company's operations but not distributed to shareholders?
Chapter5: Completing The Accounting Cycle
Section: Chapter Questions
Problem 1PB: Identify whether each of the following accounts would be considered a permanent account (yes/no) and...
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