help fill out the balance sheet and statement of cash flows AssetsLiabilitdesAmounts in US $CashOther AssetsStockRetained EamingsDuing Apil, its first month of business, Kary no Key, Inc.1 Issued stock to Its owners, Louden Clear and Justin Tune, in exchange for cash2 issued a 3-month, 6% promissory note to the bank due on June 303 Purchased 200 karaoke machines it plans to sell paying cashPer UnitTotalAmountAccount TitleAmountAccount TitleAmountAccount Title116,000116,000111,000116,000111.000111,000notes payable(23,000(138,000)23,00023,000InventoryEquipmentPurchased a display stand on April 1 with a 10 year useful life paying cashSold 150 karaoke machines for cash:4138,000138,00024,150(17,250)(1,554)(1,130)(1,150(555)Record the sale24,150Sales Revenue161.00Cost of Goods Sold23 614 7 Declared and paid a cash dividend to its shareholders15 A1 Adjusted for depreciation on its equipment with a 10-year useful life and no salvage value16 A2 Adjusted for interest owed on loan with 6% Interest and principal due on June 30Record the cost of the sale(17,250)Inventory(1,554)Wages ExpenseDividendsPald its employee cash for services performed in April1.5541,130(1,130)Depreciation ExpenseInterest Expense1,150(1.150)Accumulated Depreciation555555Interest Payable17Column Totols87,466142,600111,555116,0002,51118 24 Beginning Retained Eamings25 Net Income26 Dividends27 Ending Retained Earnings3.841(1130a2511 a28118511 a29 TotalShareholders' Equity30313233Karry no Key, Inc.34Statement of Cash Flows3536 Cash from Operating Activities37 Cash Collected from Customers38 Cash Paid for inventory39 Cash Paid for Wages40 Total Cash from Operating Activities41 Cash from Investing Adtivities42 Purchase of Equipment43 Cash from Finandng Adivities44 Issuance of Stock45 Proceeds from Loans46 Cash Paid for Dividends47 Net Cash from Financing Activities48 Net Change in Cash49 Plus Beginning Cash Balance50 Ending Cash BalanceVa/an/a/a/ar/an/ar/an/an/ar/a51525354Karry no Key. Inc.55Balance Sheet565758 Inventory59 Total Current Assets60 Equipment, Net of Accumulated Depreciation61 Total Assetsn/an/an/an/an/a62 Notes Payable63n/an/an/an/an/an/a64 Total Current Liabilities6566 Retained Earnings67 TotalLiabilities and Shareholders' Equity686970InstructionsJournalStatenReady

1. Balance Sheet 2. Statement of Cash Flow The first statement shows the income earned and loss…

Assets Liabilides Amounts in US $ Cash Other Assets Stock Retained Eamings During April, its fist month of business, Kary no Key, Inc.: 1 Issued stock to its owners, Louden Clear and Justin Tune, in exchange for cash 2 Issued a 3-month, 6% promissory note to the bank due on June 30 3 Purchased 200 karaoke machines it plans to sell paying cash Per Unit Total Amount Account Title Amount Account Title Amount Account Title %24 116,000 116,000 116,000 111,000 111,000 111,000 notes payable 3 23,000 (23,000) 23,000 Inventory Equipment 4. Purchased a display stand on April 1 with a 10 year useful life paying cash 138,000 (138,000) 138,000 Sold 150 karaoke machines for cash: 24,150 (17,250) Record the sale 161.00 24,150 Sales Revenue Record the cost of the sale (17,250) Inventory Cast of Goods Sold (1,554) (1,130) Wages Expense Dividends Paid its employee cash for services performed in Apnil 1,554 (1,554) 4 7 Declared and paid a cash dividend to its shareholders 5 A1 Adjusted for depreciation on its equipment with a 10 year useful life and no salvage value 16 A2 Adjusted for interest ewed on loan with 6% Interest and principal due on June 30 17 (1,130) (1,150) (555) 1,130 1,150 (1,150) Accumulated Depreciation Dep eciation Expense 555 555 Interest Payable Interest Expense Column Totols 87.466 142,600 111,555 116,000 2,511

14th Edition

ISBN:9781285595047

Author:Weil

Publisher:Weil

Chapter2: The Basics Of Record Keeping And Financial Statement Preparation: Balance Sheet

Section: Chapter Questions

Problem 11P