Cash Accounts receivable Allowance for doubtful accounts Supplies Land Buildings Accumulated depreciation-buildings 1. 2. 3. During 2025, the following transactions occurred. 4. 5. 6. 7. 8. 9. 10. 11. 1. 2. MARIGOLD CORP. Balance Sheet December 31, 2024 $31,980 Adjustment data: 3. 4. 5. 59,150 (1,950) 5.720 52,000 184,600 (28,600) $302,900 Accounts payable Common stock ($10 par) Retained earnings Marigold collected $358,800 from customers on account. Marigold bought $45,630 of supplies on account. Marigold paid $41,860 on accounts payable. $33,280 104,000 165,620 On January 1, Marigold issued 1,560 shares of $40 par, 7% preferred stock for $63,960. On January 1, Marigold also issued 1,170 shares of the $10 par value common stock for $27,300. Marigold performed services for $416,000 on account. On April 1, 2025, Marigold collected fees of $46,800 in advance for services to be performed from April 1, 2025, to March 31, 2026. $302,900 Marigold reacquired 520 shares of its common stock on June 1 for $28 per share. Paid other operating expenses of $244,660. On December 31, 2025, Marigold declared the annual cash dividend on preferred stock and a $1.20 per share dividend on the outstanding common stock, all payable on January 15, 2026. An account receivable of $2,210 which originated in 2024 is written off as uncollectible. A count of supplies indicates that $7,670 of supplies remain unused at year-end. Recorded revenue from item 4 above. The allowance for doubtful accounts should have a balance of $4,550 at year end. Depreciation is recorded on the building on a straight-line basis based on a 30-year life and a salvage value of $13,000. The income tax rate is 30%. (Hint: Prepare the income statement up to income before taxes and multiply by 30% to compute the amount.)
Cash Accounts receivable Allowance for doubtful accounts Supplies Land Buildings Accumulated depreciation-buildings 1. 2. 3. During 2025, the following transactions occurred. 4. 5. 6. 7. 8. 9. 10. 11. 1. 2. MARIGOLD CORP. Balance Sheet December 31, 2024 $31,980 Adjustment data: 3. 4. 5. 59,150 (1,950) 5.720 52,000 184,600 (28,600) $302,900 Accounts payable Common stock ($10 par) Retained earnings Marigold collected $358,800 from customers on account. Marigold bought $45,630 of supplies on account. Marigold paid $41,860 on accounts payable. $33,280 104,000 165,620 On January 1, Marigold issued 1,560 shares of $40 par, 7% preferred stock for $63,960. On January 1, Marigold also issued 1,170 shares of the $10 par value common stock for $27,300. Marigold performed services for $416,000 on account. On April 1, 2025, Marigold collected fees of $46,800 in advance for services to be performed from April 1, 2025, to March 31, 2026. $302,900 Marigold reacquired 520 shares of its common stock on June 1 for $28 per share. Paid other operating expenses of $244,660. On December 31, 2025, Marigold declared the annual cash dividend on preferred stock and a $1.20 per share dividend on the outstanding common stock, all payable on January 15, 2026. An account receivable of $2,210 which originated in 2024 is written off as uncollectible. A count of supplies indicates that $7,670 of supplies remain unused at year-end. Recorded revenue from item 4 above. The allowance for doubtful accounts should have a balance of $4,550 at year end. Depreciation is recorded on the building on a straight-line basis based on a 30-year life and a salvage value of $13,000. The income tax rate is 30%. (Hint: Prepare the income statement up to income before taxes and multiply by 30% to compute the amount.)
Financial Reporting, Financial Statement Analysis and Valuation
8th Edition
ISBN:9781285190907
Author:James M. Wahlen, Stephen P. Baginski, Mark Bradshaw
Publisher:James M. Wahlen, Stephen P. Baginski, Mark Bradshaw
Chapter10: Forecasting Financial Statement
Section: Chapter Questions
Problem 15PC
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Question
Prepare an adjusted trail balance for dec 31 2025
Transcribed Image Text:Cash
Accounts receivable
Allowance for doubtful accounts
Supplies
Land
Buildings
Accumulated depreciation-buildings
1.
2.
3.
4.
5.
During 2025, the following transactions occurred.
6.
7.
8.
9.
10.
11.
1.
2.
MARIGOLD CORP.
Balance Sheet
December 31, 2024
$31,980
Adjustment data:
3.
4.
5.
59,150
(1,950)
5,720
52,000
184,600
(28,600)
$302,900
Accounts payable
Common stock ($10
par)
Retained earnings
$33,280
104,000
165,620
$302,900
On January 1, Marigold issued 1,560 shares of $40 par, 7% preferred stock for $63,960.
On January 1, Marigold also issued 1,170 shares of the $10 par value common stock for $27,300.
Marigold performed services for $416,000 on account.
On April 1, 2025, Marigold collected fees of $46,800 in advance for services to be performed from April 1, 2025, to March
31, 2026.
Marigold collected $358,800 from customers on account.
Marigold bought $45,630 of supplies on account.
Marigold paid $41,860 on accounts payable.
Marigold reacquired 520 shares of its common stock on June 1 for $28 per share.
Paid other operating expenses of $244,660.
On December 31, 2025, Marigold declared the annual cash dividend on preferred stock and a $1.20 per share dividend on
the outstanding common stock, all payable on January 15, 2026.
An account receivable of $2,210 which originated in 2024 is written off as uncollectible.
A count of supplies indicates that $7,670 of supplies remain unused at year-end.
Recorded revenue from item 4 above.
The allowance for doubtful accounts should have a balance of $4,550 at year end.
Depreciation is recorded on the building on a straight-line basis based on a 30-year life and a salvage value of $13,000.
The income tax rate is 30%. (Hint: Prepare the income statement up to income before taxes and multiply by 30% to compute
the amount.)
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