create a trial balance all balances are nornal. cash $45,000 accts recievable $6,000 inventory $15,000 prepaid expenses $5,000 accts payable $12,000 unearned revenue $10,000 expenses payable $10,000 long term debt $14,000 common stock $25,000
Q: Use EMBG's adjusted trial balance to prepare EMBG's balance sheet for the current year-end. EMBG…
A: Definition: Balance sheet: To Know the financial position of the business balance sheet is prepared.…
Q: Indicate whether the transaction increases (+), decreases (-), or increases and decreases (+/-) for…
A:
Q: Use EMBG's adjusted trial balance to prepare the company's income stater EMBG CORPORATION Adjusted…
A: The income statement is one of the important financial statements of the business, which details…
Q: The adjusted trial balance for Chiara Company as of December 31 follows. Debit Credit $ 30,000…
A: Financial statements are prepared at the end of the accounting year. These are the essential part of…
Q: Mahdy Co. had the following transactions in the last two months of its year ended December 31.…
A: Adjusting entries are prepared at the end of the accounting period in order to ensure the accrual…
Q: 13. Complete the chart below. Permanent/ Temporary Classification Statement Normal Account Balance…
A: 1. Classification -Classification of Income, Expenses, Assets and Liabilities should be according to…
Q: Prepare a statement of cash flows for Year 2. (Cash outflows should be indicate
A:
Q: Prepare journal entries for the transactions for Gordon Co for the month of July 2021. 7/2 Barry…
A: Journal entries recording is the first step in accounting cycle process, under which atleast one…
Q: The trial balance of Pacilio Security Services, Inc. as of January 1, Year 6, had the following…
A: In the given question we are required to prepare the income statement. What is the income statement?…
Q: The trial balance of Pacilio Security Services, Inc. as of January 1, Year 5, had the following…
A: Note: Since there are multiple parts, I am solving the first 3 subparts. A trial balance includes a…
Q: Bull Dog Company Unadjusted Trial Balance December 31, 2020 Cash $ 37,300 Accounts…
A: Adjusting journal entry: At year end when company finalise its accounts then any unrecognized income…
Q: The trial balance of Pacilio Security Services, Inc. as of January 1, Year 1, was as follows: Cash…
A: The financial statement includes income statement, statement of stockholder’s equity and balance…
Q: Prepare the following journal entries. company began business selling $ 100,000 of stock and…
A: Journal Entry: Journal entry is the act of keeping records of transactions in an accounting journal.…
Q: The December 31, 2021, adjusted trial balance for Fightin' Blue Hens Corporation is presented…
A: Workings: Calculation of Net Income:
Q: The following is the adjusted trial balance of Sierra Company. Sierra Company Adjusted Trial Balance…
A: The financial statements are prepared by the business entity to show the performance of the…
Q: Use the following information for Quick Studies below. (Algo) Skip to question [The following…
A: Ans. Income statement depicts the profit gained after deduction of expenses from revenue.
Q: 7) The December 31, 2020, trial balance of Pilsner Inc included the following selected accounts:…
A: A journal entry is used to record day-to-day transactions of the business by debiting and crediting…
Q: The trial balance of Pacilio Security Services, Inc. as of January 1, Year 5, had the following…
A: Analysis of the effect of transactions on each element of financial statements states whether the…
Q: Prepare a trial balance from the ledger accounts of ACME Co. on January 31, 2021. Accounts…
A: Trial Balance: Trial balance is a statement in which closing balance of all ledger accounts are…
Q: The trial balance of Pacilio Security Services, Inc. as of January 1, Year 1, was as follows: Cash…
A: Statement of cash flow: it consists of operating activity, investing activities, and the financing…
Q: The May transactions of Concord Corporation were as follows. May 4 Paid $860 due for supplies…
A: Journal entry: Journal entry is a set of economic events which can be measured in monetary terms.…
Q: effected the value of increase or decrease for each accounting element
A: Every accounting transaction has an effect on the accounting equation. The accounting equation is…
Q: Read: From the Ledger balances below, listed in alphabetical order, Prepare a Trial Balance for…
A: Trial balance is the summary of all general ledger account balances in the business.
Q: The December 31, 2021, adjusted trial balance for the Blueboy Cheese Corporation is presented b…
A: Income statement: It is one of the financial statements prepared by an organization. This statement…
Q: The December 31, 2021, adjusted trial balance for Fightin' Blue Hens Corporation is presented belov…
A: A Preparation of Profit and Loss A/c Need to prepared first…
Q: Unadjusted trial balance shows the status of its accounts at the end of its first month of…
A: Hi student Since there are multiple subparts, we will answer only first three subparts. If you want…
Q: The trial balance of Pacilio Security Services, Inc. as of January 1, Year 5, had the following…
A: Cash Flow statement : It is the statement which shows cash inflows and outflows of an enterprises…
Q: TRIAL BALANCE AS AT DECEMBER 2020 DEBIT$ CREDIT $ Cash 8000 Accounts Receivable 26,000…
A: The balance sheet includes assets, liabilities, and stockholders' equity.
Q: The December 31, 2021, adjusted trial balance for Fightin' Blue Hens Corporation is presented…
A: The income statement is one of the essential parts of the financial statement used for reporting the…
Q: adjusted trial balance in alphabetical order. All accounts have their normal balances. Accounts…
A: The retained earnings represents the total amount of accumulated profits that are available to the…
Q: Use the following information for Quick Studies below. (Algo) Skip to question [The following…
A: A balance sheet is a representation of an individual's personal or corporation's financial balances…
Q: Question: Quality Service Inc. has the following accounts balances in their charts of accounts…
A: Hello. Since your question has multiple sub-parts, we will solve first three sub-parts for you. If…
Q: Pizza Express Inc. began the Year 2 accounting perlod with $2,500 cash, $1,400 of common stock, and…
A: In Entry (2), Revenue is missing from Revenue Column And there is no entry recorded for (2) and (4)…
Q: The trial balance of Pacilio Security Services, Inc. as of January 1, Year 5, had the following…
A: Cash flow statement is one of the key financial statements which represents the change in the…
Q: The following is the adjusted trial balance of Sierra Company. Sierra Company Adjusted Trial Balance…
A: A balance sheet is a financial statement that shows the assets, liabilities, and shareholder equity…
Q: Rus Company was organized on April 1, 2X20. The company’s adjusted trial balance is shown below.…
A: Financial Statements are prepared by the management for reporting purposes. These are the essential…
Q: Company Unadjusted Trial Balance December 31, 2020 Cash $ 27,300 Accounts receivable 4,500…
A: Accured interest for note on Dec 31 = $20,000*10%*4/12 = $667
Q: Sierra Company Adjusted Trial Balance December 31 Account Title Debit Credit Cash $ 33,000 Prepaid…
A: Income statement is one of the important financial statements used to evaluate the operational…
Q: A Company Unadjusted Trial Balance December 31, 2020 Cash $ 27,300 Accounts receivable…
A: Unadjusted balance of supplies = $900 Supplies balance at year end = $175 Supplies expense to be…
Q: The trial balance of Liberty Enterprises contains the following balances among others on December…
A: Adjusting entries are the adjustments made in the books of accounts at the end of the financial year…
Q: Adjusted Trial Balance December 31, 2021 Accounts Debit Credit Accounts Payable 2,800 Accumulated…
A: Retained earnings refer to the amount earned by the organization till the date of preparation of the…
Q: Sierra Company Adjusted Trial Balance December 31 Account Title Debit Credit Cash $ 33,000 Prepaid…
A: The financial statements are prepared by the business entity to show the performance of the…
Q: The following is the adjusted trial balance of Sierra Company. Sierra Company Adjusted Trial Balance…
A: 1. Balance Sheet - This Statement shows the balance of assets liabilities and Equity as of the…
Q: A company has a fiscal year-end of December 31: (1) on October 1, $13,000 was paid for a one-year…
A: The financial transactions are initially recorded in the form of journal entry and posted to the…
Q: A Company Unadjusted Trial Balance December 31, 2020 Cash $ 27,300 Accounts receivable…
A: Journal entry: Journal entry is the process of documenting commercial transactions for the first…
Q: Prepare a statement of changes in stockholders' equity for Year 2.
A:
create a
Step by step
Solved in 2 steps
- Discuss how each of the following transactions for Watson, International, will affect assets, liabilities, and stockholders equity, and prove the companys accounts will still be in balance. A. An investor invests an additional $25,000 into a company receiving stock in exchange. B. Services are performed for customers for a total of $4,500. Sixty percent was paid in cash, and the remaining customers asked to be billed. C. An electric bill was received for $35. Payment is due in thirty days. D. Part-time workers earned $750 and were paid. E. The electric bill in C is paid.Krespy Corp. has a cash balance of $7,500 before the following transactions occur: A. received customer payments of $965 B. supplies purchased on account $435 C. services worth $850 performed, 25% is paid in cash the rest will be billed D. corporation pays $275 for an ad in the newspaper E. bill is received for electricity used $235. F. dividends of $2,500 are distributed What is the balance in cash after these transactions are journalized and posted?Analyzing Transactions. Using the analytical framework, indicate the effect of the following related transactions of a firm. a. January 1: Issued 10,000 shares of common stock for 50,000. b. January 1: Acquired a building costing 35,000, paying 5,000 in cash and borrowing the remainder from a bank. c. During the year: Acquired inventory costing 40,000 on account from various suppliers. d. During the year: Sold inventory costing 30,000 for 65,000 on account. e. During the year: Paid employees 15,000 as compensation for services rendered during the year. f. During the year: Collected 45,000 from customers related to sales on account. g. During the year: Paid merchandise suppliers 28,000 related to purchases on account. h. December 31: Recognized depreciation on the building of 7,000 for financial reporting. Depreciation expense for income tax purposes was 10,000. i. December 31: Recognized compensation for services rendered during the last week in December but not paid by year-end of 4,000. j. December 31: Recognized and paid interest on the bank loan in Part b of 2,400 for the year. k. Recognized income taxes on the net effect of the preceding transactions at an income tax rate of 40%. Assume that the firm pays cash immediately for any taxes currently due to the government.
- On January 24, 20Y8, Niche Consulting collected $5,700 it had hilled its clients for services rendered on December 31, 20Y7. How would you record the January 24 transaction, using the accrual basis? A. Increase Cash, $5,700; decrease Fees Earned, $5,700 B. Increase Accounts Receivable, $5,700; increase Fees Earned, $5,700 C. Increase Cash, $5,700; decrease Accounts Receivable, $5,700 D. Increase Cash, $5,700; increase Fees Earned, $5,700Net income and dividends The income statement of a corporation for the month of February indicates a net income of $32,000. During the same period, $40,000 in cash dividends were paid. Would it be correct to say that the business Incurred a net loss of $8000 during the month? Discuss.Effects of transactions on Accounting equation On Time Delivery Service had the following selected transactions during November: 1. Received cash from issuance of common stock, $75,000. 2. Paid rent for November, $5000. 3. Paid advertising expense, $3,000. 4. Received cash for providing delivery services, $34,500. 5. Borrowed $10,000 from Second National Bank to finance its operations. 6. Purchased a delivery van for cash, $25,000. 7. Paid interest on note from Second National Bank, $75. 8. Paid salaries and wages for November, $10,000. 9. Paid dividends, $2,000. Indicate the effect of each transaction on the accounting equation by listing the numbers identifying the transactions, (1) through (9), in a vertical column, and inserting at the right of each number the appropriate letter from he following list: a. Increase in an asset, decrease in another asset. h. Increase in an asset, increase in a liability. c. Increase in an asset, increase in stockholders’ equity. d. Decrease in an asset, decrease in a liability. e. Decrease in an asset, decrease in stockholders equity.
- Financial statements Outlaw Realty, organized August 1. 20Y7, is owned and operated by Julie Baxter. How many errors can you find in the following financial statements for Outlaw Realty, prepared after its first month of operations? Assume that the cash balance on August 31, 20Y7, is $51,600 and that cash flows from operating activities is reported correctly.Journalize for Harper and Co. each of the following transactions or state no entry required and explain why. Be sure to follow proper journal writing rules. A. A corporation is started with an investment of $50,000 in exchange for stock. B. Equipment worth $4,800 is ordered. C. Office supplies worth $750 are purchased on account. D. A part-time worker is hired. The employee will work 15–20 hours per week starting next Monday at a rate of $18 per hour. E. The equipment is received along with the invoice. Payment is due in three equal monthly installments, with the first payment due in sixty days.EFFECTS OF TRANSACTIONS (BALANCE SHEET ACCOUNTS) Jon Wallace started a business. During the first month (March 20--), the following transactions occurred. Show the effect of each transaction on the accounting equation: Assets= Liabilities + Owners Equity. After each transaction, show the new account totals. (a) Invested cash in the business, 30,000. (b) Bought office equipment on account, 4,500. (c) Bought office equipment for cash, 1,600. (d) Paid cash on account to supplier in transaction (b), 2,000. EFFECTS OF TRANSACTIONS (REVENUE, EXPENSE, WITHDRAWALS) This exercise is an extension of Exercise 2-3B. Lets assume Jon Wallace completed the following additional transactions during March. Show the effect of each transaction on the basic elements of the expanded accounting equation: Assets = Liabilities + Owners Equity (Capital Drawing + Revenues Expenses). After transaction (k), report the totals for each element. Demonstrate that the accounting equation has remained in balance. (e) Performed services and received cash, 3,000. (f) Paid rent for March, 1,000. (g) Paid March phone bill, 68. (h) Jon Wallace withdrew cash for personal use, 800. (i) Performed services for clients on account, 900. (j) Paid wages to part-time employee, 500. (k) Received cash for services performed on account in transaction (i), 500.
- Analyzing the Accounts The controller for Summit Sales Inc. provides the following information on transactions that occurred during the year: a. Purchased supplies on credit, $18,600 b. Paid $14,800 cash toward the purchase in Transaction a c. Provided services to customers on credit1 $46,925 d. Collected $39,650 cash from accounts receivable e. Recorded depreciation expense, $8,175 f. Employee salaries accrued, $15,650 g. Paid $15,650 cash to employees for salaries earned h. Accrued interest expense on long-term debt, $1,950 i. Paid a total of $25,000 on long-term debt, which includes $1.950 interest from Transaction h j. Paid $2,220 cash for l years insurance coverage in advance k. Recognized insurance expense, $1,340, that was paid in a previous period l. Sold equipment with a book value of $7,500 for $7,500 cash m. Declared cash dividend, $12,000 n. Paid cash dividend declared in Transaction m o. Purchased new equipment for $28,300 cash. p. Issued common stock for $60,000 cash q. Used $10,700 of supplies to produce revenues Summit Sales uses the indirect method to prepare its statement of cash flows. Required: 1. Construct a table similar to the one shown at the top of the next page. Analyze each transaction and indicate its effect on the fundamental accounting equation. If the transaction increases a financial statement element, write the amount of the increase preceded by a plus sign (+) in the appropriate column. If the transaction decreases a financial statement element, write the amount of the decrease preceded by a minus sign (-) in the appropriate column. 2. Indicate whether each transaction results in a cash inflow or a cash outflow in the Effect on Cash Flows column. If the transaction has no effect on cash flow, then indicate this by placing none in the Effect on Cash Flows column. 3. For each transaction that affected cash flows, indicate whether the cash flow would be classified as a cash flow from operating activities, cash flow from investing activities, or cash flow from financing activities. If there is no effect on cash flows, indicate this as a non-cash activity.The Accounting Equation Using the accounting equation, answer each of the following independent questions. Burlin Company starts the year with $100,000 in assets and $80,000 in liabilities. Net income for the year is $25,000, and no dividends are paid. How much is owners equity at the end of the year? Chapman Inc. doubles the amount of its assets from the beginning to the end of the year. Liabilities at the end of the year amount to $40,000, and owners equity is $20,000. What is the amount of Chapmans assets at the beginning of the year? During the year, the liabilities of Dixon Enterprises triple in amount. Assets at the beginning of the year amount to $30,000, and owners equity is $10,000. What is the amount of liabilities at the end of the year?The transactions completed by PS Music during June 20Y5 were described at the end of Chapter 1. The following transactions were completed during July, the second month of the businesss operations: July 1. Peyton Smith made an additional investment in PS Music in exchange for common stock by depositing 5,000 in PS Musics checking account. 1. Instead of continuing to share office space with a local real estate agency, Peyton decided to rent office space near a local music store. Paid rent for July, 1,750. 1. Paid a premium of 2,700 for a comprehensive insurance policy covering liability, theft, and fire. The policy covers a one-year period. 2. Received 1,000 on account. 3. On behalf of PS Music, Peyton signed a contract with a local radio station, KXMD, to provide guest spots for the next three months. The contract requires PS Music to provide a guest disc jockey for 80 hours per month for a monthly fee of 3,600. Any additional hours beyond 80 will be billed to KXMD at 40 per hour. In accordance with the contract, Peyton received 7,200 from KXMD as an advance payment for the first two months. 3. Paid 250 on account. 4. Paid an attorney 900 for reviewing the July 3 contract with KXMD. (Record as Miscellaneous Expense.) 5. Purchased office equipment on account from Office Mart, 7,500. 8. Paid for a newspaper advertisement, 200. 11. Received 1,000 for serving as a disc jockey for a party. 13. Paid 700 to a local audio electronics store for rental of digital recording equipment. 14. Paid wages of 1,200 to receptionist and part-time assistant. Enter the following transactions on Page 2 of the two-column journal: 16. Received 2,000 for serving as a disc jockey for a wedding reception. 18. Purchased supplies on account, 850. 21. Paid 620 to Upload Music for use of its current music demos in making various music sets. 22. Paid 800 to a local radio station to advertise the services of PS Music twice daily for the remainder of July. 23. Served as disc jockey for a party for 2,500. Received 750, with the remainder due August 4, 20Y5. 27. Paid electric bill, 915. 28. Paid wages of 1,200 to receptionist and part-time assistant. 29. Paid miscellaneous expenses, 540. 30. Served as a disc jockey for a charity ball for 1,500. Received 500, with the remainder due on August 9, 20Y5. 31. Received 3,000 for serving as a disc jockey for a party. 31. Paid 1,400 royalties (music expense) to National Music Clearing for use of various artists music during July. 31. Paid dividends, 1,250. PS Musics chart of accounts and the balance of accounts as of July 1, 20Y5 (all normal balances), are as follows: Instructions 1. Enter the July 1, 20Y5, account balances in the appropriate balance column of a four-column account. Write Balance in the Item column, and place a check mark () in the Posting Reference column. (Hint: Verify the equality of the debit and credit balances in the ledger before proceeding with the next instruction.) 2. Analyze and journalize each transaction in a two-column journal beginning on Page 1, omitting journal entry explanations. 3. Post the journal to the ledger, extending the account balance to the appropriate balance column after each posting. 4. Prepare an unadjusted trial balance as of July 31, 20Y5.
