Single-step income statement and balance sheet

Selected accounts and related amounts for Kanpur Co. for the fiscal year ended June 30, 20Y7, are shown below.

Cash $92,000 Retained Earnings $381,000

Accounts Receivable 450,000 Dividends 300,000

Inventory 370,000 Sales 8,925,000

Estimated Returns Inventory 5,000 Cost of Goods Sold 5,620,000

Office Supplies 10,000 Sales Salaries Expense 850,000

Prepaid Insurance 12,000 Advertising Expense 420,000

Office Equipment 220,000 Depreciation Expense—Store Equipment 33,000

Accumulated Depreciation—Office Equipment 58,000 Miscellaneous Selling Expense 18,000

Store Equipment 650,000 Office Salaries Expense 540,000

Accumulated Depreciation—Store Equipment 87,500 Rent Expense 48,000

Accounts Payable 38,500 Insurance Expense 24,000

Customers Refunds Payable 10,000 Depreciation Expense—Office Equipment 10,000

Salaries Payable 4,000 Office Supplies Expense 4,000

Note Payable (final payment due in 20 years) 140,000 Miscellaneous Administrative Expense 6,000

Common Stock 50,000 Interest Expense 12,000

Required:

1. Prepare a single-step income statement.

KANPUR CO.
Income Statement
For the Year Ended June 30, 20Y7

Sales $fill in the blank 2

Expenses:

   Cost of goods sold $fill in the blank 4

   Accumulated depreciation fill in the blank 6

   Administrative expenses fill in the blank 8

   Interest expense fill in the blank 10

Total expenses fill in the blank 11

Net income $fill in the blank 13

2. Prepare a statement of stockholders’ equity. Additional common stock of $7,500 was issued during the year ended June 30, 20Y7.

Kanpur Co.
Statement of Stockholders’ Equity
For the Year Ended June 30, 20Y7

Common Stock Retained Earnings Total

$fill in the blank 15 $fill in the blank 16 $fill in the blank 17

fill in the blank 19 fill in the blank 20

fill in the blank 22 fill in the blank 23

fill in the blank 25 fill in the blank 26

$fill in the blank 28 $fill in the blank 29 $fill in the blank 30

3. Prepare a balance sheet, assuming that the current portion of the note payable is $7,000.

KANPUR CO.
Balance Sheet
June 30, 20Y7

Assets

Current assets:

     $fill in the blank 32

     fill in the blank 34

     fill in the blank 36

     fill in the blank 38

     fill in the blank 40

     fill in the blank 42

Total current assets $fill in the blank 43

Property, plant, and equipment:

     $fill in the blank 45

     fill in the blank 47

     $fill in the blank 49

     $fill in the blank 51

     fill in the blank 53

     fill in the blank 55

Total property, plant, and equipment fill in the blank 56

Total assets $fill in the blank 57

Liabilities

Current liabilities:

     $fill in the blank 59

     fill in the blank 61

     fill in the blank 63

     fill in the blank 65

Total current liabilities $fill in the blank 66

Long-term liabilities:

     fill in the blank 68

Total liabilities $fill in the blank 69

Stockholders' equity

$fill in the blank 71

fill in the blank 73

Total stockholders' equity fill in the blank 74

Total liabilities and stockholders' equity $fill in the blank 75

4. Prepare closing entries as of June 30, 20Y7 in the order as presented in the chapter. If an amount box does not require an entry, leave it blank.

Date Account Debit Credit

20Y7

June 30 fill in the blank 77 fill in the blank 78

fill in the blank 80 fill in the blank 81

fill in the blank 83 fill in the blank 84

fill in the blank 86 fill in the blank 87

fill in the blank 89 fill in the blank 90

fill in the blank 92 fill in the blank 93

fill in the blank 95 fill in the blank 96

fill in the blank 98 fill in the blank 99

fill in the blank 101 fill in the blank 102

fill in the blank 104 fill in the blank 105

fill in the blank 107 fill in the blank 108

fill in the blank 110 fill in the blank 111

fill in the blank 113 fill in the blank 114

fill in the blank 116 fill in the blank 117

June 30 fill in the blank 119 fill in the blank 120

     fill in the blank 122 fill in the blank 123

Question

Single-step income statement and balance sheet

Selected accounts and related amounts for Kanpur Co. for the fiscal year ended June 30, 20Y7, are shown below.

Cash	$92,000	Retained Earnings	$381,000
Accounts Receivable	450,000	Dividends	300,000
Inventory	370,000	Sales	8,925,000
Estimated Returns Inventory	5,000	Cost of Goods Sold	5,620,000
Office Supplies	10,000	Sales Salaries Expense	850,000
Prepaid Insurance	12,000	Advertising Expense	420,000
Office Equipment	220,000	Depreciation Expense—Store Equipment	33,000
Accumulated Depreciation—Office Equipment	58,000	Miscellaneous Selling Expense	18,000
Store Equipment	650,000	Office Salaries Expense	540,000
Accumulated Depreciation—Store Equipment	87,500	Rent Expense	48,000
Accounts Payable	38,500	Insurance Expense	24,000
Customers Refunds Payable	10,000	Depreciation Expense—Office Equipment	10,000
Salaries Payable	4,000	Office Supplies Expense	4,000
Note Payable (final payment due in 20 years)	140,000	Miscellaneous Administrative Expense	6,000
Common Stock	50,000	Interest Expense	12,000

Required:

1. Prepare a single-step income statement.

KANPUR CO. Income Statement For the Year Ended June 30, 20Y7
Sales		$fill in the blank 2
Expenses:
Cost of goods sold	$fill in the blank 4
Accumulated depreciation	fill in the blank 6
Administrative expenses	fill in the blank 8
Interest expense	fill in the blank 10
Total expenses		fill in the blank 11
Net income		$fill in the blank 13

2. Prepare a statement of stockholders’ equity. Additional common stock of $7,500 was issued during the year ended June 30, 20Y7.


Common Stock	Retained Earnings	Total
$fill in the blank 15	$fill in the blank 16	$fill in the blank 17
fill in the blank 19		fill in the blank 20
	fill in the blank 22	fill in the blank 23
	fill in the blank 25	fill in the blank 26
$fill in the blank 28	$fill in the blank 29	$fill in the blank 30

3. Prepare a balance sheet, assuming that the current portion of the note payable is $7,000.

KANPUR CO. Balance Sheet June 30, 20Y7
Assets
Current assets:
		$fill in the blank 32
		fill in the blank 34
		fill in the blank 36
		fill in the blank 38
		fill in the blank 40
		fill in the blank 42
Total current assets			$fill in the blank 43
Property, plant, and equipment:
	$fill in the blank 45
	fill in the blank 47
		$fill in the blank 49
	$fill in the blank 51
	fill in the blank 53
		fill in the blank 55
Total property, plant, and equipment			fill in the blank 56
Total assets			$fill in the blank 57
Liabilities
Current liabilities:
		$fill in the blank 59
		fill in the blank 61
		fill in the blank 63
		fill in the blank 65
Total current liabilities			$fill in the blank 66
Long-term liabilities:
			fill in the blank 68
Total liabilities			$fill in the blank 69
Stockholders' equity
		$fill in the blank 71
		fill in the blank 73
Total stockholders' equity			fill in the blank 74
Total liabilities and stockholders' equity			$fill in the blank 75

4. Prepare closing entries as of June 30, 20Y7 in the order as presented in the chapter. If an amount box does not require an entry, leave it blank.

Date	Debit	Credit
20Y7
June 30	fill in the blank 77	fill in the blank 78
	fill in the blank 80	fill in the blank 81
	fill in the blank 83	fill in the blank 84
	fill in the blank 86	fill in the blank 87
	fill in the blank 89	fill in the blank 90
	fill in the blank 92	fill in the blank 93
	fill in the blank 95	fill in the blank 96
	fill in the blank 98	fill in the blank 99
	fill in the blank 101	fill in the blank 102
	fill in the blank 104	fill in the blank 105
	fill in the blank 107	fill in the blank 108
	fill in the blank 110	fill in the blank 111
	fill in the blank 113	fill in the blank 114
	fill in the blank 116	fill in the blank 117
June 30	fill in the blank 119	fill in the blank 120
	fill in the blank 122	fill in the blank 123

Accepted Answer

Answered: Image /qna-images/answer/90b3d282-b21c-40fc-8de8-0c1ac2379839.jpg

Prepare a single-step income statement. KANPUR CO. Income Statement For the Year Ended June 30, 20Y7