The trial balance for Clooney Corporation had accounts with the following normal balances: Cash $15,500, Service Revenue $85,000, Salaries and Wages Payable $2,000, Salaries and Wage Expense $35,000, Rent Expense $8,000, Common Stock $45,000, Dividends $15,000, Prepaid expense $1,500; Supplies $6,000; Supplies Expense $1,000; Equipment $55,000; Depreciation Expense $5,000 and Accumulated Depreciation $10,000. In preparing a trial balance, the total in the debit column is:

The trial balance for Clooney Corporation had accounts with the following normal balances: Cash $15,500, Service Revenue $85,000, Salaries and Wages Payable $2,000, Salaries and Wage Expense $35,000, Rent Expense $8,000, Common Stock $45,000, Dividends $15,000, Prepaid expense $1,500; Supplies $6,000; Supplies Expense $1,000; Equipment $55,000; Depreciation Expense $5,000 and Accumulated Depreciation $10,000. In preparing a trial balance, the total in the debit column is:

Financial And Managerial Accounting

15th Edition

ISBN:9781337902663

Author:WARREN, Carl S.

Publisher:WARREN, Carl S.

Chapter1: Introduction To Accounting And Business

Section: Chapter Questions

Problem 3BE: Transactions Interstate Delivery Service is owned and operated by Katie Wyer. The following selected...

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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.
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.
Transactions Interstate Delivery Service is owned and operated by Katie Wyer. The following selected transactions were completed by Interstate Delivery during May: 1. Received cash in exchange for common stock, 18,000. 2. Paid advertising expense, 4,850. 3. Purchased supplies on account, 2,100. 4. Billed customers for delivery services on account, 14,700. 5. Received cash from customers on account, 8,200. Indicate the effect of each transaction on the following accounting equation elements: Assets, Liabilities, Common Stock, Dividends, Revenue, and Expense. To illustrate, the answer to (1) follows: (1) Asset (Cash) increases by 18,000; Common Stock increases by 18,000.
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.
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, $5,700
Conner Corporation's adjusted trial balance included the following items: Accounts payable ($65,000), Accounts receivable ($45,000), Capital stock ($100,000), Cash ($50,000), Dividends ($10,000), Goodwill ($47,000), Interest expense ($4,000), Interest payable ($2,000), Inventory ($32,000), Notes payable ($80,000), Prepaid expenses ($5,000), Property, plant & equipment ($123,000), Retained earnings ($46,000), Rent expense ($18,000), Revenues ($101,000), and Salary expense ($60,000). What would be the total credits on the trial balance? $394,000 $347,000 None of these $384,000
The accountant for Franklin Company prepared the followinglist of account balances from the company’s records for the year ended December 31, 2021:Fees Earned ‎₱165,000 Cash ‎₱30,000Accounts Receivable 14,000 Selling Expenses 44,000Equipment 64,000 Franklin, Capital 27,000Accounts Payable 12,000 Interest Income 3,000Salaries & Wages Expense 40,000 Prepaid Rent 2,000Income Taxes Payable 5,000 Income Taxes Expens18,000 Notes Payable 20,000 Rent Expense 20,000 3. Determine the total assets at the end of 2021 for Franklin Company. 4. Determine the total liabilities at the end of 2021 for Franklin Company. 5. Based on this information, is Franklin Company profitable? Explain your answer.
The assets and liabilities of Global Travel Agency on December 31, 20Y5, and its revenue and expenses for the year are as follows: Accounts payable $108,000 Miscellaneous expense $19,500 Accounts receivable 539,000 Rent expense 56,000 Cash 200,000 Supplies 6,000 Common stock 575,000 Supplies expense 12,700 Fees earned 940,000 Utilities expense 34,800 Land 1,500,000 Wages expense 415,000 Common stock was $525,000 and retained earnings was $1,250,000 as of January 1, 20Y5. During the year, additional common stock of $50,000 was issued for cash, and dividends of $90,000 were paid. Required: 1. Prepare an income statement for the year ended December 31, 20Y5. Refer to the lists of Accounts, Labels and Amount Descriptions for the exact wording of the answer choices for text entries. Be sure to complete the statement heading. If there is a net loss, enter that amount as a negative number using a minus sign. You will not need to enter colons (:) on the income…
The following selected financial data is available for Sneasle Company: Cash $20,000 Accounts receivable 13,400 Equipment 10,650 Prepaid expenses 5,000 Accounts payable 12,300 Unearned revenue 7,500 Long-term notes payable 10,000 Common stock 18,000 Revenue 11,700 Sales tax payable 6,000 Interest expense 4,500 Depreciation expense 1,000 What is the amount of the company's current assets? Group of answer choices $33,400 $47,800 $49,050 $38,400
ABC Company reported the following accounts in its unadjusted trial balance at December 31, 2027: Dividends ................... $ 14,000 Income Tax Expense .......... $ 25,000 Interest Revenue ............ $ 31,000 Salaries Expense ............ $ 33,000 Cash ........................ $ 36,000 Prepaid Insurance ........... $ 42,000 Unearned Revenue ............ $ 51,000 Cost of Goods Sold .......... $ 53,000 Accounts Receivable ......... $ 57,000 Land ........................ $ 69,000 Accounts Payable ............ $ 81,000 Trademark ................... $ 88,000 Inventory ................... $ 91,000 Retained Earnings ........... $105,000 (at January 1, 2027) Sales Revenue ............... $117,000 Common Stock ................ $123,000 As of December 31, 2027, ABC Company needs to record adjusting entries related to the following three items: 1) The prepaid insurance relates to a two-year insurance policy that ABC Company purchased on June 1, 2027. 2) A utility bill totaling $9,000 was…
The following are the selected ledger balances taken from the books of ABC Company for the year 2021: Accrued Rent Income ₱ 180,000 Rent Expense ₱ 120,000 Accounts Receivable 126,000 Cash 112,000 Allowance for Bad Debts 12,600 Prepaid Advertising 12,000 Service Income 500,000 Salaries Expense 115,000 Office Equipment 430,000 Utilities Expense 49,000 Accumulated Depreciation 75,000 Unused Supplies 18,000 Representation Expense 60,000 Owner, Capital 463,300 Unearned Service Income 22,000 Accounts Payable 240,000 Owner, Drawing 14,000 Accrued Interest Expense 10,700 Compute for the total assets of ABC Company.