What is the total amount of credits? Cash : 12,000 Retained earnings : 31,000 Prepaid Rent : 2,000 Salaries Expense : 15,000 Equipment : 68,000 Service Revenue : 40,000 Miscellaneous Expense : 10,000 Supplies : 4,000 Dividends : 3,000 Accounts Payable : 5,000 Common stock : 38,000 A. 111,000 B. 114,000 C. 86,000 D. 81,000

What is the total amount of credits? Cash : 12,000 Retained earnings : 31,000 Prepaid Rent : 2,000 Salaries Expense : 15,000 Equipment : 68,000 Service Revenue : 40,000 Miscellaneous Expense : 10,000 Supplies : 4,000 Dividends : 3,000 Accounts Payable : 5,000 Common stock : 38,000 A. 111,000 B. 114,000 C. 86,000 D. 81,000

SWFT Comprehensive Vol 2020

43rd Edition

ISBN:9780357391723

Author:Maloney

Publisher:Maloney

Chapter19: Corporations: Distributions Not In Complete Liquidation

Section: Chapter Questions

Problem 7BCRQ

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Return on assets The following data (in millions) were adapted from recent financial statements of Tootsie Roll Industries Inc. (TR): The percent a company adds to its cost of sales to determine selling price is called a markup. What is Tootsie Roll’s markup percent? Round to one decimal place.
Jarem Company showed 189,000 in prepaid rent on December 31, 20X1. On December 31, 20X2, the balance in the prepaid rent account was 226,800. Rent expense for 20X2 was 472,500. Required: 1. What amount of cash was paid for rent in 20X2? 2. CONCEPTUAL CONNECTION What adjustment in prepaid expenses is needed if the indirect method is used to prepare Jarems statement of cash flows?
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To demonstrate the difference between cash account activity and accrual basis profits (net income), note the amount each transaction affects cash and the amount each transaction affects net income. A. issued stock for cash $20,000 B. purchased supplies inventory on account $1,800 C. paid employee salaries; assume it was current days expenses $950 D. paid note payment to bank (principal only) $1,200 E. collected balance on accounts receivable $4,750
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