Corporate Financial Accounting
15th Edition
ISBN: 9781337398169
Author: Carl Warren, Jeff Jones
Publisher: Cengage Learning
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Textbook Question
Chapter 4, Problem 4.13EX
The following balance sheet was prepared by Labyrinth Services Co. for its year ended August: 20Y3.
a. List the errors in the preceding balance sheet.
b. Prepare a corrected balance sheet.
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List the title of each balance sheet account in the Accounts column.
Step 2.
For each balance sheet account, enter its balance as of December 31, 20Y7, in the first column and its balance as of December 31, 20Y8, in the last column. Place the credit balances in parentheses.
Step 3.
Add the December 31, 20Y7 and 20Y8 column totals, which should total to zero.
Step 4.
Analyze the change during the year in each noncash account to determine its net increase (decrease) and classify the change as affecting cash flows from operating activities, investing activities, financing activities, or noncash investing and financing activities.
Step 5.
Indicate the effect of the change on cash flows by making entries in the Transactions columns.
Step 6.
After all noncash accounts have been analyzed, enter the net increase (decrease) in cash during the period.
Step 7.
Add the Debit and Credit Transactions columns. The totals should be equal.
Exhibit8.
Selected account balances before adjustment for Intuit Realty at November 30, the end of the current year, follow:
Debits
Credits
Accounts Receivable
$52,310
Equipment
81,000
Accumulated Depreciation - Equipment
$8,060
Prepaid Rent
6,600
Supplies
1,570
Wages Payable
_
Unearned Fees
7,220
Fees Earned
305,490
Wages Expense
103,050
Rent Expense
_
Depreciation Expense
_
Supplies Expense
_
Data needed for year-end adjustments are as follows:
Supplies on hand at November 30, $470.
Depreciation of equipment during year, $780.
Rent expired during year, $4,810.
Wages accrued but not paid at November 30, $1,520.
Unearned fees at November 30, $3,030.
Unbilled fees at November 30, $3,610.
Required:
Question Content Area
1. Journalize the six adjusting entries required at November 30, based on the data presented.
Nov. 30
Supplies Expense
Supplies
30…
Use the following end-of-period spreadsheet to answer the question that follow.
Finley Company
End-of-Period Spreadsheet
For the Year Ended December 31
Adjusted Trial Balance
Income Statement
Balance Sheet
Account Title
Dr.
Cr.
Dr.
Cr.
Dr.
Cr.
Cash
48,000
48,000
Accounts Receivable
18,000
18,000
Supplies
6,000
6,000
Equipment
57,000
57,000
Accumulated Depreciation
18,000
18,000
Accounts Payable
25,000
25,000
Wages Payable
6,000
6,000
C. Finley, Capital
33,000
33,000
C. Finley, Drawing
3,000
3,000
Fees Earned
155,000
155,000
Wages Expense
63,000
63,000
Rent Expense
27,000
27,000
Depreciation Expense
15,000
15,000
237,000
237,000
105,000
155,000
132,000
82,000
Net income
50,000
50,000
155,000
155,000
132,000
132,000
Use the end-of-period spreadsheet…
Chapter 4 Solutions
Corporate Financial Accounting
Ch. 4 - Prob. 1DQCh. 4 - Describe the nature of the assets that compose the...Ch. 4 - Prob. 3DQCh. 4 - Prob. 4DQCh. 4 - Why are closing entries required at the end of an...Ch. 4 - Prob. 6DQCh. 4 - What is the purpose of the post-closing trial...Ch. 4 - Prob. 8DQCh. 4 - Which step of the accounting cycle is optional?Ch. 4 - Prob. 10DQ
Ch. 4 - Flow of accounts into financial statements The...Ch. 4 - Statement of stockholders equity Scott Lockhart...Ch. 4 - Classified balance sheet The following accounts...Ch. 4 - Closing entries After the accounts have been...Ch. 4 - Accounting cycle From the following list of steps...Ch. 4 - Working capital and current ratio Current assets...Ch. 4 - Flow of accounts into financial statements The...Ch. 4 - Classifying accounts Balances for each of the...Ch. 4 - Financial statements from the end-of-period...Ch. 4 - Financial statements from the end-of-period...Ch. 4 - Income statement The following account balances...Ch. 4 - Income statement; net loss The following revenue...Ch. 4 - Income statement FedEx Corporation (FDX) had the...Ch. 4 - Statement of stockholders equity Climate Control...Ch. 4 - Statement of stockholders equity; net loss...Ch. 4 - Classifying assets Identify each of the following...Ch. 4 - Balance sheet classification At the balance sheet...Ch. 4 - Balance sheet Dynamic Weight Loss Co. offers...Ch. 4 - Balance sheet The following balance sheet was...Ch. 4 - Identifying accounts to be closed From the list...Ch. 4 - Closing entries with net income Automation...Ch. 4 - Closing entries with net loss Summit Services Co....Ch. 4 - Identifying permanent accounts Which of the...Ch. 4 - Post-closing trial balance An accountant prepared...Ch. 4 - Steps in the accounting cycle Rearrange the...Ch. 4 - Appendix 1 Completing an end-of-period spreadsheet...Ch. 4 - Appendix 1 Adjustment data on an end-of-period...Ch. 4 - Prob. 4.22EXCh. 4 - Appendix 1 Financial statements from an...Ch. 4 - Appendix 1 Adjusting entries from an end-of-period...Ch. 4 - Appendix 1 Closing entries from an end-of-period...Ch. 4 - Appendix 2 Reversing entry The following adjusting...Ch. 4 - Appendix 2 Adjusting and reversing entries On the...Ch. 4 - Appendix 2 Adjusting and reversing entries On the...Ch. 4 - Appendix 2 Entries posted to wages expense account...Ch. 4 - Appendix 2 Entries posted to wages expense account...Ch. 4 - Financial statements and closing entries 8.Net...Ch. 4 - Financial statements and closing entries Foxy...Ch. 4 - accounts, adjusting entries, financial statements,...Ch. 4 - Net Income: 51,150 Ledger accounts, adjusting...Ch. 4 - Net income: 43,475 Complete accounting cycle For...Ch. 4 - Financial statements and closing entries Last...Ch. 4 - Financial statements and closing entries The...Ch. 4 - Income: 27,350 accounts, adjusting entries,...Ch. 4 - Ledger accounts, adjusting entries, financial...Ch. 4 - Net income: 53,77S Complete accounting cycle For...Ch. 4 - Comprehensive Problem 1 8 Net income. 31,425...Ch. 4 - Working Capital and Current Ratio Analyze and...Ch. 4 - Analyze and compare Zynga, Electronic Arts, and...Ch. 4 - Analyze and compare Foot Locker and The Finish...Ch. 4 - Analyze Under Armour The following year-end data...Ch. 4 - Prob. 4.5MADCh. 4 - Analyze and compare Alphabet (Google) and...Ch. 4 - Prob. 4.1TIFCh. 4 - Prob. 4.3TIFCh. 4 - Financial statements The following is an excerpt...Ch. 4 - Prob. 4.5TIF
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